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Tan Chong International

SEHK:693
Snowflake Description

Excellent balance sheet and fair value.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
693
SEHK
HK$5B
Market Cap
  1. Home
  2. HK
  3. Retail
Company description

Tan Chong International Limited, an investment holding company, distributes and retails motor vehicles in Singapore, Hong Kong, the People’s Republic of China, Thailand, Japan, and internationally. The last earnings update was 88 days ago. More info.


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693 Share Price and Events
7 Day Returns
1.7%
SEHK:693
2.6%
HK Retail Distributors
0.6%
HK Market
1 Year Returns
-10%
SEHK:693
-19.6%
HK Retail Distributors
-4.5%
HK Market
693 Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Tan Chong International (693) 1.7% -0.8% -2.8% -10% -1.2% -24.5%
HK Retail Distributors 2.6% 13.1% -9.3% -19.6% -34.2% -70.5%
HK Market 0.6% 0.4% -7% -4.5% 17.8% 1.1%
1 Year Return vs Industry and Market
  • 693 outperformed the Retail Distributors industry which returned -19.6% over the past year.
  • 693 underperformed the Market in Hong Kong which returned -4.5% over the past year.
Price Volatility
693
Industry
5yr Volatility vs Market

Value

 Is Tan Chong International undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Tan Chong International to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Tan Chong International.

SEHK:693 Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Extrapolated from most recent financials. See below
Discount Rate (Cost of Equity) See below 9.5%
Perpetual Growth Rate 10-Year HK Government Bond Rate 2%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for SEHK:693
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year HK Govt Bond Rate 2%
Equity Risk Premium S&P Global 6.7%
Retail Distributors Unlevered Beta Simply Wall St/ S&P Global 0.78
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.783 (1 + (1- 25%) (69.88%))
1.13
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.13
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2% + (1.13 * 6.65%)
9.52%

Discounted Cash Flow Calculation for SEHK:693 using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Tan Chong International is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

SEHK:693 DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (HKD, Millions) Source Present Value
Discounted (@ 9.52%)
2020 130.48 Est @ -57.22% 119.14
2021 79.00 Est @ -39.45% 65.87
2022 57.66 Est @ -27.02% 43.90
2023 47.10 Est @ -18.31% 32.74
2024 41.35 Est @ -12.22% 26.25
2025 38.06 Est @ -7.95% 22.06
2026 36.17 Est @ -4.96% 19.14
2027 35.13 Est @ -2.87% 16.98
2028 34.64 Est @ -1.41% 15.28
2029 34.50 Est @ -0.39% 13.90
Present value of next 10 years cash flows HK$375.26
SEHK:693 DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= HK$34.50 × (1 + 2%) ÷ (9.52% – 2%)
HK$468.35
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= HK$468.35 ÷ (1 + 9.52%)10
HK$188.68
SEHK:693 Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= HK$375.26 + HK$188.68
HK$563.94
Equity Value per Share
(HKD)
= Total value / Shares Outstanding
= HK$563.94 / 2,013.31
HK$0.28
SEHK:693 Discount to Share Price
Calculation Result
Value per share (HKD) From above. HK$0.28
Current discount Discount to share price of HK$2.43
= -1 x (HK$2.43 - HK$0.28) / HK$0.28
-767.5%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of Tan Chong International is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Tan Chong International's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Tan Chong International's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
SEHK:693 PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in HKD HK$0.30
SEHK:693 Share Price ** SEHK (2019-07-19) in HKD HK$2.43
Hong Kong Retail Distributors Industry PE Ratio Median Figure of 16 Publicly-Listed Retail Distributors Companies 13.67x
Hong Kong Market PE Ratio Median Figure of 1,512 Publicly-Listed Companies 10.77x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Tan Chong International.

