SEHK:3393

Stock Analysis Report

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Executive Summary

Wasion Holdings Limited, an investment holding company, researches, develops, produces, and sells energy metering and energy efficiency management for energy supply industries in the People’s Republic of China and internationally. More Details


Snowflake Analysis

Very undervalued with mediocre balance sheet.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: 3393's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-9.5%

3393

-3.8%

HK Electronic

-2.8%

HK Market


1 Year Return

-53.6%

3393

-12.4%

HK Electronic

-1.7%

HK Market

Return vs Industry: 3393 underperformed the Hong Kong Electronic industry which returned -10% over the past year.

Return vs Market: 3393 underperformed the Hong Kong Market which returned 0.5% over the past year.


Shareholder returns

3393IndustryMarket
7 Day-9.5%-3.8%-2.8%
30 Day-17.1%3.1%2.7%
90 Day-23.4%-12.5%-0.4%
1 Year-50.0%-53.6%-9.7%-12.4%2.3%-1.7%
3 Year-44.4%-54.7%-37.9%-43.1%-8.7%-18.6%
5 Year-71.7%-79.6%12.4%-2.7%13.7%-5.4%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Wasion Holdings undervalued compared to its fair value and its price relative to the market?

30.6%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 3393 (HK$1.8) is trading below our estimate of fair value (HK$2.59)

Significantly Below Fair Value: 3393 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 3393 is good value based on its PE Ratio (6.7x) compared to the HK Electronic industry average (12.4x).

PE vs Market: 3393 is good value based on its PE Ratio (6.7x) compared to the Hong Kong market (10.9x).


Price to Earnings Growth Ratio

PEG Ratio: 3393 is good value based on its PEG Ratio (0.4x)


Price to Book Ratio

PB vs Industry: 3393 is good value based on its PB Ratio (0.4x) compared to the HK Electronic industry average (0.8x).


Next Steps

Future Growth

How is Wasion Holdings forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

18.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 3393's forecast earnings growth (18.5% per year) is above the savings rate (1.6%).

Earnings vs Market: 3393's earnings (18.5% per year) are forecast to grow slower than the Hong Kong market (22.2% per year).

High Growth Earnings: 3393's earnings are forecast to grow, but not significantly.

Revenue vs Market: 3393's revenue (13.9% per year) is forecast to grow faster than the Hong Kong market (13.3% per year).

High Growth Revenue: 3393's revenue (13.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 3393's Return on Equity is forecast to be low in 3 years time (8.9%).


Next Steps

Past Performance

How has Wasion Holdings performed over the past 5 years?

-12.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 3393 has high quality earnings.

Growing Profit Margin: 3393's current net profit margins (6.6%) are lower than last year (8.4%).


Past Earnings Growth Analysis

Earnings Trend: 3393's earnings have declined by 12.8% per year over the past 5 years.

Accelerating Growth: 3393's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 3393 had negative earnings growth (-25.4%) over the past year, making it difficult to compare to the Electronic industry average (-15.1%).


Return on Equity

High ROE: 3393's Return on Equity (5.9%) is considered low.


Next Steps

Financial Health

How is Wasion Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: 3393's short term assets (CN¥8.4B) exceed its short term liabilities (CN¥5.4B).

Long Term Liabilities: 3393's short term assets (CN¥8.4B) exceed its long term liabilities (CN¥159.8M).


Debt to Equity History and Analysis

Debt Level: 3393's debt to equity ratio (43.6%) is considered high.

Reducing Debt: 3393's debt to equity ratio has increased from 24.6% to 43.6% over the past 5 years.

Debt Coverage: 3393's debt is not well covered by operating cash flow (1.8%).

Interest Coverage: 3393's interest payments on its debt are well covered by EBIT (11.7x coverage).


Balance Sheet


Next Steps

Dividend

What is Wasion Holdings's current dividend yield, its reliability and sustainability?

13.42%

Forecast Dividend Yield


Dividend Yield vs Market

Notable Dividend: Unable to evaluate 3393's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate 3393'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 3393's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 3393's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: 3393 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 3393'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?

4.4yrs

Average board tenure


CEO

Zhao Hui Cao (52 yo)

no data

Tenure

CN¥635,000

Compensation

Ms. Zhao Hui Cao serves as the Chief Executive Officer of Wasion Holdings Limited (formerly known as Wasion Group Holdings Limited). Ms. Cao served as Director of finance and Deputy General Manager of Wasi ...


CEO Compensation Analysis

Compensation vs Market: Zhao Hui's total compensation ($USD94.57K) is below average for companies of similar size in the Hong Kong market ($USD291.97K).

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


Board Members

NamePositionTenureCompensationOwnership
Wei Ji
Founder & Executive Chairmanno dataCN¥549.00k53.25%
CN¥ 965.1m
Zhao Hui Cao
CEO & Executive Directorno dataCN¥635.00k0.20%
CN¥ 3.6m
Zhongping Tian
President & Executive Director3.75yrsCN¥491.00kno data
Xiao Ping Zheng
Senior Engineer & Executive Director15.08yrsCN¥581.00k0.20%
CN¥ 3.6m
Hong Li
Executive Director0.33yrCN¥287.36k0.035%
CN¥ 636.9k
Cheong Tat Chan
Independent Non-Executive Director0.33yrCN¥82.00k0.012%
CN¥ 218.4k
Chit Kat
Non-Executive Director6.17yrsCN¥266.00kno data
Shi Jie Cheng
Independent Non-Executive Director6.17yrsCN¥161.00kno data
Wenpeng Luan
Independent Non-Executive Director4.42yrsCN¥106.00kno data
Yaonan Wang
Independent Non-Executive Director0.25yrno datano data

4.4yrs

Average Tenure

55.5yo

Average Age

Experienced Board: 3393's board of directors are considered experienced (4.4 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

Wasion Holdings Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Wasion Holdings Limited
  • Ticker: 3393
  • Exchange: SEHK
  • Founded: 2000
  • Industry: Electronic Equipment and Instruments
  • Sector: Tech
  • Market Cap: HK$1.813b
  • Shares outstanding: 995.88m
  • Website: https://www.wasion.com

Number of Employees


Location

  • Wasion Holdings Limited
  • West Tower
  • Unit 2605, 26th Floor
  • Sheung Wan
  • 410205
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
3393SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDDec 2005
W1UDB (Deutsche Boerse AG)YesOrdinary SharesDEEURDec 2005

Biography

Wasion Holdings Limited, an investment holding company, researches, develops, produces, and sells energy metering and energy efficiency management for energy supply industries in the People’s Republic of C ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/30 12:32
End of Day Share Price2020/10/30 00:00
Earnings2020/06/30
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.