Wong’s International Holdings Limited, together with its subsidiaries, develops, manufactures, markets, and distributes electronics products in Hong Kong, rest of Asia, North America, and Europe.
The last earnings update was 23 days ago.
Discounted Cash Flow Calculation for SEHK:99 using 2 Stage Free Cash Flow to Equity Model
The calculations below outline how an intrinsic value for
Wong's International Holdings
is arrived at by discounting future cash flows to their present value using the 2 stage method.
We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.
SEHK:99 DCF 1st Stage: Next 10 year cash flow forecast
Amount off the current price
Wong's International Holdings
is available for.
Share price is
vs Future cash flow value of
Current Discount Checks
Wong's International Holdings
to be considered undervalued it must be available for at least 20% below the
current price. Less than 40% is even better.
Wong's International Holdings's share price is below the future cash flow value, and at a moderate discount (> 20%).
Wong's International Holdings's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for
it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing
when they are out of season, or how much your home is worth.
The amount the stock market is willing to pay for
Wong's International Holdings's
is considered below, and whether this is a fair price.
Price based on past earnings
Wong's International Holdings's earnings available for a low price, and how does
this compare to other companies in the same industry?
Wong's International Holdings's earnings are expected to decrease over the next 1-3 years, this is not considered high growth.
Unable to determine if Wong's International Holdings is high growth as no revenue estimate data is available.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can
be gauged below. We look back 3 years and see if they were any good at
predicting what actually occurred. We also show the highest and lowest estimates
looking forward to see if there is a wide range.
Wong's International Holdings's performance over the past 5 years by checking for:
Has earnings increased in past 5 years? (1 check)
Has the earnings growth in the last year exceeded that of the
industry? (1 check)
Is the recent earnings growth over the last year higher than the average annual growth over the
past 5 years? (1 check)
Is the Return on Equity (ROE) higher than 20%? (1 check)
Is the Return on Assets (ROA) above industry average? (1 check)
Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent
earnings report. Some checks require at least 3 or 5 years worth of data.
Wong's International Holdings
has a total score of
5/6, see the detailed checks below.
Note: We use GAAP Net Income excluding extraordinary items in all our calculations.
A company's financial position is much like your own financial position,
it includes everything you own
The boxes below represent the relative size of what makes up
Wong's International Holdings's finances.
The net worth of a company is the difference between its assets and liabilities.
Wong's International Holdings is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
Wong's International Holdings's cash and other short term assets cover its long term commitments.
This treemap shows a more detailed breakdown of
Wong's International Holdings's finances. If any of them are yellow this
indicates they may be out of proportion and red means they relate to one of the
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
Low level of unsold assets.
Debt is covered by short term assets, assets are 1.4x debt.
Nearly all companies have debt. Debt in itself isn’t
however if the debt is too high, or the company can’t afford to pay the interest
on its debts this may have impacts in the future.
The graphic below shows equity (available funds) and debt, we ideally want to
see the red area (debt) decreasing.
If there is any debt we look at the companies capability to repay it, and
whether the level has increased over the past 5 years.
Management is one of the most important areas of a company. We look at
unreasonable CEO compensation, how long the team and board of directors have
been around for and insider trading.
TENURE AS CEO
Mr. Chung Mat Wong, also known as Ben, JP, has been the Executive Chairman and Chief Executive Officer of Wong's International Holdings Ltd. since February 1, 2003. Mr. Wong serves as the President of Wong's Electronics Co Limited (WEC). He has over 33 years of experience in the electronics industry. He joined Wong's International Holdings Ltd in 1976. He has been an Executive Director of Wong's International Holdings Ltd since June 1990. He serves as Director of Wong's Electronics Co., Limited (WEC) and a Director of various other companies of Wong's International Holdings Ltd. Mr. Wong serves as a Director of W. S. Wong & Sons Company Limited (WSW&S) and Salop Investment Limited. He served as an Independent Non-executive Director at Elegance International Holdings Ltd. from 2004 to August 29, 2013. He obtained a Master of Science Degree in Operations Research from the Ohio State University.
Ben's compensation has been consistent with company performance over the past year.
Ben's remuneration is higher than average for companies of similar size in Hong Kong.
Executive Chairman & CEO
Man Keung Wan
Assistant VP & Executive Assistant to the Chairman
Yuen Fan Ho
Board of Directors Tenure
Average tenure and age of the
Wong's International Holdings
board of directors in years:
The average tenure for the Wong's International Holdings board of directors is over 10 years, this suggests they are a seasoned and experienced board.
Is Wong's International Holdings Limited (HKG:99) Struggling With Its 4.1% Return On Capital Employed?
