SEHK:1173

Stock Analysis Report

Veeko International Holdings

Executive Summary

Veeko International Holdings Limited, an investment holding company, engages in the cosmetics and fashion businesses.

Snowflake

Fundamentals

Fair value with imperfect balance sheet.

Share Price & News

How has Veeko International Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-8.7%

1173

1.3%

HK Specialty Retail

2.9%

HK Market


1 Year Return

-52.5%

1173

-0.6%

HK Specialty Retail

0.7%

HK Market

Return vs Industry: 1173 underperformed the Hong Kong Specialty Retail industry which returned -0.6% over the past year.

Return vs Market: 1173 underperformed the Hong Kong Market which returned 0.7% over the past year.


Shareholder returns

1173IndustryMarket
7 Day-8.7%1.3%2.9%
30 Day-5.6%-4.2%-2.5%
90 Day-30.0%-8.7%-5.4%
1 Year-51.4%-52.5%4.8%-0.6%4.4%0.7%
3 Year-61.5%-65.7%21.0%7.3%17.0%5.2%
5 Year-59.0%-67.1%-9.1%-26.6%20.2%0.2%

Price Volatility Vs. Market

How volatile is Veeko International Holdings's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Veeko International Holdings undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: 1173 (HK$0.08) is trading below our estimate of fair value (HK$0.31)

Significantly Undervalued: 1173 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 1173 is unprofitable, so we can't compare its PE Ratio to the Specialty Retail industry average.

PE vs Market: 1173 is unprofitable, so we can't compare its PE Ratio to the Hong Kong market.


Price to Earnings Growth Ratio

Low PEG Ratio: Insufficient data to calculate 1173's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 1173 is good value based on its PB Ratio (0.3x) compared to the HK Specialty Retail industry average (0.7x).


Next Steps

Future Growth

How is Veeko International Holdings forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

8.6%

Forecasted Retail industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Veeko International Holdings has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has Veeko International Holdings performed over the past 5 years?

-53.7%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: 1173 is unprofitable, and losses have increased over the past 5 years at a rate of -53.7% per year.

Accelerating Growth: Unable to compare 1173's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 1173 is unprofitable, making it difficult to compare its past year earnings growth to the Specialty Retail industry (1.4%).


Return on Equity

High ROE: 1173 has a negative Return on Equity (-12.6%), as it is currently unprofitable.


Return on Assets

ROA vs Industry: 1173 is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: 1173 is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is Veeko International Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: 1173's short term assets (HK$597.4M) exceeds its short term liabilities (HK$371.5M)

Long Term Liabilities: 1173's short term assets (597.4M) exceeds its long term liabilities (21.5M)


Debt to Equity History and Analysis

Debt Level: 1173's debt to equity ratio (42.2%) is considered high

Reducing Debt: 1173's debt to equity ratio has increased from 15.5% to 42.2% over the past 5 years.

Debt Coverage: 1173's debt is not well covered by operating cash flow (16.3%).

Interest Coverage: Insufficient data to determine if 1173's interest payments on its debt are well covered by EBIT.


Balance Sheet

Inventory Level: 1173 has a high level of physical assets or inventory.

Debt Coverage by Assets: 1173's debt is covered by short term assets (assets are 2.249230x debt).


Next Steps

Dividend

What is Veeko International Holdings's current dividend yield, its reliability and sustainability?

2.38%

Current Dividend Yield


Dividend Yield vs Market

company2.4%marketbottom25%2.2%markettop25%6.3%industryaverage5.9%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: 1173's dividend (2.38%) is higher than the bottom 25% of dividend payers in the Hong Kong market (2.25%).

High Dividend: 1173's dividend (2.38%) is low compared to the top 25% of dividend payers in the Hong Kong market (6.29%).

Stable Dividend: 1173's dividend payments have been volatile in the past 10 years.

Growing Dividend: 1173's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: 1173 is paying a dividend but the company is unprofitable.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

What is the CEO of Veeko International Holdings's salary, the management and board of directors tenure and is there insider trading?

2.5yrs

Average board tenure


CEO

Yuk Sum Lam (59yo)

0yrs

Tenure

HK$691,000

Compensation

Mrs. Yuk Sum Lam serves as Chief Executive Officer at Veeko International Holdings Ltd and served as its Managing Director and Head of Strategic Planning. Mrs. Lam is responsible for the overall strategic  ...


CEO Compensation Analysis

Compensation vs. Market: Yuk Sum's total compensation ($USD88.09K) is about average for companies of similar size in the Hong Kong market ($USD211.63K).

Compensation vs Earnings: Yuk Sum's compensation has been consistent with company performance over the past year.


Board Age and Tenure

2.5yrs

Average Tenure

64yo

Average Age

Experienced Board: 1173's board of directors are not considered experienced ( 2.5 years average tenure), which suggests a new board.


Insider Trading

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


Ownership Breakdown


Management Team

  • Johnny Cheng (62yo)

    Founder & Chairman

    • Tenure: 0yrs
    • Compensation: HK$1.58m
  • Chi Wong (50yo)

    Financial Controller & Company Secretary

    • Tenure: 0yrs
  • Yuk Sum Lam (59yo)

    CEO & Executive Director

    • Tenure: 0yrs
    • Compensation: HK$691.00k

Board Members

  • Man Tin Lam (60yo)

    Non-Executive Director

    • Tenure: 3.7yrs
    • Compensation: HK$130.00k
  • Johnny Cheng (62yo)

    Founder & Chairman

    • Tenure: 0yrs
    • Compensation: HK$1.58m
  • Yuk Sum Lam (59yo)

    CEO & Executive Director

    • Tenure: 0yrs
    • Compensation: HK$691.00k
  • Wing Kay Yeung (66yo)

    Independent Non-Executive Director

    • Tenure: 15.1yrs
    • Compensation: HK$150.00k
  • Hau Cheong Au-Yeung (70yo)

    Independent Non-Executive Director

    • Tenure: 1.3yrs
    • Compensation: HK$93.00k
  • Monty Cheng (73yo)

    Independent Non-Executive Director

    • Tenure: 0.08yrs

Company Information

Veeko International Holdings Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Veeko International Holdings Limited
  • Ticker: 1173
  • Exchange: SEHK
  • Founded: 1984
  • Industry: Specialty Stores
  • Sector: Retail
  • Market Cap: HK$211.512m
  • Shares outstanding: 2.52b
  • Website: https://www.veeko.com.hk

Number of Employees


Location

  • Veeko International Holdings Limited
  • Wyler Centre Phase II
  • 10th Floor
  • Kwai Chung
  • New Territories
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
1173SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDOct 1999

Biography

Veeko International Holdings Limited, an investment holding company, engages in the cosmetics and fashion businesses. The company sells skin care, fragrance, make-up, hairdressing, body care, and cosmeceut ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/14 12:35
End of Day Share Price2019/10/14 00:00
Earnings2019/03/31
Annual Earnings2019/03/31


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.