SEHK:31

Stock Analysis Report

China Aerospace International Holdings

Executive Summary

China Aerospace International Holdings Limited, an investment holding company, engages in hi-tech manufacturing business in the People’s Republic of China.


Snowflake Analysis

Undervalued with excellent balance sheet.

Share Price & News

How has China Aerospace International Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 31 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-3.3%

31

-2.2%

HK Electronic

-3.3%

HK Market


1 Year Return

-30.2%

31

-6.7%

HK Electronic

-9.6%

HK Market

Return vs Industry: 31 underperformed the Hong Kong Electronic industry which returned -8% over the past year.

Return vs Market: 31 underperformed the Hong Kong Market which returned -9.8% over the past year.


Shareholder returns

31IndustryMarket
7 Day-3.3%-2.2%-3.3%
30 Day-3.3%-7.7%-3.8%
90 Day2.3%-1.8%-0.2%
1 Year-28.7%-30.2%-3.9%-6.7%-6.3%-9.6%
3 Year-54.3%-57.7%-2.5%-10.3%11.2%-0.05%
5 Year-52.2%-56.4%72.6%49.8%12.7%-6.0%

Price Volatility Vs. Market

How volatile is China Aerospace International Holdings's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is China Aerospace International Holdings 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: 31 (HK$0.44) is trading below our estimate of fair value (HK$10.51)

Significantly Below Fair Value: 31 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 31 is good value based on its PE Ratio (3.7x) compared to the Electronic industry average (9x).

PE vs Market: 31 is good value based on its PE Ratio (3.7x) compared to the Hong Kong market (9.9x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 31's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 31 is good value based on its PB Ratio (0.2x) compared to the HK Electronic industry average (0.8x).


Next Steps

Future Growth

How is China Aerospace International Holdings forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

24.7%

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 China Aerospace International Holdings 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 China Aerospace International Holdings performed over the past 5 years?

-8.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 31 has a large one-off gain of HK$249.0M impacting its June 30 2019 financial results.

Growing Profit Margin: 31's current net profit margins (10.2%) are lower than last year (12%).


Past Earnings Growth Analysis

Earnings Trend: 31's earnings have declined by -8.7% per year over the past 5 years.

Accelerating Growth: 31's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 31 had negative earnings growth (-18.6%) over the past year, making it difficult to compare to the Electronic industry average (-11.5%).


Return on Equity

High ROE: 31's Return on Equity (5.1%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

  • Explore strong past performing companies in the Tech industry.

Financial Health

How is China Aerospace International Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: 31's short term assets (HK$2.8B) exceed its short term liabilities (HK$1.2B).

Long Term Liabilities: 31's short term assets (HK$2.8B) do not cover its long term liabilities (HK$4.0B).


Debt to Equity History and Analysis

Debt Level: 31's debt to equity ratio (15.8%) is considered satisfactory.

Reducing Debt: 31's debt to equity ratio has reduced from 27% to 15.8% over the past 5 years.

Debt Coverage: 31's debt is well covered by operating cash flow (40.6%).

Interest Coverage: 31's interest payments on its debt are well covered by EBIT (6.3x coverage).


Balance Sheet

Inventory Level: 31 has a low level of unsold assets or inventory.

Debt Coverage by Assets: 31's debt is covered by short term assets (assets are 1.9x debt).


Next Steps

Dividend

What is China Aerospace International Holdings's current dividend yield, its reliability and sustainability?

2.27%

Current Dividend Yield


Dividend Yield vs Market

company2.3%marketbottom25%2.3%markettop25%6.4%industryaverage2.6%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: 31's dividend (2.27%) isn’t notable compared to the bottom 25% of dividend payers in the Hong Kong market (2.32%).

High Dividend: 31's dividend (2.27%) is low compared to the top 25% of dividend payers in the Hong Kong market (6.41%).


Stability and Growth of Payments

Stable Dividend: 31's dividend payments have been volatile in the past 10 years.

Growing Dividend: 31's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (8.4%), 31's dividend payments are thoroughly 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?

16.1yrs

Average management tenure


CEO

China Aerospace International Holdings has no CEO, or we have no data on them.


Leadership Team

NamePositionTenureCompensationOwnership
Meixuan Liu
Chairman1.2yrsno datano data
Xuesheng Jin
President & Executive Director0.2yrsHK$2.18mno data
Guihong Lan
Financial Controller0yrsno datano data
Ka Kin Chan
Company Secretary0yrsno datano data
Yuanchang Zhao
Vice President17.4yrsHK$1.58mno data
Hongju Wu
Vice President17.4yrsHK$698.00kno data
Xianpeng Guo
Vice President16.1yrsHK$698.00kno data
Jianhua Xu
Vice President13.6yrsHK$635.00kno data

16.1yrs

Average Tenure

53yo

Average Age

Experienced Management: 31's management team is seasoned and experienced (16.1 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Meixuan Liu
Chairman1.2yrsno datano data
Xuesheng Jin
President & Executive Director0.2yrsHK$2.18mno data
Xiaojun Wang
Independent Non-Executive Director6.9yrsHK$210.00kno data
Zhenbang Luo
Independent Non-Executive Director15.2yrsHK$230.00kno data
Sau Fan Leung
Independent Non-Executive Director7.9yrsHK$260.00kno data
Xudong Liu
Non-Executive Director1.2yrsno datano data
Yijin Mao
Non-Executive Director3.5yrsno datano data
Liang Wei Xu
Non-Executive Director3.5yrsHK$106.00kno data

3.5yrs

Average Tenure

56yo

Average Age

Experienced Board: 31's board of directors are considered experienced (3.5 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

China Aerospace International Holdings Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: China Aerospace International Holdings Limited
  • Ticker: 31
  • Exchange: SEHK
  • Founded:
  • Industry: Electronic Equipment and Instruments
  • Sector: Tech
  • Market Cap: HK$1.373b
  • Shares outstanding: 3.09b
  • Website: https://www.casil-group.com

Number of Employees


Location

  • China Aerospace International Holdings Limited
  • One Harbourfront
  • Room 1103–1107A
  • Hung Hom
  • Kowloon
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CIOCDB (Deutsche Boerse AG)YesOrdinary SharesDEEURJan 1992
31SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDJan 1992

Biography

China Aerospace International Holdings Limited, an investment holding company, engages in hi-tech manufacturing business in the People’s Republic of China. The company produces and sells plastic and metal products and molds, liquid crystal displays and modules, printed circuit boards, intelligent battery chargers, and electronic components. It is also involved in the provision of property investment and management, treasury, and warehouse and logistics services; electroplating of metals; distribution of packing products; and development and sale of software and related products. The company is based in Hung Hom, Hong Kong, and is considered a Red Chip company due to its listing on the Hong Kong Stock Exchange. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/26 12:36
End of Day Share Price2020/02/26 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.