SEHK:1199

Stock Analysis Report

Executive Summary

COSCO SHIPPING Ports Limited, an investment holding company, engages in managing and operating terminals and related other businesses in Mainland China, Southeast Asia, the Middle East, Europe, and the Mediterranean.

Snowflake

Fundamentals

Good value with acceptable track record.


Similar Companies

Share Price & News

How has COSCO SHIPPING Ports's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

4.2%

1199

2.5%

HK Infrastructure

2.2%

HK Market


1 Year Return

-22.3%

1199

-1.7%

HK Infrastructure

-1.3%

HK Market

Return vs Industry: 1199 underperformed the Hong Kong Infrastructure industry which returned -1.7% over the past year.

Return vs Market: 1199 underperformed the Hong Kong Market which returned -1.3% over the past year.


Share holder returns

1199IndustryMarket
7 Day4.2%2.5%2.2%
30 Day-3.0%-1.3%-2.9%
90 Day-15.0%-6.3%-5.8%
1 Year-18.8%-22.3%4.2%-1.7%2.3%-1.3%
3 Year-13.5%-22.1%-2.8%-15.8%15.6%3.9%
5 Year-18.5%-38.0%10.5%-12.1%20.1%0.06%

Price Volatility Vs. Market

How volatile is COSCO SHIPPING Ports's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is COSCO SHIPPING Ports undervalued based on future cash flows and its price relative to the stock market?

8.32x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Undervalued: 1199 (HK$6.4) is trading above our estimate of fair value (HK$3.97)

Significantly Undervalued: 1199 is trading above our estimate of fair value.


Price Based on Earnings

PE vs Industry: 1199 is good value based on its PE Ratio (8.3x) compared to the Infrastructure industry average (8.4x).

PE vs Market: 1199 is good value based on its PE Ratio (8.3x) compared to the Hong Kong market (10.3x).


Price Based on Expected Growth

Low PEG Ratio: 1199 is good value based on its PEG Ratio (0.7x)


Price Based on Value of Assets

PB vs Industry: 1199 is good value based on its PB Ratio (0.5x) compared to the HK Infrastructure industry average (0.8x).


Next Steps

Future Growth

How is COSCO SHIPPING Ports expected to perform in the next 1 to 3 years based on estimates from 10 analysts?

11.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Earnings vs Savings Rate: 1199's forecast earnings growth (11.1% per year) is above the savings rate (2%).

Earnings vs Market: 1199's earnings (11.1% per year) are forecast to grow slower than the Hong Kong market (11.2% per year).

High Growth Earnings: 1199's earnings are forecast to grow, but not significantly.

Revenue vs Market: 1199's revenue (9.1% per year) is forecast to grow slower than the Hong Kong market (10.1% per year).

High Growth Revenue: 1199's revenue (9.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Estimates


Future Return on Equity

High Future ROE: 1199's Return on Equity is forecast to be low in 3 years time (6.8%).


Next Steps

Past Performance

How has COSCO SHIPPING Ports performed over the past 5 years?

6.1%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: 1199's earnings have grown by 6.1% per year over the past 5 years.

Accelerating Growth: 1199's earnings growth over the past year (2.2%) is below its 5-year average (6.1% per year).

Earnings vs Industry: 1199 earnings growth over the past year (2.2%) exceeded the Infrastructure industry 1.1%.


Return on Equity

High ROE: 1199's Return on Equity (6.1%) is considered low.


Return on Assets

ROA vs Industry: 1199's Return on Assets is below or equal to the Infrastructure industry average last year.


Return on Capital Employed

ROCE Improving: 1199 has improved its Return on Capital Employed over the past 3 years.


Next Steps

Financial Health

How is COSCO SHIPPING Ports's financial position?


Financial Position Analysis

Short Term Liabilities: 1199's short term assets ($970.9M) exceeds its short term liabilities ($879.7M)

Long Term Liabilities: 1199's short term assets (970.9M) do not cover its long term liabilities (3.4B)


Debt to Equity History and Analysis

Debt Level: 1199's debt to equity ratio (47.3%) is considered high

Reducing Debt: 1199's debt to equity ratio has increased from 44.9% to 47.3% over the past 5 years.

