SEHK:9909

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Powerlong Commercial Management Holdings

Executive Summary

Powerlong Commercial Management Holdings Limited, together with its subsidiaries, engages in commercial operational and residential property management businesses in the People’s Republic of China. More Details

Rewards

Earnings are forecast to grow 37.6% per year

Earnings grew by 51.6% over the past year

Risk Analysis

No risks detected for 9909 from our risk checks.


Snowflake Analysis

Exceptional growth potential with flawless balance sheet.

Share Price & News

How has Powerlong Commercial Management Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 9909 is not significantly more volatile than the rest of Hong Kong stocks over the past 3 months, typically moving +/- 9% a week.

Volatility Over Time: 9909's weekly volatility (9%) has been stable over the past year.


Market Performance


7 Day Return

-9.5%

9909

-1.9%

HK Real Estate

1.1%

HK Market


1 Year Return

n/a

9909

-8.3%

HK Real Estate

8.2%

HK Market

Return vs Industry: Insufficient data to determine how 9909 performed against the Hong Kong Real Estate industry.

Return vs Market: Insufficient data to determine how 9909 performed against the Hong Kong Market.


Shareholder returns

9909IndustryMarket
7 Day-9.5%-1.9%1.1%
30 Day-8.7%6.9%7.2%
90 Day-23.5%-3.0%5.2%
1 Yearn/a-3.4%-8.3%12.6%8.2%
3 Yearn/a-0.3%-12.9%0.4%-10.0%
5 Yearn/a45.0%14.7%30.6%8.5%

Long-Term Price Volatility Vs. Market

How volatile is Powerlong Commercial Management Holdings's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Powerlong Commercial Management Holdings undervalued compared to its fair value and its price relative to the market?

34.47x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 9909 (HK$19.54) is trading above our estimate of fair value (HK$18.98)

Significantly Below Fair Value: 9909 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 9909 is poor value based on its PE Ratio (34.5x) compared to the HK Real Estate industry average (8.6x).

PE vs Market: 9909 is poor value based on its PE Ratio (34.5x) compared to the Hong Kong market (11.2x).


Price to Earnings Growth Ratio

PEG Ratio: 9909 is good value based on its PEG Ratio (0.9x)


Price to Book Ratio

PB vs Industry: 9909 is overvalued based on its PB Ratio (5.8x) compared to the HK Real Estate industry average (0.4x).


Next Steps

Future Growth

How is Powerlong Commercial Management Holdings forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

37.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 9909's forecast earnings growth (37.6% per year) is above the savings rate (1.6%).

Earnings vs Market: 9909's earnings (37.6% per year) are forecast to grow faster than the Hong Kong market (21.9% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: 9909's revenue (21.3% per year) is forecast to grow faster than the Hong Kong market (13.7% per year).

High Growth Revenue: 9909's revenue (21.3% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 9909's Return on Equity is forecast to be high in 3 years time (23.5%)


Next Steps

Past Performance

How has Powerlong Commercial Management Holdings performed over the past 5 years?

51.6%

Last years earnings growth


Earnings and Revenue History

Quality Earnings: 9909 has high quality earnings.

Growing Profit Margin: 9909's current net profit margins (13.6%) are higher than last year (11.1%).


Past Earnings Growth Analysis

Earnings Trend: Unable to establish if 9909's year-on-year earnings growth rate was positive over the past 5 years as it has been trading publicly for less than 3 years.

Accelerating Growth: Unable to compare 9909's past year earnings growth to its 5-year average as it has been trading publicly for less than 3 years.

Earnings vs Industry: 9909 earnings growth over the past year (51.6%) exceeded the Real Estate industry -1.2%.


Return on Equity

High ROE: 9909's Return on Equity (13.2%) is considered low.


Next Steps

Financial Health

How is Powerlong Commercial Management Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: 9909's short term assets (CN¥3.2B) exceed its short term liabilities (CN¥1.5B).