SEHK:693 PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= SEHK:693 Share Price ÷ EPS (both in HKD)

= 2.43 ÷ 0.30

8.14x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Tan Chong International is good value based on earnings compared to the HK Retail Distributors industry average.
  • Tan Chong International is good value based on earnings compared to the Hong Kong market.
Price based on expected Growth
Does Tan Chong International's expected growth come at a high price?
Raw Data
SEHK:693 PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 8.14x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 0 Analysts
6.4%per year
Global Retail Distributors Industry PEG Ratio Median Figure of 19 Publicly-Listed Retail Distributors Companies 1.27x
Hong Kong Market PEG Ratio Median Figure of 481 Publicly-Listed Companies 0.8x

*Line of best fit is calculated by linear regression .

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to calculate PEG ratio for Tan Chong International, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Tan Chong International's assets?
Raw Data
SEHK:693 PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in HKD HK$5.47
SEHK:693 Share Price * SEHK (2019-07-19) in HKD HK$2.43
Hong Kong Retail Distributors Industry PB Ratio Median Figure of 30 Publicly-Listed Retail Distributors Companies 1x
Hong Kong Market PB Ratio Median Figure of 2,198 Publicly-Listed Companies 0.92x
SEHK:693 PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= SEHK:693 Share Price ÷ Book Value per Share (both in HKD)

= 2.43 ÷ 5.47

0.44x

* Primary Listing of Tan Chong International.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Tan Chong International is good value based on assets compared to the HK Retail Distributors industry average.
X
Value checks
We assess Tan Chong International's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Retail Distributors industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Retail Distributors industry average (and greater than 0)? (1 check)
  5. Tan Chong International has a total score of 3/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Tan Chong International expected to perform in the next 1 to 3 years based on estimates from 0 analysts?

  • No analysts cover Tan Chong International, future earnings growth has been estimated based on fundamentals.
The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
6.4%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Tan Chong International expected to grow at an attractive rate?
  • Tan Chong International's earnings growth is expected to exceed the low risk savings rate of 2%.
Growth vs Market Checks
  • Tan Chong International's earnings growth is positive but not above the Hong Kong market average.
  • Unable to compare Tan Chong International's revenue growth to the Hong Kong market average as no estimate data is available.
Annual Growth Rates Comparison
Raw Data
SEHK:693 Future Growth Rates Data Sources
Data Point Source Value (per year)
SEHK:693 Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 0 Analysts 6.4%
Hong Kong Retail Distributors Industry Earnings Growth Rate Market Cap Weighted Average -1.4%
Global Retail Distributors Industry Revenue Growth Rate Market Cap Weighted Average 5%
Hong Kong Market Earnings Growth Rate Market Cap Weighted Average 11.3%
Hong Kong Market Revenue Growth Rate Market Cap Weighted Average 10.6%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
SEHK:693 Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (6 months ago) See Below
Future Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below
All numbers in HKD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
SEHK:693 Future Estimates Data
Date (Data in HKD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
SEHK:693 Past Financials Data
Date (Data in HKD Millions) Revenue Cash Flow Net Income *
2018-12-31 15,731 883 601
2018-09-30 15,670 1,273 560
2018-06-30 15,608 1,664 519
2018-03-31 15,732 1,490 510
2017-12-31 15,856 1,316 502
2017-09-30 15,881 764 452
2017-06-30 15,906 212 402
2017-03-31 16,321 126 297
2016-12-31 16,736 40 191
2016-09-30 16,630 475 223
2016-06-30 16,524 911 255
2016-03-31 15,671 916 282

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Tan Chong International's earnings are expected to grow by 6.4% yearly, however this is not considered high growth (20% yearly).
  • Unable to determine if Tan Chong International is high growth as no revenue estimate data is available.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
SEHK:693 Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (6 months ago) See Below
Future Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below

All data from Tan Chong International Company Filings, last reported 6 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

SEHK:693 Future Estimates Data
Date (Data in HKD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
SEHK:693 Past Financials Data
Date (Data in HKD Millions) EPS *
2018-12-31 0.30
2018-09-30 0.28
2018-06-30 0.26
2018-03-31 0.25
2017-12-31 0.25
2017-09-30 0.22
2017-06-30 0.20
2017-03-31 0.15
2016-12-31 0.09
2016-09-30 0.11
2016-06-30 0.13
2016-03-31 0.14