Analysts use this formula to calculate return on capital employed: Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities) Or for Wong's International Holdings: 0.041 = HK$259m ÷ (HK$8.3b - HK$1.9b) (Based on the trailing twelve months to December 2018.) So, Wong's International Holdings has an ROCE of 4.1%. … Wong's International Holdings's current ROCE of 4.1% is lower than its ROCE in the past, which was 6.9%, 3 years ago. … Do Wong's International Holdings's Current Liabilities Skew Its ROCE?
These Factors Make Wong's International Holdings Limited (HKG:99) An Interesting Investment
Help shape the future of investing tools and you could win a $250 gift card! … I've been keeping an eye on Wong's International Holdings Limited (HKG:99) because I'm attracted to its fundamentals. … Looking at the company as a whole, as a potential stock investment, I believe 99 has a lot to offer.
Should You Be Adding Wong's International Holdings (HKG:99) To Your Watchlist Today?
If, on the other hand, you like companies that have revenue, and even earn profits, then you may well be interested in Wong's International Holdings (HKG:99). … It certainly is nice to see that Wong's International Holdings has managed to grow EPS by 34% per year over three years. … While we note Wong's International Holdings's EBIT margins were flat over the last year, revenue grew by a solid 4.9% to HK$4.0b.
What Kind Of Shareholder Appears On The Wong's International Holdings Limited's (HKG:99) Shareholder Register?
Large companies usually have institutions as shareholders, and we usually see insiders owning shares in smaller companies. … Wong's International Holdings is a smaller company with a market capitalization of HK$1.7b, so it may still be flying under the radar of many institutional investors. … View our latest analysis for Wong's International Holdings
How Many Insiders Bought Wong's International Holdings Limited (HKG:99) Shares?
So we'll take a look at whether insiders have been buying or selling shares in Wong's International Holdings Limited (HKG:99). … Wong's International Holdings Insider Transactions Over The Last Year. … In the last twelve months, the biggest single purchase by an insider was when Chung Ah Wong bought HK$17m worth of shares at a price of HK$0.71 per share.
How Does Wong's International Holdings Limited (HKG:99) Fare As A Dividend Stock?
Historically, Wong's International Holdings Limited (HKG:99) has paid a dividend to shareholders. … Let's dig deeper into whether Wong's International Holdings should have a place in your portfolio. … Check out our latest analysis for Wong's International Holdings
Did You Miss Wong's International Holdings's 17% Share Price Gain?
Furthermore, you'd generally like to see the share price rise faster than the market. … Unfortunately for shareholders, while the Wong's International Holdings Limited (HKG:99) share price is up 17% in the last five years, that's less than the market return. … During five years of share price growth, Wong's International Holdings achieved compound earnings per share (EPS) growth of 60% per year.
Wong's International Holdings Limited (HKG:99): Time For A Financial Health Check
Wong's International Holdings Limited (HKG:99) is a small-cap stock with a market capitalization of HK$1.5b. … While investors primarily focus on the growth potential and competitive landscape of the small-cap companies, they end up ignoring a key aspect, which could be the biggest threat to its existence: its financial health. … Assessing first and foremost the financial health is
Does Wong's International Holdings Limited's (HKG:99) CEO Pay Reflect Performance?
This analysis aims first to contrast CEO compensation with other companies that have similar market capitalization. … Check out our latest analysis for Wong's International Holdings? … How Does Ben Wong's Compensation Compare With Similar Sized Companies?
Do Insiders Own Shares In Wong's International Holdings Limited (HKG:99)?
A look at the shareholders of Wong's International Holdings Limited (HKG:99) can tell us which group is most powerful. … With a market capitalization of HK$1.4b, Wong's International Holdings is a small cap stock, so it might not be well known by many institutional investors. … View our latest analysis for Wong's International Holdings
Wong’s International Holdings Limited, together with its subsidiaries, develops, manufactures, markets, and distributes electronics products in Hong Kong, rest of Asia, North America, and Europe. It operates in two divisions, Electronic Manufacturing Service (EMS), and Property Investment. The company manufactures and distributes electronic products for EMS customers; and offers electronic manufacturing, testing, value-added engineering, hardware, software or mechanical design, product design, supply management, logistics management, and after-sales services for products in industrial and power, office electronics, network and peripheral, and consumer and digital categories. It also invests in, develops, sells, and leases properties; develops, markets, and distributes wireless multimedia mobile devices; provides sales and marketing services; and trades in electronic products. In addition, the company engages in the trading and distribution of food and beverages. Wong’s International Holdings Limited was founded in 1962 and is headquartered in Kwun Tong, Hong Kong.
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