Cowell e Holdings Inc., an investment holding company, engages in the design, development, manufacture, and sale of camera modules for smartphones, multimedia tablets, laptops, PDAs, and other mobile devices with camera functions in the People’s Republic of China, the Republic of Korea, and internationally.
The last earnings update was 40 days ago.
Discounted Cash Flow Calculation for SEHK:1415 using 2 Stage Free Cash Flow to Equity Model
The calculations below outline how an intrinsic value for
Cowell e Holdings
is arrived at by discounting future cash flows to their present value using the 2 stage method.
We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.
SEHK:1415 DCF 1st Stage: Next 10 year cash flow forecast
Amount off the current price
Cowell e Holdings
is available for.
Share price is
vs Future cash flow value of
Current Discount Checks
Cowell e Holdings
to be considered undervalued it must be available for at least 20% below the
current price. Less than 40% is even better.
Cowell e Holdings's share price is below the future cash flow value, and at a moderate discount (> 20%).
Cowell e Holdings's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for
it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing
when they are out of season, or how much your home is worth.
The amount the stock market is willing to pay for
Cowell e Holdings's
is considered below, and whether this is a fair price.
Price based on past earnings
Cowell e Holdings's earnings available for a low price, and how does
this compare to other companies in the same industry?
Cowell e Holdings's earnings are expected to grow by 11.3% yearly, however this is not considered high growth (20% yearly).
Cowell e Holdings's revenue is expected to grow by 3.8% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can
be gauged below. We look back 3 years and see if they were any good at
predicting what actually occurred. We also show the highest and lowest estimates
looking forward to see if there is a wide range.
Cowell e Holdings's performance over the past 5 years by checking for:
Has earnings increased in past 5 years? (1 check)
Has the earnings growth in the last year exceeded that of the
industry? (1 check)
Is the recent earnings growth over the last year higher than the average annual growth over the
past 5 years? (1 check)
Is the Return on Equity (ROE) higher than 20%? (1 check)
Is the Return on Assets (ROA) above industry average? (1 check)
Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent
earnings report. Some checks require at least 3 or 5 years worth of data.
Cowell e Holdings
has a total score of
0/6, see the detailed checks below.
Note: We use GAAP Net Income excluding extraordinary items in all our calculations.
A company's financial position is much like your own financial position,
it includes everything you own
The boxes below represent the relative size of what makes up
Cowell e Holdings's finances.
The net worth of a company is the difference between its assets and liabilities.
Cowell e Holdings is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
Cowell e Holdings's cash and other short term assets cover its long term commitments.
This treemap shows a more detailed breakdown of
Cowell e Holdings's finances. If any of them are yellow this
indicates they may be out of proportion and red means they relate to one of the
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
High level of physical assets or inventory.
Cowell e Holdings has no debt, it does not need to be covered by short term assets.
Nearly all companies have debt. Debt in itself isn’t
however if the debt is too high, or the company can’t afford to pay the interest
on its debts this may have impacts in the future.
The graphic below shows equity (available funds) and debt, we ideally want to
see the red area (debt) decreasing.
If there is any debt we look at the companies capability to repay it, and
whether the level has increased over the past 5 years.
Management is one of the most important areas of a company. We look at
unreasonable CEO compensation, how long the team and board of directors have
been around for and insider trading.
TENURE AS CEO
Mr. Lee Kyung Koo has been Chief Executive Officer of Cowell e Holdings Inc. since April 19, 2018. Mr. Lee is responsible for managing the overall business operations and achieving the strategic objectives of the Group. Prior to joining Group in April 2018 as the Chief Executive Officer, Mr. Lee had over 30 years of work experience in finance, human resources, procurement and management innovation. Mr. Lee started his career in Samsung Electronics Co., Ltd. (“Samsung Electronics”) in 1984 and had worked there for 26 years. His last position within Samsung Electronics was a director of the network division of Samsung Electronics, with overall responsibility for accounting, finance, human resources, procurement, and management innovation. After serving as a director for 5 years, Mr. Lee moved to Hanhwa Techwin Co., Ltd. (formerly known as Samsung Techwin Co., Ltd.) and had worked as chief financial officer until 2015. Before joining the Group, Mr. Lee was working as vice president of information communication technology division of SoluM Co., Ltd. Mr. Lee received a bachelor’s degree in applied statistics from Yonsei University in February 1982.
