SEHK:320

Stock Analysis Report

Computime Group

Executive Summary

Computime Group Limited, an investment holding company, engages in the research, development, design, manufacture, and trading of electronic control products in the Americas, Europe, and Asia.

Snowflake

Fundamentals

Adequate balance sheet with moderate growth potential.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

0%

320

1.3%

HK Electronic

0.3%

HK Market


1 Year Return

-43.6%

320

-1.0%

HK Electronic

1.3%

HK Market

Return vs Industry: 320 underperformed the Hong Kong Electronic industry which returned -1% over the past year.

Return vs Market: 320 underperformed the Hong Kong Market which returned 1.3% over the past year.


Shareholder returns

320IndustryMarket
7 Day0%1.3%0.3%
30 Day-5.0%-1.4%0.5%
90 Day-26.9%6.2%-4.6%
1 Year-42.1%-43.6%2.3%-1.0%4.9%1.3%
3 Year-38.3%-46.7%-0.8%-8.7%15.3%3.7%
5 Year-39.3%-52.1%54.1%34.1%20.0%-0.006%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

46.52x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 320 (HK$0.57) is trading above our estimate of fair value (HK$0.19)

Significantly Below Fair Value: 320 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 320 is poor value based on its PE Ratio (46.5x) compared to the Electronic industry average (9x).

PE vs Market: 320 is poor value based on its PE Ratio (46.5x) compared to the Hong Kong market (10.3x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 320's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 320 is good value based on its PB Ratio (0.4x) compared to the HK Electronic industry average (0.9x).


Next Steps

Future Growth

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

20.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 320's forecast earnings growth (20.9% per year) is above the savings rate (2%).

Earnings vs Market: 320's earnings (20.9% per year) are forecast to grow faster than the Hong Kong market (11.1% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: Insufficient data to determine if 320's revenue is forecast to grow faster than the Hong Kong market.

High Growth Revenue: Insufficient data to determine if 320's revenue is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if 320's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Computime Group performed over the past 5 years?

5.4%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: 320's earnings have grown by 5.4% per year over the past 5 years.

Accelerating Growth: 320's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 320 had negative earnings growth (-91.9%) over the past year, making it difficult to compare to the Electronic industry average (-10.9%).


Return on Equity

High ROE: 320's Return on Equity (0.8%) is considered low.


Return on Assets

ROA vs Industry: 320's Return on Assets is below or equal to the Electronic industry average last year.


Return on Capital Employed

ROCE Improving: 320's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Computime Group's financial position?


Financial Position Analysis

Short Term Liabilities: 320's short term assets (HK$1.8B) exceeds its short term liabilities (HK$903.2M)

Long Term Liabilities: 320's short term assets (1.8B) exceeds its long term liabilities (24.5M)


Debt to Equity History and Analysis

Debt Level: 320's debt to equity ratio (16.3%) is considered satisfactory

Reducing Debt: 320's debt to equity ratio has reduced from 29.7% to 16.3% over the past 5 years.

Debt Coverage: 320's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: 320's interest payments on its debt are not well covered by EBIT (1.1x coverage).


Balance Sheet

Inventory Level: 320 has a high level of physical assets or inventory.

Debt Coverage by Assets: 320's debt is covered by short term assets (assets are 8.4x debt).


Next Steps

Dividend

What is Computime Group's current dividend yield, its reliability and sustainability?

2.88%

Current Dividend Yield


Dividend Yield vs Market

company2.9%marketbottom25%2.3%markettop25%6.2%industryaverage2.8%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: 320's dividend (2.88%) is higher than the bottom 25% of dividend payers in the Hong Kong market (2.26%).

High Dividend: 320's dividend (2.88%) is low compared to the top 25% of dividend payers in the Hong Kong market (6.18%).

Stable Dividend: 320's dividend payments have been volatile in the past 10 years.

Growing Dividend: 320's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (133.9%), 320's dividend payments are not 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

What is the CEO of Computime Group's salary, the management and board of directors tenure and is there insider trading?

1.9yrs

Average management tenure


CEO

King Owyang (73yo)

9.5yrs

Tenure

HK$11,735,000

Compensation

Dr. King Owyang, Ph.D., has been the Chief Executive Officer of Computime Group Limited since April 2010. Dr. Owyang served as the Chief Executive Officer, President and Director of Siliconix Incorporated  ...


CEO Compensation Analysis

Compensation vs. Market: King's total compensation ($USD1.50M) is above average for companies of similar size in the Hong Kong market ($USD215.97K).

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


Management Age and Tenure

1.9yrs

Average Tenure

56yo

Average Age

Experienced Management: 320's management team is not considered experienced ( 1.9 years average tenure), which suggests a new team.


Board Age and Tenure

12.4yrs

Average Tenure

63yo

Average Age

Experienced Board: 320's board of directors are seasoned and experienced ( 12.4 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown


Management Team

  • King Owyang (73yo)

    CEO & Executive Director

    • Tenure: 9.5yrs
    • Compensation: HK$11.74m
  • Ho Auyang (87yo)

    Founder & Chairman

    • Tenure: 0yrs
    • Compensation: HK$3.27m
  • Wai Leung Ha (60yo)

    Executive Vice President of Technologies

    • Tenure: 0yrs
  • George Poon (46yo)

    Chief Financial Officer

    • Tenure: 1.8yrs
  • Ka Man So (45yo)

    Company Secretary

    • Tenure: 1.9yrs
  • Matthew Au (54yo)

    Chief Operating Officer

    • Tenure: 1.8yrs
  • Jimmy Ho (56yo)

    Vice President of Global Human Resources

    • Tenure: 0yrs

Board Members

  • Patrick Thomas Siewert (63yo)

    Independent Non-Executive Director

    • Tenure: 13.1yrs
    • Compensation: HK$259.00k
  • King Owyang (73yo)

    CEO & Executive Director

    • Tenure: 9.5yrs
    • Compensation: HK$11.74m
  • Roger Luk (68yo)

    Independent Non-Executive Director

    • Tenure: 13.1yrs
    • Compensation: HK$259.00k
  • Dennis Au (59yo)

    Non Executive Director

    • Tenure: 5.4yrs
  • Ho Auyang (87yo)

    Founder & Chairman

    • Tenure: 0yrs
    • Compensation: HK$3.27m
  • Arvind Amratlal Patel (78yo)

    Non-Executive Director

    • Tenure: 13.9yrs
    • Compensation: HK$327.00k
  • Anthony Kam (57yo)

    Non-Executive Director

    • Tenure: 25.9yrs
    • Compensation: HK$214.00k
  • Chun Kong Wong (58yo)

    Non Executive Director

    • Tenure: 11.7yrs
    • Compensation: HK$186.00k
  • David Cheung (51yo)

    Independent Non Executive Director

    • Tenure: 8yrs
    • Compensation: HK$230.00k

Company Information

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


Key Information

  • Name: Computime Group Limited
  • Ticker: 320
  • Exchange: SEHK
  • Founded: 1974
  • Industry: Electronic Equipment and Instruments
  • Sector: Tech
  • Market Cap: HK$478.652m
  • Shares outstanding: 839.74m
  • Website: https://www.computime.com

Number of Employees


Location

  • Computime Group Limited
  • Building 20E
  • 6th Floor, Phase 3
  • Shatin
  • New Territories
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
320SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDOct 2006

Biography

Computime Group Limited, an investment holding company, engages in the research, development, design, manufacture, and trading of electronic control products in the Americas, Europe, and Asia. It operates  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/23 12:44
End of Day Share Price2019/10/23 00:00
Earnings2019/03/31
Annual Earnings2019/03/31


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.