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6865

Flat Glass Group SEHK:6865 Stock Report

Last Price

HK$25.85

Market Cap

HK$89.0b

7D

0.2%

1Y

-22.5%

Updated

13 Aug, 2022

Data

Company Financials +
6865 fundamental analysis
Snowflake Score
Valuation3/6
Future Growth5/6
Past Performance1/6
Financial Health4/6
Dividends0/6

6865 Stock Overview

Flat Glass Group Co., Ltd., together with its subsidiaries, engages in the manufacture and sale of glass products in the People's Republic of China, the rest of Asia, Europe, North America, and internationally.

Flat Glass Group Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Flat Glass Group
Historical stock prices
Current Share PriceHK$25.85
52 Week HighHK$45.40
52 Week LowHK$23.20
Beta1.07
1 Month Change-8.50%
3 Month Change-11.93%
1 Year Change-22.49%
3 Year Change559.44%
5 Year Change1,858.33%
Change since IPO1,232.47%

Recent News & Updates

Shareholder Returns

6865HK SemiconductorHK Market
7D0.2%-3.8%0.3%
1Y-22.5%-24.9%-21.6%

Return vs Industry: 6865 exceeded the Hong Kong Semiconductor industry which returned -24.9% over the past year.

Return vs Market: 6865 matched the Hong Kong Market which returned -21.6% over the past year.

Price Volatility

Is 6865's price volatile compared to industry and market?
6865 volatility
6865 Average Weekly Movement6.5%
Semiconductor Industry Average Movement7.1%
Market Average Movement6.5%
10% most volatile stocks in HK Market12.6%
10% least volatile stocks in HK Market3.2%

Stable Share Price: 6865 is not significantly more volatile than the rest of Hong Kong stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: 6865's weekly volatility (7%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19985,679Hongliang Ruanhttps://www.flatgroup.com.cn

Flat Glass Group Co., Ltd., together with its subsidiaries, engages in the manufacture and sale of glass products in the People's Republic of China, the rest of Asia, Europe, North America, and internationally. The company offers photovoltaic glass, float glass, architectural glass, and household glass products It is also involved in the mine of a quartzite ores; investment, construction, operation, and maintenance of energy power plants; development of natural gas utilization technology; and sale and installation of natural gas pipelines. In addition, it offers supply chain management services; transports goods; and exports glass products.

Flat Glass Group Fundamentals Summary

How do Flat Glass Group's earnings and revenue compare to its market cap?
6865 fundamental statistics
Market CapCN¥76.59b
Earnings (TTM)CN¥1.72b
Revenue (TTM)CN¥10.17b

27.8x

P/E Ratio

4.7x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
6865 income statement (TTM)
RevenueCN¥10.17b
Cost of RevenueCN¥7.46b
Gross ProfitCN¥2.71b
Other ExpensesCN¥988.97m
EarningsCN¥1.72b

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)0.80
Gross Margin26.64%
Net Profit Margin16.91%
Debt/Equity Ratio55.6%

How did 6865 perform over the long term?

See historical performance and comparison
We’ve recently updated our valuation analysis.

Valuation

Is 6865 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 6865?

Other financial metrics that can be useful for relative valuation.

6865 key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue8x
Enterprise Value/EBITDA32.7x
PEG Ratio1x

Price to Earnings Ratio vs Peers

How does 6865's PE Ratio compare to its peers?

6865 PE Ratio vs Peers
The above table shows the PE ratio for 6865 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average14.6x
968 Xinyi Solar Holdings
28.3x28.2%HK$106.2b
3800 GCL Technology Holdings
13.3x5.8%HK$78.9b
522 ASMPT
7.4x-3.3%HK$26.9b
981 Semiconductor Manufacturing International
9.5x0.5%HK$135.0b
6865 Flat Glass Group
27.8x27.5%HK$89.0b

Price-To-Earnings vs Peers: 6865 is expensive based on its Price-To-Earnings Ratio (27.8x) compared to the peer average (14.6x).


Price to Earnings Ratio vs Industry

How does 6865's PE Ratio compare vs other companies in the Asian Semiconductor Industry?

Price-To-Earnings vs Industry: 6865 is expensive based on its Price-To-Earnings Ratio (27.8x) compared to the Hong Kong Semiconductor industry average (10.6x)


Price to Earnings Ratio vs Fair Ratio

What is 6865's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

6865 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio27.8x
Fair PE Ratio29x

Price-To-Earnings vs Fair Ratio: 6865 is good value based on its Price-To-Earnings Ratio (27.8x) compared to the estimated Fair Price-To-Earnings Ratio (29x).