Long Term Liabilities: 9909's short term assets (CN¥3.2B) exceed its long term liabilities (CN¥349.7M).


Debt to Equity History and Analysis

Debt Level: 9909 is debt free.

Reducing Debt: 9909 had no debt 5 years ago.

Debt Coverage: 9909 has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: 9909 has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Next Steps

Dividend

What is Powerlong Commercial Management Holdings's current dividend yield, its reliability and sustainability?

1.10%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 9909's dividend (1.1%) isn’t notable compared to the bottom 25% of dividend payers in the Hong Kong market (2.22%).

High Dividend: 9909's dividend (1.1%) is low compared to the top 25% of dividend payers in the Hong Kong market (6.57%).


Stability and Growth of Payments

Stable Dividend: Too early to tell whether 9909's dividend payments have been stable as they only just started paying a dividend.

Growing Dividend: Too early to tell if 9909's dividend payments are increasing as they only just started paying a dividend.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (56%), 9909's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: 9909's dividends in 3 years are forecast to be well covered by earnings (41.8% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

1.3yrs

Average management tenure


CEO

Deli Chen (46 yo)

0.42

Tenure

Mr. Deli Chen has been Chief Executive Officer of Powerlong Commercial Management Holdings Limited since June 1, 2020 and serves as its Executive Director since June 15, 2020. He has been Associate Preside...


Leadership Team

NamePositionTenureCompensationOwnership
Wa Fong Hoi
Chairman & President1.25yrsno data7.24%
CN¥ 906.8m
Deli Chen
CEO & Director0.42yrno datano data
Haixia Wen
General Manager of Financial Management Center2.25yrsno datano data
Yunfeng Zhang
CFO & Executive Director1.25yrsno datano data
Hong Jin
GM of Investor Relations Department & Joint Company Secretary1.33yrsno datano data
Pung Fei Chan
Joint Company Secretary1.25yrsno datano data
Jianfeng Tang
Executive Deputy General Managerno datano datano data

1.3yrs

Average Tenure

42.5yo

Average Age

Experienced Management: 9909's management team is not considered experienced ( 1.3 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Wa Fong Hoi
Chairman & President1.25yrsno data7.24%
CN¥ 906.8m
Deli Chen
CEO & Director0.42yrno datano data
Yunfeng Zhang
CFO & Executive Director1.25yrsno datano data
Yi Kum Ng
Independent Non-Executive Director0.92yrno datano data
Xiongwen Lu
Independent Non-Executive Director0.92yrno datano data
Wa Fan Hoi
Non-Executive Director1.25yrsno datano data
Wai Yan Chan
Independent Non-Executive Director0.92yrno datano data
Wa Lam Hoi
Non-Executive Director1.25yrsno datano data

1.1yrs

Average Tenure

43.5yo

Average Age

Experienced Board: 9909's board of directors are not considered experienced ( 1.1 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: 9909 only recently listed within the past 12 months.


Top Shareholders

Company Information

Powerlong Commercial Management Holdings Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Powerlong Commercial Management Holdings Limited
  • Ticker: 9909
  • Exchange: SEHK
  • Founded: 1993
  • Industry: Real Estate Operating Companies
  • Sector: Real Estate
  • Market Cap: HK$12.523b
  • Shares outstanding: 621.50m
  • Website: https://www.powerlongcm.com

Number of Employees


Location

  • Powerlong Commercial Management Holdings Limited
  • Powerlong Headquarters Building
  • 5th Floor
  • Shanghai
  • Shanghai Province
  • 200336
  • China

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
9909SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDDec 2019
9909SZSC (The Stock Exchange of Hong Kong - Shenzhen - Hong Kong Stock Connect)YesOrdinary SharesHKHKDDec 2019

Biography

Powerlong Commercial Management Holdings Limited, together with its subsidiaries, engages in commercial operational and residential property management businesses in the People’s Republic of China. It offe...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/11/25 12:59
End of Day Share Price2020/11/25 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.