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if Tan Chong International will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess Tan Chong International's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Hong Kong market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Global market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Tan Chong International has a total score of 1/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Tan Chong International performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Tan Chong International's growth in the last year to its industry (Retail Distributors).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Tan Chong International's year on year earnings growth rate was negative over the past 5 years and the most recent earnings are below average.
  • Tan Chong International's 1-year earnings growth exceeds its 5-year average (19.7% vs -21.6%)
  • Tan Chong International's earnings growth has exceeded the HK Retail Distributors industry average in the past year (19.7% vs -1.7%).
Earnings and Revenue History
Tan Chong International's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Tan Chong International Company Filings, last reported 6 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

SEHK:693 Past Revenue, Cash Flow and Net Income Data
Date (Data in HKD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 15,731.42 600.90 2,498.02
2018-09-30 15,669.81 559.76 2,474.44
2018-06-30 15,608.20 518.63 2,450.86
2018-03-31 15,731.91 510.27 2,449.28
2017-12-31 15,855.61 501.92 2,447.71
2017-09-30 15,880.88 452.14 2,397.47
2017-06-30 15,906.15 402.35 2,347.23
2017-03-31 16,321.24 296.71 2,395.92
2016-12-31 16,736.33 191.07 2,444.61
2016-09-30 16,630.26 222.99 2,407.04
2016-06-30 16,524.19 254.91 2,369.46
2016-03-31 15,671.42 281.56 2,245.00
2015-12-31 14,818.64 308.22 2,120.55
2015-09-30 14,327.24 338.30 2,047.44
2015-06-30 13,835.85 368.38 1,974.34
2015-03-31 12,241.81 358.80 1,817.57
2014-12-31 10,647.78 349.23 1,660.80
2014-09-30 9,516.02 514.30 1,510.16
2014-06-30 8,384.26 679.37 1,359.51
2014-03-31 8,765.40 1,368.58 1,338.62
2013-12-31 9,146.54 2,057.79 1,317.72
2013-09-30 8,659.09 2,125.96 1,255.39
2013-06-30 8,171.64 2,194.13 1,193.06
2013-03-31 7,349.50 1,636.11 1,084.27
2012-12-31 6,527.37 1,078.10 975.48
2012-09-30 6,333.90 996.61 891.96

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Tan Chong International has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Tan Chong International used its assets less efficiently than the HK Retail Distributors industry average last year based on Return on Assets.
  • Tan Chong International's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Tan Chong International's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Retail Distributors industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Tan Chong International has a total score of 2/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Tan Chong International's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Tan Chong International's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Tan Chong International is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Tan Chong International's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Tan Chong International's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is covered by short term assets, assets are 2.6x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Tan Chong International Company Filings, last reported 6 months ago.

