SEHK:1679

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

Risecomm Group Holdings

Executive Summary

Risecomm Group Holdings Limited, an investment holding company, designs and develops application-specific integrated circuits (ICs) in the People’s Republic of China. More Details


Snowflake Analysis

Adequate balance sheet with weak fundamentals.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: 1679 is more volatile than 90% of Hong Kong stocks over the past 3 months, typically moving +/- 28% a week.

Volatility Over Time: 1679's weekly volatility has increased from 20% to 28% over the past year.


Market Performance


7 Day Return

21.3%

1679

0.9%

HK Semiconductor

0.4%

HK Market


1 Year Return

-79.3%

1679

123.5%

HK Semiconductor

11.0%

HK Market

Return vs Industry: 1679 underperformed the Hong Kong Semiconductor industry which returned 125% over the past year.

Return vs Market: 1679 underperformed the Hong Kong Market which returned 10.1% over the past year.


Shareholder returns

1679IndustryMarket
7 Day21.3%0.9%0.4%
30 Day-76.8%4.5%7.0%
90 Day-55.4%16.6%6.4%
1 Year-79.3%-79.3%125.7%123.5%15.5%11.0%
3 Year-92.2%-92.2%138.2%130.5%4.1%-6.8%
5 Yearn/a192.6%168.8%34.9%12.3%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Risecomm Group Holdings undervalued compared to its fair value and its price relative to the market?

1.43x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate 1679's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate 1679's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: 1679 is unprofitable, so we can't compare its PE Ratio to the HK Semiconductor industry average.

PE vs Market: 1679 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 1679's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 1679 is overvalued based on its PB Ratio (1.4x) compared to the HK Semiconductor industry average (1.2x).


Next Steps

Future Growth

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

20.2%

Forecasted Semiconductors 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 Risecomm Group 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 Risecomm Group Holdings performed over the past 5 years?

-100.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 1679 is currently unprofitable.

Growing Profit Margin: 1679 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: 1679 is unprofitable, and losses have increased over the past 5 years at a rate of 100.7% per year.

Accelerating Growth: Unable to compare 1679's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 1679 is unprofitable, making it difficult to compare its past year earnings growth to the Semiconductor industry (36.4%).


Return on Equity

High ROE: 1679 has a negative Return on Equity (-149.16%), as it is currently unprofitable.


Next Steps

Financial Health

How is Risecomm Group Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: 1679's short term assets (CN¥315.6M) exceed its short term liabilities (CN¥129.2M).

Long Term Liabilities: 1679's short term assets (CN¥315.6M) exceed its long term liabilities (CN¥293.3M).


Debt to Equity History and Analysis

Debt Level: 1679's debt to equity ratio (70.6%) is considered high.

Reducing Debt: 1679's debt to equity ratio has increased from 0% to 70.6% over the 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: 1679 has sufficient cash runway for more than 3 years based on its current free cash flow.

Forecast Cash Runway: 1679 has sufficient cash runway for more than 3 years if free cash flow continues to grow at historical rates of 14% each year


Next Steps

Dividend

What is Risecomm Group Holdings's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate 1679's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate 1679's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if 1679's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 1679's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 1679'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?

8.0yrs

Average management tenure


CEO

Risecomm Group Holdings has no CEO, or we have no data on them.


Leadership Team

NamePositionTenureCompensationOwnership
Jingxing Yue
Executive Director4.83yrsCN¥1.26m9.48%
CN¥ 21.8m
Andong Tang
Executive Director1.42yrsCN¥1.47mno data
Wai Leung Lau
Company Secretary0.42yrCN¥509.00kno data
Youyun Zhang
Executive Vice President of Risecomm WFOEno dataCN¥397.00kno data
Jian Gu
CTO & VP - Old Cayman & Risecomm WFOE and GM of Risecomm Wuxi & Risecomm HK Technology10.25yrsno datano data
Baojun Zhang
VP & Chief Engineer of Risecomm WFOE8.25yrsno datano data
Ming Liu
Vice President - Risecomm WFOE11.83yrsno datano data
Shuiying Chen
Financial Controller of Risecomm WFOE7.75yrsno datano data
Chen Zhilong
Deputy Chief Engineerno datano datano data
Xiao Hongdong
Deputy Chief Engineerno datano datano data
Yang Qingming
Technical Directorno datano datano data
Fan Weiguang
Senior Engineerno datano datano data

8.0yrs

Average Tenure

53.5yo

Average Age

Experienced Management: 1679's management team is seasoned and experienced (8 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Jingxing Yue
Executive Director4.83yrsCN¥1.26m9.48%
CN¥ 21.8m
Andong Tang
Executive Director1.42yrsCN¥1.47mno data
King Keung Ong
Independent Non-Executive Director3.58yrsCN¥213.00kno data
Bingrong Zhou
Non-Executive Director1.08yrsCN¥84.00kno data
Shiguang Wang
Non-Executive Director4.83yrsCN¥1.07mno data
Lau Ki
Director of Risecomm WFOEno datano datano data
Fan Cheung
Chairman of the Board1.5yrsCN¥225.00kno data
Wan Man Lo
Independent Non-Executive Director1.58yrsCN¥62.00kno data
Heqiang Zou
Independent Non-Executive Director1.58yrsCN¥62.00kno data
Hong Pan
Non-Executive Director0.50yrno datano data

1.6yrs

Average Tenure

48yo

Average Age

Experienced Board: 1679's board of directors are not considered experienced ( 1.6 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.


Recent Insider Transactions

Ownership Breakdown

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


Top Shareholders

Company Information

Risecomm Group Holdings Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Risecomm Group Holdings Limited
  • Ticker: 1679
  • Exchange: SEHK
  • Founded: 2006
  • Industry: Semiconductors
  • Sector: Semiconductors
  • Market Cap: HK$229.882m
  • Shares outstanding: 986.62m
  • Website: https://www.risecomm.com.cn

Number of Employees


Location

  • Risecomm Group Holdings Limited
  • Skyworth Building C501
  • Hi-tech Industrial Park
  • Shenzhen
  • Guangdong Province
  • 518057
  • China

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
1679SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDJun 2017

Biography

Risecomm Group Holdings Limited, an investment holding company, designs and develops application-specific integrated circuits (ICs) in the People’s Republic of China. It operates through two segments, Auto...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/12/02 10:19
End of Day Share Price2020/12/02 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.