SEHK:1268

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China MeiDong Auto Holdings

Executive Summary

China MeiDong Auto Holdings Limited, an investment holding company, operates as an automobile dealer in the People’s Republic of China. More Details


Snowflake Analysis

Exceptional growth potential with outstanding track record.

Share Price & News

How has China MeiDong Auto Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 1268's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

5.1%

1268

3.5%

HK Specialty Retail

0.1%

HK Market


1 Year Return

319.6%

1268

41.7%

HK Specialty Retail

2.0%

HK Market

Return vs Industry: 1268 exceeded the Hong Kong Specialty Retail industry which returned 37.8% over the past year.

Return vs Market: 1268 exceeded the Hong Kong Market which returned 0.7% over the past year.


Shareholder returns

1268IndustryMarket
7 Day5.1%3.5%0.1%
30 Day14.0%6.4%2.4%
90 Day56.1%17.6%-0.4%
1 Year331.1%319.6%44.7%41.7%6.3%2.0%
3 Year1,175.5%1,066.7%37.5%23.0%-5.7%-16.0%
5 Year4,190.3%3,400.0%94.4%58.9%16.4%-3.4%

Price Volatility Vs. Market

How volatile is China MeiDong Auto Holdings's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is China MeiDong Auto Holdings undervalued compared to its fair value and its price relative to the market?

51.82x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 1268 (HK$31.85) is trading above our estimate of fair value (HK$17.09)

Significantly Below Fair Value: 1268 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 1268 is poor value based on its PE Ratio (51.8x) compared to the HK Specialty Retail industry average (13.8x).

PE vs Market: 1268 is poor value based on its PE Ratio (51.8x) compared to the Hong Kong market (11.3x).


Price to Earnings Growth Ratio

PEG Ratio: 1268 is poor value based on its PEG Ratio (1.8x)


Price to Book Ratio

PB vs Industry: 1268 is overvalued based on its PB Ratio (11.6x) compared to the HK Specialty Retail industry average (1.1x).


Next Steps

Future Growth

How is China MeiDong Auto Holdings forecast to perform in the next 1 to 3 years based on estimates from 14 analysts?

29.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 1268's forecast earnings growth (29% per year) is above the savings rate (1.6%).

Earnings vs Market: 1268's earnings (29% per year) are forecast to grow faster than the Hong Kong market (22.2% per year).

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

Revenue vs Market: 1268's revenue (22.6% per year) is forecast to grow faster than the Hong Kong market (13.2% per year).

High Growth Revenue: 1268's revenue (22.6% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 1268's Return on Equity is forecast to be high in 3 years time (37.2%)


Next Steps

Past Performance

How has China MeiDong Auto Holdings performed over the past 5 years?

37.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 1268 has high quality earnings.

Growing Profit Margin: 1268's current net profit margins (3.5%) are higher than last year (3.3%).


Past Earnings Growth Analysis

Earnings Trend: 1268's earnings have grown significantly by 37.5% per year over the past 5 years.

Accelerating Growth: 1268's earnings growth over the past year (39.4%) exceeds its 5-year average (37.5% per year).

Earnings vs Industry: 1268 earnings growth over the past year (39.4%) exceeded the Specialty Retail industry -27.4%.


Return on Equity

High ROE: 1268's Return on Equity (20.6%) is considered high.


Next Steps

Financial Health

How is China MeiDong Auto Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: 1268's short term assets (CN¥4.6B) exceed its short term liabilities (CN¥2.8B).

Long Term Liabilities: 1268's short term assets (CN¥4.6B) exceed its long term liabilities (CN¥1.4B).


Debt to Equity History and Analysis

Debt Level: 1268's debt to equity ratio (35%) is considered satisfactory.

Reducing Debt: 1268's debt to equity ratio has reduced from 107.8% to 35% over the past 5 years.

Debt Coverage: 1268's debt is well covered by operating cash flow (93.1%).

Interest Coverage: 1268's interest payments on its debt are well covered by EBIT (8.1x coverage).


Balance Sheet


Next Steps

Dividend

What is China MeiDong Auto Holdings's current dividend yield, its reliability and sustainability?

0.95%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 1268's dividend (0.95%) isn’t notable compared to the bottom 25% of dividend payers in the Hong Kong market (2.27%).

High Dividend: 1268's dividend (0.95%) is low compared to the top 25% of dividend payers in the Hong Kong market (6.86%).


Stability and Growth of Payments

Stable Dividend: 1268 is not paying a notable dividend for the Hong Kong market, therefore no need to check if payments are stable.

Growing Dividend: 1268 is not paying a notable dividend for the Hong Kong market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: 1268 is not paying a notable dividend for the Hong Kong market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 1268's dividend in 3 years as they are not forecast to pay a notable one for the Hong Kong market.


Next Steps

Management

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

5.3yrs

Average board tenure


CEO

Tao Ye (53 yo)

12.75yrs

Tenure

CN¥4,740,000

Compensation

Mr. Tao Ye has been the Chief Executive Officer of China MeiDong Auto Holdings Limited since 2008. Mr. Ye is responsible for overseeing the daily operations and management of the Group, planning its busine ...


CEO Compensation Analysis

Compensation vs Market: Tao's total compensation ($USD709.96K) is about average for companies of similar size in the Hong Kong market ($USD634.84K).

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


Board Members

NamePositionTenureCompensationOwnership
Fan Ye
Founder & Chairmanno dataCN¥3.11m56.48%
CN¥ 22.1b
Tao Ye
CEO & Executive Director12.75yrsCN¥4.74mno data
Liuyu Luo
VP of Human Resources & Administration and Executive Director1.58yrsCN¥1.27m0.0039%
CN¥ 1.5m
Ki Chi Jip
Independent Non-Executive Director6.92yrsCN¥1.23m0%
CN¥ 0
Chou Wang
Independent Non-Executive Director5.33yrsCN¥1.17m0.040%
CN¥ 15.7m
Guiyi Chen
Independent Non-Executive Director3.5yrsCN¥1.17m0.020%
CN¥ 7.9m

5.3yrs

Average Tenure

49yo

Average Age

Experienced Board: 1268's board of directors are considered experienced (5.3 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: 1268 insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 7.6%.


Top Shareholders

Company Information

China MeiDong Auto Holdings Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: China MeiDong Auto Holdings Limited
  • Ticker: 1268
  • Exchange: SEHK
  • Founded: 2003
  • Industry: Automotive Retail
  • Sector: Retail
  • Market Cap: HK$39.195b
  • Shares outstanding: 1.24b
  • Website: https://www.meidongauto.com

Number of Employees


Location

  • China MeiDong Auto Holdings Limited
  • Unit A1, Tian An Tech Industry Building
  • 13th Floor
  • Dongguan
  • Guangdong Province
  • China

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
1268SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDDec 2013
55MBST (Boerse-Stuttgart)YesOrdinary SharesDEEURDec 2013
CMEI.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDDec 2013

Biography

China MeiDong Auto Holdings Limited, an investment holding company, operates as an automobile dealer in the People’s Republic of China. The company is involved in the sale of new passenger cars and spare p ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/21 12:43
End of Day Share Price2020/10/21 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.