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984

AEON Stores (Hong Kong)SEHK:984 Stock Report

Market Cap

HK$384.8m

7D

2.1%

1Y

-33.3%

Updated

17 Oct, 2021

Data

Company Financials
984 fundamental analysis
Snowflake Score
Valuation2/6
Future Growth0/6
Past Performance0/6
Financial Health4/6
Dividends1/6

984 Overview

AEON Stores (Hong Kong) Co., Limited operates general merchandise stores (GMS).

Price History & Performance

Summary of all time highs, changes and price drops for AEON Stores (Hong Kong)
Historical stock prices
Current Share PriceHK$1.48
52 Week HighHK$1.41
52 Week LowHK$2.37
Beta0.59
1 Month Change1.37%
3 Month Change-10.30%
1 Year Change-33.33%
3 Year Change-62.53%
5 Year Change-79.10%
Change since IPO-20.00%

Recent News & Updates

Sep 12
AEON Stores (Hong Kong)'s (HKG:984) Dividend Is Being Reduced To HK$0.03

AEON Stores (Hong Kong)'s (HKG:984) Dividend Is Being Reduced To HK$0.03

AEON Stores (Hong Kong) Co., Limited's ( HKG:984 ) dividend is being reduced to HK$0.03 on the 29th of October. This...

Aug 29
AEON Stores (Hong Kong)'s (HKG:984) Dividend Will Be Reduced To HK$0.03

AEON Stores (Hong Kong)'s (HKG:984) Dividend Will Be Reduced To HK$0.03

AEON Stores (Hong Kong) Co., Limited's ( HKG:984 ) dividend is being reduced to HK$0.03 on the 29th of October. This...

Shareholder Returns

984HK Multiline RetailHK Market
7D2.1%1.3%1.1%
1Y-33.3%-11.4%5.3%

Return vs Industry: 984 underperformed the Hong Kong Multiline Retail industry which returned -11.4% over the past year.

Return vs Market: 984 underperformed the Hong Kong Market which returned 5.3% over the past year.

Price Volatility

Is 984's price volatile compared to industry and market?
984 volatility
984 Beta0.59
Industry Beta0.63
Market Beta1

Stable Share Price: 984 is less volatile than 75% of Hong Kong stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: 984's weekly volatility (5%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19858,200Isao Sugawarahttps://www.aeonstores.com.hk

AEON Stores (Hong Kong) Co., Limited operates general merchandise stores (GMS). The company offers a range of daily necessity merchandise, such as food, fashion, household items, and electrical appliances; kitchen utensils, stationery, glassware, home decoration, beauty and personal care products, and other products; food and beverages; bread, pastries, and other food delicacies; cosmetics, skin care, and personal care products, as well as drugs and healthy food products; and amusement rides. The company also operates AEONCITY, an online shopping store.

AEON Stores (Hong Kong) Fundamentals Summary

How do AEON Stores (Hong Kong)'s earnings and revenue compare to its market cap?
984 fundamental statistics
Market CapHK$384.80m
Earnings (TTM)-HK$210.15m
Revenue (TTM)HK$9.69b

0.04x

P/S Ratio

-1.8x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
984 income statement (TTM)
RevenueHK$9.69b
Cost of RevenueHK$7.18b
Gross ProfitHK$2.51b
ExpensesHK$2.72b
Earnings-HK$210.15m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)-0.81
Gross Margin25.90%
Net Profit Margin-2.17%
Debt/Equity Ratio0%

How did 984 perform over the long term?

See historical performance and comparison

Dividends

4.1%

Current Dividend Yield

-10%

Payout Ratio

Valuation

Is AEON Stores (Hong Kong) undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 984 (HK$1.48) is trading below our estimate of fair value (HK$37.03)

Significantly Below Fair Value: 984 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 984 is unprofitable, so we can't compare its PE Ratio to the Hong Kong Multiline Retail industry average.

PE vs Market: 984 is unprofitable, so we can't compare its PE Ratio to the Hong Kong market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 984's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 984 is overvalued based on its PB Ratio (0.9x) compared to the HK Multiline Retail industry average (0.3x).


Future Growth

How is AEON Stores (Hong Kong) forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

32.3%

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 AEON Stores (Hong Kong) 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.


Past Performance

How has AEON Stores (Hong Kong) performed over the past 5 years?

-35.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 984 is currently unprofitable.

Growing Profit Margin: 984 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: 984 is unprofitable, and losses have increased over the past 5 years at a rate of 35.1% per year.

Accelerating Growth: Unable to compare 984's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 984 is unprofitable, making it difficult to compare its past year earnings growth to the Multiline Retail industry (13.7%).


Return on Equity

High ROE: 984 has a negative Return on Equity (-41.03%), as it is currently unprofitable.


Financial Health

How is AEON Stores (Hong Kong)'s financial position?


Financial Position Analysis

Short Term Liabilities: 984's short term assets (HK$2.8B) do not cover its short term liabilities (HK$3.1B).

Long Term Liabilities: 984's short term assets (HK$2.8B) do not cover its long term liabilities (HK$4.1B).


Debt to Equity History and Analysis

Debt Level: 984 is debt free.

Reducing Debt: 984 has not had any debt for past 5 years.


Balance Sheet


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: Whilst unprofitable 984 has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: 984 is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 54.8% per year.


Dividend

What is AEON Stores (Hong Kong) current dividend yield, its reliability and sustainability?

4.05%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 984's dividend (4.05%) is higher than the bottom 25% of dividend payers in the Hong Kong market (2.26%).

High Dividend: 984's dividend (4.05%) is low compared to the top 25% of dividend payers in the Hong Kong market (6.78%).


Stability and Growth of Payments

Stable Dividend: 984's dividend payments have been volatile in the past 10 years.

Growing Dividend: 984's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: 984 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

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

1.4yrs

Average management tenure


CEO

Isao Sugawara (60 yo)

0.42

Tenure

Mr. Isao Sugawara serves as Managing Director and Executive Director at AEON Stores (Hong Kong) Co., Limited since May 28, 2021 and served as the Non-Executive Director since March 25, 2021 until May 28, 2...


Leadership Team

Experienced Management: 984's management team is not considered experienced ( 1.4 years average tenure), which suggests a new team.


Board Members

Experienced Board: 984's board of directors are considered experienced (3.2 years average tenure).


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.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

AEON Stores (Hong Kong) Co., Limited's employee growth, exchange listings and data sources


Key Information

  • Name: AEON Stores (Hong Kong) Co., Limited
  • Ticker: 984
  • Exchange: SEHK
  • Founded: 1985
  • Industry: Department Stores
  • Sector: Retail
  • Market Cap: HK$384.800m
  • Shares outstanding: 260.00m
  • Website: https://www.aeonstores.com.hk

Number of Employees


Location

  • AEON Stores (Hong Kong) Co., Limited
  • CDW Building
  • 26th Floor
  • Tsuen Wan
  • New Territories
  • Hong Kong

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/17 10:10
End of Day Share Price2021/10/15 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


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.