Insufficient data for Kyung Koo to compare compensation growth.
Insufficient data for Kyung Koo to establish whether their remuneration is reasonable compared to companies of similar size in Hong Kong.
Management Team Tenure
Average tenure and age of the
Cowell e Holdings
management team in years:
The tenure for the Cowell e Holdings management team is about average.
Dong Goo Lee
Kyung Koo Lee
Chief Executive Officer
Young Hoon Cho
Chief Financial Officer
CEO & Director of Cowell Korea
Byeong Sun Kang
Head of Management Support Division of Cowell China
Board of Directors Tenure
Average tenure and age of the
Cowell e Holdings
board of directors in years:
The tenure for the Cowell e Holdings board of directors is about average.
Is Cowell e Holdings Inc. (HKG:1415) A Volatile Stock?
Some investors use beta as a measure of how much a certain stock is impacted by market risk (volatility). … Given that it has a beta of 1.74, we can surmise that the Cowell e Holdings share price has been fairly sensitive to market volatility (over the last 5 years). … What this means for you: Since Cowell e Holdings has a reasonably high beta, it's worth considering why it is so heavily influenced by broader market sentiment.
Don't Sell Cowell e Holdings Inc. (HKG:1415) Before You Read This
Based on the last twelve months, Cowell e Holdings's P/E ratio is 14.1. … Price to Earnings Ratio = Share Price (in reporting currency) ÷ Earnings per Share (EPS) … P/E of 14.1 = $0.24 (Note: this is the share price in the reporting currency, namely, USD ) ÷ $0.017
Is Cowell e Holdings Inc. (HKG:1415) Potentially Undervalued?
saw a significant share price rise of over 20% in the past couple of months on the SEHK. … Less-covered, small caps tend to present more of an opportunity for mispricing due to the lack of information available to the public, which can be a good thing? … So, could the stock still be trading at a low price relative to its actual value.
What Kind Of Shareholder Owns Most Cowell e Holdings Inc. (HKG:1415) Stock?
A look at the shareholders of Cowell e Holdings Inc. … With a market capitalization of HK$1.2b, Cowell e Holdings is a small cap stock, so it might not be well known by many institutional investors. … View our latest analysis for Cowell e Holdings
The Cowell e Holdings Share Price Is Down 47% So Some Shareholders Are Getting Worried
But in truth the last year hasn't been good for the share price. … By comparing earnings per share (EPS) and and share price changes over time, we can get a feel for how investor attitudes to a company have morphed over time. … This proportional reduction in earnings per share isn't far from the 47% decrease in the share price.
Does The Data Make Cowell e Holdings Inc. (HKG:1415) An Attractive Investment?
(HKG:1415) is a stock with outstanding fundamental characteristics. … When we build an investment case, we need to look at the stock with a holistic perspective. … is a company that has been able to sustain great financial health, trading at an attractive share price
Does Cowell e Holdings Inc.'s (HKG:1415) Stock Price Account For Its Growth?
However its last closing price of HK$0.89 left investors wondering whether this growth has already been factored into the share price. … Let’s look into this by assessing 1415's expected growth over the next few years. … According to the analysts covering the company, the following few years should bring about good growth prospects for Cowell e Holdings
Does The Cowell e Holdings Inc. (HKG:1415) Share Price Fall With The Market?
Every stock in the market is exposed to this volatility, which is linked to the fact that stocks prices are correlated in an efficient market. … Beta can be a useful tool to understand how much a stock is influenced by market risk (volatility). … A stock with a beta below one is either less volatile than the market, or more volatile but not corellated with the overall market.
Cowell e Holdings Inc., an investment holding company, engages in the design, development, manufacture, and sale of camera modules for smartphones, multimedia tablets, laptops, PDAs, and other mobile devices with camera functions in the People’s Republic of China, the Republic of Korea, and internationally. It also designs, develops, manufactures, and sells optical components used in various consumer electronics products. The company’s optical components include CD-P, RW/ROM, DVD-P, ROM, RW/RAM, Blue-ray disk, and Blue filter products. It offers camera modules for mobile device manufacturers; and optical components to subsidiaries or affiliates of electronics companies. Cowell e Holdings Inc. was founded in 1992 and is headquartered in Dongguan, the People’s Republic of China.
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