Executive Summary
China Public Procurement Limited, an investment holding company, engages in the trading of various products in the People’s Republic of China. More Details
Rewards
Risk Analysis
Snowflake Analysis
Fair value with mediocre balance sheet.
Share Price & News
How has China Public Procurement's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: 1094 is more volatile than 75% of Hong Kong stocks over the past 3 months, typically moving +/- 11% a week.
Volatility Over Time: 1094's weekly volatility (11%) has been stable over the past year, but is still higher than 75% of Hong Kong stocks.
Market Performance
7 Day Return
-7.2%
1094
-3.0%
HK IT
2.2%
HK Market
1 Year Return
-35.7%
1094
12.3%
HK IT
7.2%
HK Market
Return vs Industry: 1094 underperformed the Hong Kong IT industry which returned 12.5% over the past year.
Return vs Market: 1094 underperformed the Hong Kong Market which returned 7.5% over the past year.
Shareholder returns
| 1094 | Industry | Market | |
|---|---|---|---|
| 7 Day | -7.2% | -3.0% | 2.2% |
| 30 Day | 5.9% | 5.6% | 8.4% |
| 90 Day | -12.2% | 10.7% | 15.6% |
| 1 Year | -35.7%-35.7% | 14.5%12.3% | 11.4%7.2% |
| 3 Year | -88.5%-88.5% | -10.9%-15.5% | -3.4%-13.5% |
| 5 Year | -98.9%-98.9% | 41.3%26.4% | 65.4%37.4% |
Long-Term Price Volatility Vs. Market
How volatile is China Public Procurement's share price compared to the market and industry in the last 5 years?
Simply Wall St News
7 months ago | Simply Wall St
How Many China Public Procurement Limited (HKG:1094) Shares Did Insiders Buy, In The Last Year?8 months ago | Simply Wall St
Do Directors Own China Public Procurement Limited (HKG:1094) Shares?9 months ago | Simply Wall St
Health Check: How Prudently Does China Public Procurement (HKG:1094) Use Debt?Valuation
Is China Public Procurement 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: 1094 (HK$0.18) is trading below our estimate of fair value (HK$0.42)
Significantly Below Fair Value: 1094 is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: 1094 is unprofitable, so we can't compare its PE Ratio to the HK IT industry average.
PE vs Market: 1094 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 1094's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: 1094 is good value based on its PB Ratio (0.2x) compared to the HK IT industry average (1.2x).
Next Steps
Future Growth
How is China Public Procurement forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?
36.3%
Forecasted Software 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 China Public Procurement 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
- Examine whether China Public Procurement is trading at an attractive price based on how much it is expected to earn in the future, and relative to its industry peers and the wider market.
- China Public Procurement competitive advantages and company strategy can generally be found in its financial reports archived here.
- Explore growth companies in the Software industry.
Past Performance
How has China Public Procurement performed over the past 5 years?
65.6%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: 1094 is currently unprofitable.
Growing Profit Margin: 1094 is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: 1094 is unprofitable, but has reduced losses over the past 5 years at a rate of 65.6% per year.
Accelerating Growth: Unable to compare 1094's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: 1094 is unprofitable, making it difficult to compare its past year earnings growth to the IT industry (-7.6%).
Return on Equity
High ROE: 1094 has a negative Return on Equity (-6.86%), as it is currently unprofitable.
Next Steps
Financial Health
How is China Public Procurement's financial position?
Financial Position Analysis
Short Term Liabilities: 1094's short term assets (HK$25.7M) do not cover its short term liabilities (HK$94.8M).
Long Term Liabilities: 1094's short term assets (HK$25.7M) do not cover its long term liabilities (HK$47.5M).
Debt to Equity History and Analysis
Debt Level: 1094's debt to equity ratio (17.7%) is considered satisfactory.
Reducing Debt: 1094's debt to equity ratio has increased from 0.05% to 17.7% 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: Whilst unprofitable 1094 has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.
Forecast Cash Runway: 1094 is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 33.8% per year.
Next Steps
Dividend
What is China Public Procurement current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate 1094's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate 1094'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 1094's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if 1094'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 1094'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?
4.1yrs
Average board tenure
CEO
Jinwei Zheng (51 yo)
5.5yrs
Tenure
HK$739,000
Compensation
Mr. Jinwei Zheng, EMBA, BEng has been the Chief Executive Officer of China Public Procurement Limited since July 15, 2015, Chairman since June 7, 2016 and as its Executive Director since December 23, 2014.
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman & CEO | 5.5yrs | HK$739.00k | 0.25% HK$ 108.0k | |
| Executive Director | 6yrs | HK$240.00k | no data | |
| Non-Executive Director | 5.5yrs | HK$300.00k | no data | |
| Independent Non-Executive Director | 6.33yrs | HK$360.00k | no data | |
| Independent Non-Executive Director | 3.58yrs | HK$360.00k | no data | |
| Non-Executive Director | 2.5yrs | HK$240.00k | no data | |
| Non-Executive Director | 2.5yrs | HK$240.00k | no data | |
| Independent Non-Executive Director | 2.08yrs | HK$240.00k | no data |
4.1yrs
Average Tenure
49yo
Average Age
Experienced Board: 1094's board of directors are considered experienced (4.1 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 been diluted in the past year, with total shares outstanding growing by 16.7%.
Top Shareholders
Company Information
China Public Procurement Limited's company bio, employee growth, exchange listings and data sources
Key Information
- Name: China Public Procurement Limited
- Ticker: 1094
- Exchange: SEHK
- Founded:
- Industry: IT Consulting and Other Services
- Sector: Software
- Market Cap: HK$43.971m
- Shares outstanding: 244.28m
- Website: https://www.cpphk1094.com
Number of Employees
Location
- China Public Procurement Limited
- Tower Two, Lippo Centre
- 5th Floor
- Admiralty
- Hong Kong
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| 1094 | SEHK (The Stock Exchange of Hong Kong Ltd.) | Yes | Ordinary Shares | HK | HKD | Jul 2002 |
Biography
China Public Procurement Limited, an investment holding company, engages in the trading of various products in the People’s Republic of China. It operates through four segments: Public Procurement, Trading...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/01/16 10:08 |
| End of Day Share Price | 2021/01/15 00:00 |
| Earnings | 2020/06/30 |
| Annual Earnings | 2019/12/31 |
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.