SEHK:1708

Stock Analysis Report

Nanjing Sample Technology

Executive Summary

Nanjing Sample Technology Company Limited, together with its subsidiaries, provides visual identification and radio frequency identification (RFID) solutions to intelligent transportation, customs logistics, and other application areas in the People’s Republic of China.


Snowflake Analysis

Mediocre balance sheet with questionable track record.

Share Price & News

How has Nanjing Sample Technology's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 1708's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

6.9%

1708

-1.9%

HK Electronic

0.3%

HK Market


1 Year Return

-32.8%

1708

-4.4%

HK Electronic

-5.1%

HK Market

Return vs Industry: 1708 underperformed the Hong Kong Electronic industry which returned -4.4% over the past year.

Return vs Market: 1708 underperformed the Hong Kong Market which returned -5.1% over the past year.


Shareholder returns

1708IndustryMarket
7 Day6.9%-1.9%0.3%
30 Day-5.4%-8.8%-3.9%
90 Day-4.9%2.9%4.4%
1 Year-31.8%-32.8%-1.5%-4.4%-1.6%-5.1%
3 Year-0.2%-3.5%-4.6%-12.2%13.4%1.9%
5 Year116.0%99.6%73.7%51.0%15.6%-3.6%

Price Volatility Vs. Market

How volatile is Nanjing Sample Technology's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Nanjing Sample Technology undervalued compared to its fair value and its price relative to the market?

19.99x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 1708 (HK$5.39) is trading above our estimate of fair value (HK$3.21)

Significantly Below Fair Value: 1708 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 1708 is poor value based on its PE Ratio (20x) compared to the Electronic industry average (9.1x).

PE vs Market: 1708 is poor value based on its PE Ratio (20x) compared to the Hong Kong market (10.2x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 1708's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 1708 is overvalued based on its PB Ratio (1.9x) compared to the HK Electronic industry average (0.9x).


Next Steps

Future Growth

How is Nanjing Sample Technology forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

24.5%

Forecasted Tech 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 Nanjing Sample Technology 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 Nanjing Sample Technology performed over the past 5 years?

9.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 1708 has high quality earnings.

Growing Profit Margin: 1708's current net profit margins (10.6%) are lower than last year (13.6%).


Past Earnings Growth Analysis

Earnings Trend: 1708's earnings have grown by 9.9% per year over the past 5 years.

Accelerating Growth: 1708's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 1708 had negative earnings growth (-18.4%) over the past year, making it difficult to compare to the Electronic industry average (-11.5%).


Return on Equity

High ROE: 1708's Return on Equity (8.7%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Nanjing Sample Technology's financial position?


Financial Position Analysis

Short Term Liabilities: 1708's short term assets (CN¥3.6B) exceed its short term liabilities (CN¥2.3B).

Long Term Liabilities: 1708's short term assets (CN¥3.6B) exceed its long term liabilities (CN¥462.6M).


Debt to Equity History and Analysis

Debt Level: 1708's debt to equity ratio (60%) is considered high.

Reducing Debt: 1708's debt to equity ratio has increased from 44% to 60% over the past 5 years.

Debt Coverage: 1708's debt is not well covered by operating cash flow (11.7%).

Interest Coverage: 1708's interest payments on its debt are well covered by EBIT (4.7x coverage).


Balance Sheet

Inventory Level: 1708 has a low level of unsold assets or inventory.

Debt Coverage by Assets: 1708's debt is covered by short term assets (assets are 2.9x debt).


Next Steps

Dividend

What is Nanjing Sample Technology's current dividend yield, its reliability and sustainability?

2.06%

Current Dividend Yield


Dividend Yield vs Market

company2.1%marketbottom25%2.3%markettop25%6.3%industryaverage2.6%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: 1708's dividend (2.06%) isn’t notable compared to the bottom 25% of dividend payers in the Hong Kong market (2.28%).

High Dividend: 1708's dividend (2.06%) is low compared to the top 25% of dividend payers in the Hong Kong market (6.28%).


Stability and Growth of Payments

Stable Dividend: 1708's dividend payments have been volatile in the past 10 years.