SEHK:693 Past Debt and Equity Data
Date (Data in HKD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 12,148.44 3,260.48 4,987.28
2018-09-30 12,148.44 3,260.48 4,987.28
2018-06-30 12,736.86 3,781.63 6,175.31
2018-03-31 12,736.86 3,781.63 6,175.31
2017-12-31 12,723.53 4,010.38 6,237.08
2017-09-30 12,723.53 4,010.38 6,237.08
2017-06-30 12,548.12 4,295.01 6,042.20
2017-03-31 12,548.12 4,295.01 6,042.20
2016-12-31 12,288.70 4,131.32 6,429.95
2016-09-30 12,288.70 4,131.32 6,429.95
2016-06-30 12,150.22 4,442.84 6,134.85
2016-03-31 12,150.22 4,442.84 6,134.85
2015-12-31 12,421.99 3,912.58 6,803.97
2015-09-30 12,421.99 3,912.58 6,803.97
2015-06-30 12,293.80 3,956.27 6,117.26
2015-03-31 12,293.80 3,956.27 6,117.26
2014-12-31 12,261.91 4,028.93 6,128.36
2014-09-30 12,261.91 4,028.93 6,128.36
2014-06-30 11,503.69 3,161.33 4,850.79
2014-03-31 11,503.69 3,161.33 4,850.79
2013-12-31 11,023.41 2,202.87 4,805.48
2013-09-30 11,023.41 2,202.87 4,805.48
2013-06-30 10,562.97 1,870.27 3,748.89
2013-03-31 10,562.97 1,870.27 3,748.89
2012-12-31 9,383.52 1,737.26 2,508.14
2012-09-30 9,383.52 1,737.26 2,508.14
  • Tan Chong International's level of debt (28.1%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (20.1% vs 28.1% today).
  • Debt is well covered by operating cash flow (25.8%, greater than 20% of total debt).
  • Tan Chong International earns more interest than it pays, coverage of interest payments is not a concern.
X
Financial health checks
We assess Tan Chong International's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Tan Chong International has a total score of 5/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is Tan Chong International's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
4.94%
Current annual income from Tan Chong International dividends.
If you bought HK$2,000 of Tan Chong International shares you are expected to receive HK$99 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Tan Chong International's pays a higher dividend yield than the bottom 25% of dividend payers in Hong Kong (2.07%).
  • Tan Chong International's dividend is below the markets top 25% of dividend payers in Hong Kong (5.71%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
SEHK:693 Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below
Hong Kong Retail Distributors Industry Average Dividend Yield Market Cap Weighted Average of 6 Stocks 5.4%
Hong Kong Market Average Dividend Yield Market Cap Weighted Average of 978 Stocks 3.6%
Hong Kong Minimum Threshold Dividend Yield 10th Percentile 1.2%
Hong Kong Bottom 25% Dividend Yield 25th Percentile 2.1%
Hong Kong Top 25% Dividend Yield 75th Percentile 5.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

SEHK:693 Future Dividends Estimate Data
Date (Data in HK$) Dividend per Share (annual) Avg. No. Analysts
SEHK:693 Past Annualized Dividends Data
Date (Data in HK$) Dividend per share (annual) Avg. Yield (%)
2019-04-25 0.120 4.868
2019-03-27 0.120 4.860
2018-04-23 0.110 4.300
2018-03-26 0.110 4.062
2017-08-28 0.095 3.668
2017-04-20 0.090 3.742
2017-03-29 0.090 3.746
2016-03-30 0.105 4.274
2015-04-22 0.105 4.033
2015-03-30 0.105 3.918
2014-09-15 0.105 3.864
2014-04-23 0.105 3.252
2014-03-31 0.105 3.305
2013-04-22 0.090 3.303
2013-03-22 0.090 3.629
2012-03-23 0.070 3.304
2011-07-28 0.065 3.490
2011-03-11 0.065 3.436
2010-07-28 0.055 2.868
2010-03-18 0.050 2.776
2009-07-29 0.020 1.392
2009-03-26 0.030 2.241
2009-03-02 0.030 2.616
2008-07-31 0.065 4.962

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been volatile in the past 10 years (annual drop of over 20%).
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of Tan Chong International's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (2.5x coverage).
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess Tan Chong International's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.2%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Tan Chong International afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Tan Chong International has a total score of 3/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

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

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Glenn Tan
COMPENSATION HK$12,311,000
AGE 41
TENURE AS CEO 1.9 years
CEO Bio