Debt Coverage: 1199's debt is not well covered by operating cash flow (10.6%).

Interest Coverage: 1199's interest payments on its debt are not well covered by EBIT (2.8x coverage).


Balance Sheet

Inventory Level: 1199 has a high level of physical assets or inventory.

Debt Coverage by Assets: 1199's debt is not covered by short term assets (assets are 0.4x debt).


Next Steps

Dividend

What is COSCO SHIPPING Ports's current dividend yield, its reliability and sustainability?

5.31%

Expected Dividend Yield


Dividend Yield vs Market

company5.2%marketbottom25%2.3%markettop25%6.3%industryaverage5.1%forecastin3Years5.3%

Current dividend yield vs market & industry


Dividend Yield and Payments Analysis

Notable Dividend: 1199's dividend (5.19%) is higher than the bottom 25% of dividend payers in the Hong Kong market (2.25%).

High Dividend: 1199's dividend (5.19%) is low compared to the top 25% of dividend payers in the Hong Kong market (6.35%).

Stable Dividend: 1199's dividend payments have been volatile in the past 10 years.

Growing Dividend: 1199's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (40%), 1199's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: 1199's dividends in 3 years are forecast to be well covered by earnings (37.8% payout ratio).


Next Steps

Management

What is the CEO of COSCO SHIPPING Ports's salary, the management and board of directors tenure and is there insider trading?

3.8yrs

Average management tenure


CEO

Dayu Zhang (46yo)

0.08yrs

Tenure

0

Mr. Dayu Zhang serves as Executive Director and Managing Director of COSCO SHIPPING Ports Limited since September 13, 2019. Mr. Zhang was the Deputy Managing Director of COSCO SHIPPING Ports Limited from A ...


Management Age and Tenure

3.8yrs

Average Tenure

57yo

Average Age

Experienced Management: 1199's management team is considered experienced (3.8 years average tenure).


Board Age and Tenure

6.2yrs

Average Tenure

57yo

Average Age

Experienced Board: 1199's board of directors are considered experienced (6.2 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.


Recent Insider Transactions

BuyUS$5,253,56704 Oct 19
Silchester International Investors LLP
EntityCompany
Shares860,000
Max PriceUS$6.11
SellUS$2,806,17508 Aug 19
Hermes Investment Management Limited
EntityCompany
Shares414,000
Max PriceUS$6.78
BuyUS$2,378,93617 Jul 19
COSCO SHIPPING Holdings Co., Ltd.
EntityCompany
Shares322,000
Max PriceUS$7.39
BuyUS$7,89410 Jul 19
Huangjun Deng
EntityIndividual
Role
Member of the Board of Directors
Deputy MD & Executive Director
Shares1,059
Max PriceUS$7.45
BuyUS$73,81010 Jul 19
Tin Yau Wong
EntityIndividual
Role
Member of the Board of Directors
Deputy MD & Executive Director
Shares9,902
Max PriceUS$7.45
BuyUS$48,48810 Jul 19
Wei Zhang
EntityIndividual
Shares6,505
Max PriceUS$7.45
BuyUS$98,51518 Oct 18
Tin Yau Wong
EntityIndividual
Role
Member of the Board of Directors
Deputy MD & Executive Director
Shares13,090
Max PriceUS$7.53
BuyUS$25,95018 Oct 18
Meng Fang
EntityIndividual
Shares3,448
Max PriceUS$7.53
BuyUS$8,64718 Oct 18
Huangjun Deng
EntityIndividual
Role
Member of the Board of Directors
Deputy MD & Executive Director
Shares1,149
Max PriceUS$7.53
BuyUS$51,89918 Oct 18
Wei Zhang
EntityIndividual
Shares6,896
Max PriceUS$7.53

