SEHK:889

Stock Analysis Report

Datronix Holdings

Executive Summary

Datronix Holdings Limited, an investment holding company, manufactures and trades in electronic components.


Snowflake Analysis

Flawless balance sheet unattractive dividend payer.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: 889's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

4.6%

889

6.1%

HK Electronic

7.4%

HK Market


1 Year Return

-43.8%

889

-22.1%

HK Electronic

-22.7%

HK Market

Return vs Industry: 889 underperformed the Hong Kong Electronic industry which returned -22.1% over the past year.

Return vs Market: 889 underperformed the Hong Kong Market which returned -22.7% over the past year.


Shareholder returns

889IndustryMarket
7 Day4.6%6.1%7.4%
30 Day-21.8%-15.0%-11.2%
90 Day-17.1%-26.0%-17.3%
1 Year-43.0%-43.8%-19.7%-22.1%-19.9%-22.7%
3 Year-46.8%-50.4%-25.0%-31.1%-5.3%-14.8%
5 Year-46.7%-53.1%23.2%7.1%-8.7%-23.4%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

12.33x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 889 (HK$0.68) is trading above our estimate of fair value (HK$0.36)

Significantly Below Fair Value: 889 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 889 is poor value based on its PE Ratio (12.3x) compared to the Electronic industry average (7.9x).

PE vs Market: 889 is poor value based on its PE Ratio (12.3x) compared to the Hong Kong market (8.9x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 889's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 889 is good value based on its PB Ratio (0.3x) compared to the HK Electronic industry average (0.7x).


Next Steps

Future Growth

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

19.6%

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 Datronix 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 Datronix Holdings performed over the past 5 years?

16.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 889 has a large one-off loss of HK$6.0M impacting its December 31 2019 financial results.

Growing Profit Margin: 889's current net profit margins (6.2%) are lower than last year (15.3%).


Past Earnings Growth Analysis

Earnings Trend: 889's earnings have grown by 16.5% per year over the past 5 years.

Accelerating Growth: 889's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 889 had negative earnings growth (-63.2%) over the past year, making it difficult to compare to the Electronic industry average (-10.7%).


Return on Equity

High ROE: 889's Return on Equity (2%) is considered low.


Next Steps

Financial Health

How is Datronix Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: 889's short term assets (HK$455.0M) exceed its short term liabilities (HK$45.3M).

Long Term Liabilities: 889's short term assets (HK$455.0M) exceed its long term liabilities (HK$59.4M).


Debt to Equity History and Analysis

Debt Level: 889 is debt free.

Reducing Debt: 889 has not had any debt for past 5 years.

Debt Coverage: 889 has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: 889 has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: 889 has a high level of physical assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if 889's debt is covered by short term assets.


Next Steps

Dividend

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

2.94%

Current Dividend Yield


Upcoming Dividend Payment


Dividend Yield vs Market

Notable Dividend: 889's dividend (2.94%) is higher than the bottom 25% of dividend payers in the Hong Kong market (2.63%).

High Dividend: 889's dividend (2.94%) is low compared to the top 25% of dividend payers in the Hong Kong market (7.28%).


Stability and Growth of Payments

Stable Dividend: 889's dividend payments have been volatile in the past 10 years.

Growing Dividend: 889's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (36.3%), 889'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?

8.6yrs

Average board tenure


CEO

Paul Y. Siu (78yo)

no data

Tenure

HK$7,690,000

Compensation

Mr. Paul Y. Siu alias Siu Paul Yin Tong is the Founder of Datronix Holdings Ltd and serves as its Chairman and Chief Executive Officer. Mr. Siu is responsible for Datronix Holdings Ltd.'s overall business  ...


CEO Compensation Analysis

Compensation vs Market: Paul Y.'s total compensation ($USD991.74K) is above average for companies of similar size in the Hong Kong market ($USD232.34K).

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


Board Members

NamePositionTenureCompensationOwnership
Paul Y. Siu
CEO & Chairmanno dataHK$7.69m72.32% HK$157.4m
Wai Mei Shui
Executive Vice Chairmanno dataHK$650.00kno data
Nina Margaret Siu
Executive Director7.17yrsHK$1.59mno data
Shing Fai Sheung
GM & Executive Director18.67yrsHK$1.65mno data
Pui Lam Chung
Independent Non-Executive Director19yrsHK$125.00kno data
Kit Wah Lee
Independent Non-Executive Director8.58yrsHK$125.00kno data
Wah Sang Wong
Independent Non-Executive Director3.67yrsHK$80.00kno data

8.6yrs

Average Tenure

70yo

Average Age

Experienced Board: 889's board of directors are considered experienced (8.6 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

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


Key Information

  • Name: Datronix Holdings Limited
  • Ticker: 889
  • Exchange: SEHK
  • Founded: 2000
  • Industry: Electronic Components
  • Sector: Tech
  • Market Cap: HK$217.600m
  • Shares outstanding: 320.00m
  • Website: https://www.datronixhldgs.com.hk

Number of Employees


Location

  • Datronix Holdings Limited
  • North Point Industrial Building
  • 19th Floor
  • North Point
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
889SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDJun 2001

Biography

Datronix Holdings Limited, an investment holding company, manufactures and trades in electronic components. The company designs, manufactures, and sells magnetics that are used in consumer electronics, data processing appliances, and other electronics systems for coupling, isolation, filtering, interfacing, and timing control applications. It offers standard and customized magnetic components for various products, including transformers, LAN filter modules, digital delay modules, inductors/chokes, and ASDL transformers; planar magnetics; magnetics for aviation applications, hybrid network assemblies, power conversion, energy savings, medical devices/equipment, Internet equipment, and data acquisition/transmitter and signal conditioning; and magnetics components for DC/DC converters. The company also trades in electronic components; and holds properties. It serves telecommunications, communications, aerospace, instrumentation, industrial equipment, computers and networking, Internet equipment, medical devices/equipment, and automotive markets. The company sells its products under the Datatronics brand name. It operates in Hong Kong, the People’s Republic of China, the United States, Europe, and internationally. The company was incorporated in 2000 and is headquartered in North Point, Hong Kong. Datronix Holdings Limited is a subsidiary of Onboard Technology Limited. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/03/31 12:39
End of Day Share Price2020/03/30 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.