Mr. Chun Hong Tan, also known as Glenn, serves as the Chief Executive Officer of Subaru Motor Distribution Businesses at Tan Chong International Ltd. Mr. Tan has been Managing Director of Tan Chong International Limited since August 25, 2017 and its Deputy Chairman since 2018. He was Additional Deputy Chairman at Tan Chong International Ltd since September 10, 2018 until 2018. He served as a Manager of Tan Chong Realty (Private) Limited since 2001 and General Manager of Motor Image Enterprises Pte Ltd since January 2004. Prior to September 2001, he received on the job exposure to the property and trading businesses of the Group Companies in Singapore. He joined Tan Chong Motor Group in September 2001. He has been a Director of ZERO Co., Ltd., since September 1, 2014. He has been an Executive Director at Tan Chong International Ltd. since July 29, 2009. He has been an Executive Director of Tan Chong International, Ltd., since July 2009. Mr. Tan holds a Bachelor of Science degree in Commerce, Management degree from the Santa Clara University in the USA since 1998.

CEO Compensation
  • Glenn's compensation has increased by more than 20% in the past year whilst earnings grew less than 20%.
  • Glenn's remuneration is higher than average for companies of similar size in Hong Kong.
Management Team Tenure

Average tenure and age of the Tan Chong International management team in years:

7.9
Average Tenure
68
Average Age
  • The average tenure for the Tan Chong International management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team

Eng Soon Tan

TITLE
Executive Chairman
COMPENSATION
HK$39M
AGE
71

Glenn Tan

TITLE
MD & Deputy Chairman
COMPENSATION
HK$12M
AGE
41
TENURE
1.9 yrs

Chiew Sng

TITLE
Finance Director & Executive Director
COMPENSATION
HK$10M
AGE
71
TENURE
21 yrs

Kheng Tan

TITLE
Executive Director
COMPENSATION
HK$5M
AGE
76

Siok Teo

TITLE
Head of Operations - P.R China & Joint Secretary
AGE
67

Samuel Lee

TITLE
Head of the Property Development & Seat Manufacturing Division
AGE
53

Leng Goh

TITLE
Head of Corporate Affairs
AGE
68

Daphnie Liew

TITLE
Joint Secretary
TENURE
7.9 yrs
Board of Directors Tenure

Average tenure and age of the Tan Chong International board of directors in years:

6.2
Average Tenure
70
Average Age
  • The tenure for the Tan Chong International board of directors is about average.
Board of Directors

Eng Soon Tan

TITLE
Executive Chairman
COMPENSATION
HK$39M
AGE
71
TENURE
13.7 yrs

Glenn Tan

TITLE
MD & Deputy Chairman
COMPENSATION
HK$12M
AGE
41
TENURE
0.8 yrs

Joseph Ong

TITLE
Deputy Chairman
COMPENSATION
HK$401K
AGE
70
TENURE
9.7 yrs

Chiew Sng

TITLE
Finance Director & Executive Director
COMPENSATION
HK$10M
AGE
71
TENURE
21.6 yrs

Kheng Tan

TITLE
Executive Director
COMPENSATION
HK$5M
AGE
76

Kim Ng

TITLE
Independent Non-Executive Director
COMPENSATION
HK$316K
AGE
64
TENURE
8.1 yrs

Ek Teo

TITLE
Independent Non-Executive Director
COMPENSATION
HK$419K
AGE
66
TENURE
3.1 yrs

Azman Bin Badrillah

TITLE
Independent Non-Executive Director
COMPENSATION
HK$318K
AGE
71
TENURE
4.3 yrs