Share Price vs Fair Value

What is the Fair Price of 6865 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 6865 (HK$25.85) is trading below our estimate of fair value (HK$127.59)

Significantly Below Fair Value: 6865 is trading below fair value by more than 20%.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.


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Future Growth

How is Flat Glass Group forecast to perform in the next 1 to 3 years based on estimates from 14 analysts?

Future Growth Score

5/6

Future Growth Score 5/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


27.5%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 6865's forecast earnings growth (27.5% per year) is above the savings rate (1.6%).

Earnings vs Market: 6865's earnings (27.5% per year) are forecast to grow faster than the Hong Kong market (16.7% per year).

High Growth Earnings: 6865's earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: 6865's revenue (26.5% per year) is forecast to grow faster than the Hong Kong market (10.1% per year).

High Growth Revenue: 6865's revenue (26.5% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 6865's Return on Equity is forecast to be low in 3 years time (19.9%).


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Past Performance

How has Flat Glass Group performed over the past 5 years?

Past Performance Score

1/6

Past Performance Score 1/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


40.6%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: 6865 has a high level of non-cash earnings.

Growing Profit Margin: 6865's current net profit margins (16.9%) are lower than last year (31.6%).


Past Earnings Growth Analysis

Earnings Trend: 6865's earnings have grown significantly by 40.6% per year over the past 5 years.

Accelerating Growth: 6865's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 6865 had negative earnings growth (-23.7%) over the past year, making it difficult to compare to the Semiconductor industry average (33.9%).


Return on Equity

High ROE: 6865's Return on Equity (14%) is considered low.


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Financial Health

How is Flat Glass Group's financial position?

Financial Health Score

4/6

Financial Health Score 4/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: 6865's short term assets (CN¥7.9B) exceed its short term liabilities (CN¥7.6B).

Long Term Liabilities: 6865's short term assets (CN¥7.9B) exceed its long term liabilities (CN¥3.5B).


Debt to Equity History and Analysis

Debt Level: 6865's net debt to equity ratio (37.3%) is considered satisfactory.

Reducing Debt: 6865's debt to equity ratio has increased from 13.7% to 55.6% over the past 5 years.

Debt Coverage: 6865's debt is not well covered by operating cash flow (14.7%).

Interest Coverage: 6865's interest payments on its debt are well covered by EBIT (31.5x coverage).


Balance Sheet


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Dividend

What is Flat Glass Group current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


0.89%

Forecast Dividend Yield

Dividend Yield vs Market

Notable Dividend: Unable to evaluate 6865's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate 6865'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 6865's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 6865's dividend payments have been increasing.


Earnings Payout to Shareholders

Earnings Coverage: 6865 is not paying a notable dividend for the Hong Kong market.


Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as 6865 has not reported any payouts.


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Management

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

24.2yrs

Average management tenure


CEO

Hongliang Ruan (60 yo)

16.67yrs

Tenure

CN¥1,122,251

Compensation

Mr. Hongliang Ruan serves as Non-Executive Director at JiaXing Gas Group Co., Ltd. since June 4, 2021. He founded Flat Glass Group Co., Ltd.and serves as its General Manager and ia its Chairman of the Boa...


CEO Compensation Analysis

Compensation vs Market: Hongliang's total compensation ($USD166.44K) is below average for companies of similar size in the Hong Kong market ($USD997.84K).

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


Leadership Team

Experienced Management: 6865's management team is seasoned and experienced (24.2 years average tenure).


Board Members

Experienced Board: 6865's board of directors are considered experienced (7.6 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

Flat Glass Group Co., Ltd.'s employee growth, exchange listings and data sources


Key Information

  • Name: Flat Glass Group Co., Ltd.
  • Ticker: 6865
  • Exchange: SEHK
  • Founded: 1998
  • Industry: Semiconductor Equipment
  • Sector: Semiconductors
  • Implied Market Cap: HK$89.040b
  • Shares outstanding: 2.15b
  • Website: https://www.flatgroup.com.cn

Number of Employees


Location

  • Flat Glass Group Co., Ltd.
  • 1999 Yunhe Road
  • Xiuzhou District
  • Jiaxing
  • Zhejiang Province
  • China

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/08/13 00:00
End of Day Share Price2022/08/12 00:00
Earnings2022/03/31
Annual Earnings2021/12/31


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.