SEHK:8036

Stock Analysis Report

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Executive Summary

eBroker Group Limited, an investment holding company, provides financial software solution services to financial institutions in Hong Kong. More Details


Snowflake Analysis

Flawless balance sheet with questionable track record.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: 8036 is not significantly more volatile than the rest of Hong Kong stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: 8036's weekly volatility (5%) has been stable over the past year.


Market Performance


7 Day Return

-1.2%

8036

19.6%

HK Software

5.7%

HK Market


1 Year Return

-46.4%

8036

181.6%

HK Software

14.3%

HK Market

Return vs Industry: 8036 underperformed the Hong Kong Software industry which returned 181.6% over the past year.

Return vs Market: 8036 underperformed the Hong Kong Market which returned 14.3% over the past year.


Shareholder returns

8036IndustryMarket
7 Day-1.2%19.6%5.7%
30 Day-8.9%37.9%13.6%
90 Day-2.4%68.6%19.6%
1 Year-46.4%-46.4%182.7%181.6%18.9%14.3%
3 Yearn/a194.6%191.9%-2.9%-13.1%
5 Yearn/a262.6%256.8%70.9%42.2%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

67.88x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate 8036's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate 8036's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: 8036 is poor value based on its PE Ratio (67.9x) compared to the HK Software industry average (29.9x).

PE vs Market: 8036 is poor value based on its PE Ratio (67.9x) compared to the Hong Kong market (11.9x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 8036's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 8036 is overvalued based on its PB Ratio (1.9x) compared to the HK Software industry average (0.9x).


Next Steps

Future Growth

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

31.9%

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 eBroker Group 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 eBroker Group performed over the past 5 years?

-90.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 8036 has high quality earnings.

Growing Profit Margin: 8036 became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: 8036's earnings have declined by 90.7% per year over the past 5 years.

Accelerating Growth: 8036 has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: 8036 has become profitable in the last year, making it difficult to compare its past year earnings growth to the Software industry (-7.4%).


Return on Equity

High ROE: 8036's Return on Equity (2.5%) is considered low.


Next Steps

Financial Health

How is eBroker Group's financial position?


Financial Position Analysis

Short Term Liabilities: 8036's short term assets (HK$43.7M) exceed its short term liabilities (HK$8.5M).

Long Term Liabilities: 8036's short term assets (HK$43.7M) exceed its long term liabilities (HK$1.2M).


Debt to Equity History and Analysis

Debt Level: 8036 is debt free.

Reducing Debt: 8036 had no debt 5 years ago.

Debt Coverage: 8036 has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: 8036 has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Next Steps

Dividend

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


Dividend Yield vs Market

Notable Dividend: Unable to evaluate 8036's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate 8036'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 8036's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 8036'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 8036'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?

2.6yrs

Average board tenure


CEO

Chi Ho Lo (47 yo)

no data

Tenure

HK$1,506,000

Compensation

Mr. Chi Ho Lo is Chief Executive Officer and Compliance Officer of eBroker Group Limited and its Executive Director since joining on December 10, 2012. Mr. Lo has over 16 years of experience in the softwar...


CEO Compensation Analysis

Compensation vs Market: Chi Ho's total compensation ($USD194.28K) is about average for companies of similar size in the Hong Kong market ($USD230.00K).

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


Board Members

NamePositionTenureCompensationOwnership
Lap Tak Chan
Executive Chairmanno dataHK$1.63m0.19%
HK$ 187.9k
Chi Ho Lo
CEO, Compliance Officer & Executive Directorno dataHK$1.51m0.74%
HK$ 746.2k
Po Fung Au Yeung
Independent Non-Executive Director2.58yrsHK$155.00kno data
Chi Kwong Chan
Independent Non-Executive Director2.58yrsHK$155.00kno data
Kin Sing Liu
Independent Non-Executive Director2.58yrsHK$155.00kno data

2.6yrs

Average Tenure

51yo

Average Age

Experienced Board: 8036's board of directors are not considered experienced ( 2.6 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

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


Key Information

  • Name: eBroker Group Limited
  • Ticker: 8036
  • Exchange: SEHK
  • Founded: 2000
  • Industry: Application Software
  • Sector: Software
  • Market Cap: HK$100.860m
  • Shares outstanding: 1.23b
  • Website: https://www.ebrokersystems.com

Number of Employees


Location

  • eBroker Group Limited
  • China Insurance Group Building
  • Room 603
  • Central
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
8036SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDFeb 2019

Biography

eBroker Group Limited, an investment holding company, provides financial software solution services to financial institutions in Hong Kong. The company’s trading solution includes eBrokerSys, sponsored DMA...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/01/21 10:11
End of Day Share Price2021/01/20 00:00
Earnings2020/09/30
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.