Prechaya Ebrahim

TITLE
Independent Non-Executive Director
COMPENSATION
HK$200K
AGE
58
TENURE
4.1 yrs
Who owns this company?
Recent Insider Trading
  • More shares have been bought than sold by Tan Chong International individual insiders in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (HK$) Value (HK$)
21. May 19 Buy Eng Soon Tan Individual 16. May 19 16. May 19 2,133,000 HK$2.50 HK$5,332,503
09. Apr 19 Buy Eng Soon Tan Individual 04. Apr 19 04. Apr 19 2,496,000 HK$2.45 HK$6,125,675
05. Apr 19 Buy Eng Soon Tan Individual 02. Apr 19 02. Apr 19 2,517,000 HK$2.39 HK$6,019,148
15. Jan 19 Buy Eng Soon Tan Individual 11. Jan 19 11. Jan 19 1,221,000 HK$2.45 HK$2,991,447
11. Jan 19 Buy Eng Soon Tan Individual 08. Jan 19 08. Jan 19 2,466,000 HK$2.40 HK$5,918,397
05. Nov 18 Buy Eng Soon Tan Individual 31. Oct 18 31. Oct 18 1,800,000 HK$2.49 HK$4,482,000
31. Oct 18 Buy Eng Soon Tan Individual 26. Oct 18 26. Oct 18 1,800,000 HK$2.53 HK$4,554,005
23. Oct 18 Buy Eng Soon Tan Individual 19. Oct 18 19. Oct 18 930,000 HK$2.46 HK$2,287,801
19. Oct 18 Buy Eng Soon Tan Individual 16. Oct 18 16. Oct 18 345,000 HK$2.52 HK$869,399
16. Oct 18 Buy Eng Soon Tan Individual 12. Oct 18 12. Oct 18 270,000 HK$2.50 HK$675,001
04. Oct 18 Buy Eng Soon Tan Individual 28. Sep 18 28. Sep 18 1,728,000 HK$2.61 HK$4,510,085
21. Sep 18 Buy Eng Soon Tan Individual 18. Sep 18 18. Sep 18 660,000 HK$2.61 HK$1,722,599
17. Sep 18 Buy Eng Soon Tan Individual 12. Sep 18 12. Sep 18 750,000 HK$2.55 HK$1,912,498
12. Sep 18 Buy Eng Soon Tan Individual 10. Sep 18 10. Sep 18 1,755,000 HK$2.59 HK$4,545,447
X
Management checks
We assess Tan Chong International's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Tan Chong International has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Did Changing Sentiment Drive Tan Chong International's (HKG:693) Share Price Down By 25%?

During the five years over which the share price declined, Tan Chong International's earnings per share (EPS) dropped by 22% each year. … It is important to consider the total shareholder return, as well as the share price return, for any given stock. … As it happens, Tan Chong International's TSR for the last 5 years was -7.5%, which exceeds the share price return mentioned earlier.

Simply Wall St -

Is There More To Tan Chong International Limited (HKG:693) Than Its 4.5% Returns On Capital?

The formula for calculating the return on capital employed is: Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities) Or for Tan Chong International: 0.045 = HK$613m ÷ (HK$18b - HK$4.6b) (Based on the trailing twelve months to December 2018.) Therefore, Tan Chong International has an ROCE of 4.5%. … What Are Current Liabilities, And How Do They Affect Tan Chong International's ROCE? … Due to the way ROCE is calculated, a high level of current liabilities makes a company look as though it has less capital employed, and thus can (sometimes unfairly) boost the ROCE.

Simply Wall St -

Do You Like Tan Chong International Limited (HKG:693) At This P/E Ratio?

We'll look at Tan Chong International Limited's (HKG:693) P/E ratio and reflect on what it tells us about the company's share price. … Check out our latest analysis for Tan Chong International How Do I Calculate A Price To Earnings Ratio? … The formula for P/E is: Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS) Or for Tan Chong International: P/E of 8.38 = HK$2.5 ÷ HK$0.30 (Based on the year to December 2018.) Is A High P/E Ratio Good?

Simply Wall St -

Have Insiders Been Buying Tan Chong International Limited (HKG:693) Shares?

So shareholders might well want to know whether insiders have been buying or selling shares in Tan Chong International Limited (HKG:693). … For example, a Harvard University study found that 'insider purchases earn abnormal returns of more than 6% per year.' View our latest analysis for Tan Chong International Tan Chong International Insider Transactions Over The Last Year Over the last year, we can see that the biggest insider purchase was by Beng Yan Wee for HK$6.1m worth of shares, at about HK$2.45 per share. … Insider Ownership of Tan Chong International For a common shareholder, it is worth checking how many shares are held by company insiders.