Growing Dividend: 1708's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (41.2%), 1708's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

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

5.8yrs

Average management tenure


CEO

Xiang Zhu (42yo)

CN¥385,451

Compensation

Mr. Xiang Zhu serves as the Chief Executive Officer and President of Nanjing Sample Technology Company Ltd (“Company”). He obtained a MBA degree from Nanjing University in June 2006. He joined Hainan Airli ...


CEO Compensation Analysis

Compensation vs Market: Xiang's total compensation ($USD0.00) is below average for companies of similar size in the Hong Kong market ($USD350.06K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Min Sha
Chairman0yrsCN¥632.83k0.43% CN¥18.2m
Yun Miao
VP & CFO5.8yrsCN¥524.02kno data
Hui Yu
VP & Executive Director0.8yrsCN¥660.77kno data
Jinliang Xie
Secretary to the Board of Directors5.8yrsCN¥414.60kno data
Xiang Zhu
CEO, President & Executive Director0yrsCN¥385.45kno data
Liyu Huang
Company Secretary0yrsno datano data

5.8yrs

Average Tenure

42yo

Average Age

Experienced Management: 1708's management team is seasoned and experienced (5.8 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Min Sha
Chairman0yrsCN¥632.83k0.43% CN¥18.2m
Hui Yu
VP & Executive Director0.8yrsCN¥660.77kno data
Xiang Zhu
CEO, President & Executive Director0yrsCN¥385.45kno data
Yong Chang
Vice Chairman0yrsCN¥637.26kno data
Jian Jun Dai
Supervisor16.5yrsCN¥10.00kno data
Xiang Yang Qiu
Chairman of the Supervisors0yrsCN¥10.00kno data
Zhongjie Niu
Independent Non-Executive Director0.8yrsno datano data
Hanhui Hu
Independent Non-Executive Director3.8yrsCN¥37.50kno data
Tao Zou
Employee Supervisor3.8yrsno datano data
Lihui Gao
Independent Non-Executive Director2.8yrsCN¥37.50kno data

3.8yrs

Average Tenure

51.5yo

Average Age

Experienced Board: 1708's board of directors are considered experienced (3.8 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

Nanjing Sample Technology Company Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Nanjing Sample Technology Company Limited
  • Ticker: 1708
  • Exchange: SEHK
  • Founded:
  • Industry: Electronic Equipment and Instruments
  • Sector: Tech
  • Market Cap: HK$4.269b
  • Shares outstanding: 792.06m
  • Website: https://www.sampletech.cn

Number of Employees


Location

  • Nanjing Sample Technology Company Limited
  • Sample Technology Park
  • No. 10 Maqun Avenue
  • Nanjing
  • Jiangsu Province
  • China

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
1708SEHK (The Stock Exchange of Hong Kong Ltd.)YesForeign Shares-Foreign ListedHKHKDJun 2004

Biography

Nanjing Sample Technology Company Limited, together with its subsidiaries, provides visual identification and radio frequency identification (RFID) solutions to intelligent transportation, customs logistics, and other application areas in the People’s Republic of China. The company’s RFID products include antennas, issuing machines, readers, and labels; and intelligent systems comprise temperature monitors, electronic labels using RFID chips, intelligent turnover boxes, and intelligent security locks. It also provides traffic related solutions, such as telematics services consisting of real-time traffic, parking guidance, and traffic information services; Traffic365 for real-time traffic road conditions, real-time surveillance cameras, peripheral inquiry, and travel planning uses; Traffic online, a portal service for the public to offer traffic information, travel planning, real-time traffic, POI query, and other professional services; and vehicle electronic cards. In addition, the company provides logistics bayonet system integration, customs logistics platform system software, pier (yard) job management system software, integrated information management platform, and bonded warehousing platform solutions; and urban intelligent transportation platform, as well as urban intelligent transportation systems, such as Bayonet-type electronic police, police check stop announcement, mobile vehicles series inspection, and road vehicle intelligent monitoring and recording systems. Further, it offers commodity credit and food safety information platforms, as well as Cloud Escort that provides on-road visual tracking services for the logistics industry. The company is headquartered in Nanjing, the People’s Republic of China. Nanjing Sample Technology Company Limited is a subsidiary of Nanjing Sample Technology Group Company Limited. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/20 12:32
End of Day Share Price2020/02/19 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.