Ownership Breakdown


Management Team

  • Michelle Hung (49yo)

    General Counsel & Company Secretary

    • Tenure: 22.9yrs
  • Kelvin Wong (59yo)

    Deputy MD & Executive Director

    • Tenure: 23.3yrs
    • Compensation: US$487.00k
  • Fusheng Zhang (68yo)

    EVP - China Ocean Shipping (Group) Company and Director of COSCO Container Lines Company Ltd

    • Tenure: 0yrs
    • Compensation: US$8.00k
  • Futian Wang (68yo)

    President of COSCO Hong Kong

    • Tenure: 0yrs
    • Compensation: US$8.00k
  • Huangjun Deng (55yo)

    Deputy MD & Executive Director

    • Tenure: 4yrs
    • Compensation: US$377.00k
  • Boming Feng (50yo)

    Chairman of the Board

    • Tenure: 0.08yrs
    • Compensation: US$4.00k
  • Xiaomin Zeng (59yo)

    Deputy Managing Director

    • Tenure: 3.5yrs
  • Dayu Zhang (46yo)

    MD & Executive Director

    • Tenure: 0.08yrs

Board Members

  • Kelvin Wong (59yo)

    Deputy MD & Executive Director

    • Tenure: 23.3yrs
    • Compensation: US$487.00k
  • Adrian David Li (46yo)

    Independent Non-Executive Director

    • Tenure: 7.4yrs
    • Compensation: US$56.00k
  • Fusheng Zhang (68yo)

    EVP - China Ocean Shipping (Group) Company and Director of COSCO Container Lines Company Ltd

    • Tenure: 0yrs
    • Compensation: US$8.00k
  • Rita Fan (73yo)

    Independent Non Executive Director

    • Tenure: 10.8yrs
    • Compensation: US$50.00k
  • Huangjun Deng (55yo)

    Deputy MD & Executive Director

    • Tenure: 4yrs
    • Compensation: US$377.00k
  • Haimin Wang (46yo)

    Non-Executive Director

    • Tenure: 9yrs
    • Compensation: US$15.00k
  • Yiu Kin Lam (64yo)

    Independent Non-Executive Director

    • Tenure: 4.2yrs
    • Compensation: US$40.00k
  • Ergang Fan (64yo)

    Independent Non-Executive Director

    • Tenure: 6.2yrs
    • Compensation: US$33.00k
  • Boming Feng (50yo)

    Chairman of the Board

    • Tenure: 0.08yrs
    • Compensation: US$4.00k
  • Dayu Zhang (46yo)

    MD & Executive Director

    • Tenure: 0.08yrs

Company Information

COSCO SHIPPING Ports Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: COSCO SHIPPING Ports Limited
  • Ticker: 1199
  • Exchange: SEHK
  • Founded: 1994
  • Industry: Marine Ports and Services
  • Sector: Transportation
  • Market Cap: HK$20.139b
  • Shares outstanding: 3.16b
  • Website: https://ports.coscoshipping.com

Number of Employees


Location

  • COSCO SHIPPING Ports Limited
  • COSCO Tower
  • 49th Floor
  • Central
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CSPK.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDDec 1994
1199SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDDec 1994
CTHDB (Deutsche Boerse AG)YesOrdinary SharesDEEURDec 1994
1199SHSC (Stock Exchange of Hong Kong Limited - Shanghai - Hong Kong Stock Connect)YesOrdinary SharesHKHKDDec 1994
1199SZSC (The Stock Exchange of Hong Kong - Shenzhen - Hong Kong Stock Connect)YesOrdinary SharesHKHKDDec 1994
CSPK.YOTCPK (Pink Sheets LLC)UNSPONSORD ADRUSUSDOct 2008

Biography

COSCO SHIPPING Ports Limited, an investment holding company, engages in managing and operating terminals and related other businesses in Mainland China, Southeast Asia, the Middle East, Europe, and the Med ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/14 12:37
End of Day Share Price2019/10/14 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.

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