Simply Wall St -

Do Directors Own Tan Chong International Limited (HKG:693) Shares?

Tan Chong International is a smaller company with a market capitalization of HK$5.0b, so it may still be flying under the radar of many institutional investors. … Check out our latest analysis for Tan Chong International SEHK:693 Ownership Summary, May 15th 2019 What Does The Lack Of Institutional Ownership Tell Us About Tan Chong International? … Insider Ownership Of Tan Chong International The definition of an insider can differ slightly between different countries, but members of the board of directors always count.

Simply Wall St -

A Look At Tan Chong International Limited's (HKG:693) Exceptional Fundamentals

Help shape the future of investing tools and you could win a $250 gift card! … Tan Chong International Limited (HKG:693) is a stock with outstanding fundamental characteristics. … When we build an investment case, we need to look at the stock with a holistic perspective.

Simply Wall St -

Does Tan Chong International Limited's (HKG:693) 20% Earnings Growth Reflect The Long-Term Trend?

When Tan Chong International Limited (HKG:693) announced its most recent earnings (31 December 2018), I did two things: looked at its past earnings track record, then look at what is happening in the industry. … Were 693's earnings stronger than its past performances and the industry. … 693's trailing twelve-month earnings (from 31 December 2018) of HK$601m has.

Simply Wall St -

Is Tan Chong International Limited's (HKG:693) Balance Sheet A Threat To Its Future?

While small-cap stocks, such as Tan Chong International Limited (HKG:693) with its market cap of HK$4.8b, are popular for their explosive growth, investors should also be aware of their balance sheet to judge whether the company can survive a downturn. … Understanding the company's financial health becomes. … Let's work through some financial health checks you may wish to consider if you're interested in this stock.

Simply Wall St -

Did Changing Sentiment Drive Tan Chong International's Share Price Down By 22%?

One way to examine how market sentiment has changed over time is to look at the interaction between a company's share price and its earnings per share (EPS). … During the five years over which the share price declined, Tan Chong International's earnings per share (EPS) dropped by 14% each year. … This fall in the EPS is worse than the 4.8% compound annual share price fall.

Simply Wall St -

Does Tan Chong International Limited's (HKG:693) P/E Ratio Signal A Buying Opportunity?

This article is for investors who would like to improve their understanding of price to earnings ratios (P/E ratios). … How Do I Calculate A Price To Earnings Ratio … Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS)

Simply Wall St -

Company Info

Description

Tan Chong International Limited, an investment holding company, distributes and retails motor vehicles in Singapore, Hong Kong, the People’s Republic of China, Thailand, Japan, and internationally. The company distributes various models of Nissan and Subaru passenger cars; and Nissan light commercial vehicles. It also distributes heavy commercial vehicles and industrial equipment, including Nissan forklift trucks, as well as auto spare parts. In addition, the company engages in the rental of machinery and provision of workshop services; trading of used cars; and investment, development, and sale of properties. Further, it manufactures vehicle seats; and provides vehicle transportation and maintenance, cargo logistics, human resource management, hire purchase financing, and insurance agency services. The company was founded in 1957 and is based in Wanchai, Hong Kong.

Details
Name: Tan Chong International Limited
693
Exchange: SEHK
Founded: 1957
HK$4,892,340,870
2,013,309,000
Website: http://www.tanchong.com
Address: Tan Chong International Limited
Shui On Centre,
Unit 3001, 30th Floor,
Wanchai,
Hong Kong
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
SEHK 693 Ordinary Shares The Stock Exchange of Hong Kong Ltd. HK HKD 07. Jul 1998
SGX T15 Ordinary Shares Singapore Exchange SG HKD 07. Jul 1998
Number of employees
Current staff
Staff numbers
5,815
Tan Chong International employees.
Industry
Distributors
Retail
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/07/22 12:45
End of day share price update: 2019/07/19 00:00
Last estimates confirmation: 2019/03/27
Last earnings filing: 2019/04/25
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.