SEHK:1822

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HongDa Financial Holding

Executive Summary

HongDa Financial Holding Limited, an investment holding company, primarily engages in the trading of electronic components/materials in the People’s Republic of China and Hong Kong.


Snowflake Analysis

Mediocre balance sheet and slightly overvalued.

Share Price & News

How has HongDa Financial Holding's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 1822 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

0%

1822

-2.1%

HK Electronic

1.4%

HK Market


1 Year Return

-75.0%

1822

-5.3%

HK Electronic

-9.9%

HK Market

Return vs Industry: 1822 underperformed the Hong Kong Electronic industry which returned -5.4% over the past year.

Return vs Market: 1822 underperformed the Hong Kong Market which returned -9.9% over the past year.


Shareholder returns

1822IndustryMarket
7 Day0%-2.1%1.4%
30 Day0%-4.6%-3.7%
90 Day-9.1%-18.3%-7.8%
1 Year-75.0%-75.0%-3.1%-5.3%-6.9%-9.9%
3 Year-96.2%-96.2%-22.3%-28.2%-4.8%-14.4%
5 Year-98.0%-98.0%5.4%-8.2%-15.2%-28.3%

Price Volatility Vs. Market

How volatile is HongDa Financial Holding's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is HongDa Financial Holding 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: 1822 (HK$0.01) is trading below our estimate of fair value (HK$0.55)

Significantly Below Fair Value: 1822 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 1822 is unprofitable, so we can't compare its PE Ratio to the Electronic industry average.

PE vs Market: 1822 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 1822's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 1822 is overvalued based on its PB Ratio (1.1x) compared to the HK Electronic industry average (0.7x).


Next Steps

Future Growth

How is HongDa Financial Holding forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

20.5%

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 HongDa Financial Holding 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 HongDa Financial Holding performed over the past 5 years?

-66.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 1822 is currently unprofitable.

Growing Profit Margin: 1822 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: 1822 is unprofitable, and losses have increased over the past 5 years at a rate of -66.1% per year.

Accelerating Growth: Unable to compare 1822's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 1822 is unprofitable, making it difficult to compare its past year earnings growth to the Electronic industry (-4.3%).


Return on Equity

High ROE: 1822 has a negative Return on Equity (-3915.05%), as it is currently unprofitable.


Next Steps

Financial Health

How is HongDa Financial Holding's financial position?


Financial Position Analysis

Short Term Liabilities: 1822's short term assets (HK$433.3M) do not cover its short term liabilities (HK$1.1B).

Long Term Liabilities: 1822's short term assets (HK$433.3M) exceed its long term liabilities (HK$68.0M).


Debt to Equity History and Analysis

Debt Level: 1822's debt to equity ratio (5093%) is considered high.

Reducing Debt: 1822's debt to equity ratio has increased from 0.08% to 5093% 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 1822 has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: 1822 is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 24% per year.


Next Steps

Dividend

What is HongDa Financial Holding's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate 1822's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate 1822'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 1822's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 1822's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: 1822 is not paying a notable dividend for the Hong Kong market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 1822'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?

3.0yrs

Average board tenure


CEO

Bin Qiu (51yo)

0.17

Tenure

Mr. Bin Qiu serves as Executive Director at China Regenerative Medicine International Limited since May 20, 2020. He serves as Chairman of the Board, Executive Director and Chief Executive Director of Hong ...


Board Members

NamePositionTenureCompensationOwnership
Bin Qiu
Executive Chairman & CEO0.17yrno datano data
Pui Ying Sin
Executive Directorno datano datano data
Chai Fu Cheng
Non-Executive Directorno datano datano data
Tze Wa Fung
Independent Non-Executive Directorno datano datano data
Yiu Kit Wong
Independent Non-Executive Director5.83yrsHK$120.00kno data
Xianming Zhao
Independent Non-Executive Director5.83yrsHK$120.00kno data
Dong An
Independent Non-Executive Director0.17yrno datano data

3.0yrs

Average Tenure

51yo

Average Age

Experienced Board: 1822's board of directors are considered experienced (3 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.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

HongDa Financial Holding Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: HongDa Financial Holding Limited
  • Ticker: 1822
  • Exchange: SEHK
  • Founded: 2009
  • Industry: Technology Distributors
  • Sector: Tech
  • Market Cap: HK$68.108m
  • Shares outstanding: 6.81b
  • Website: https://www.hongdafin.com

Number of Employees


Location

  • HongDa Financial Holding Limited
  • West Tower
  • Suite 2603, 26th Floor
  • Hong Kong
  • 168-200
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
1822SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDDec 2009

Biography

HongDa Financial Holding Limited, an investment holding company, primarily engages in the trading of electronic components/materials in the People’s Republic of China and Hong Kong. The company operates through four segments: Car Rental, Materials Trading, Financing Services and Investments, and Others. It is also involved in the car rental; money lending and property investment activities; and fund administration and public relation services. The company was formerly known as E-Rental Car Company Limited and changed its name to HongDa Financial Holding Limited in June 2016. The company was founded in 2009 and is headquartered in Hong Kong, Hong Kong. HongDa Financial Holding Limited is a subsidiary of Sino Merchant Car Rental Limited. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/05/31 13:24
End of Day Share Price2020/05/29 00:00
Earnings2019/12/31
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.