Market Cap
HK$248.2b
Last Updated
2020/03/30 12:40 UTC
Data Sources
Company Financials +
Executive Summary
MTR Corporation Limited designs, constructs, operates, maintains, and invests in railways in Hong Kong, Australia, Mainland of China, Sweden, the United Kingdom, and internationally.
Snowflake Analysis
Adequate balance sheet average dividend payer.
Share Price & News
How has MTR's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: 66 has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
3.4%
66
3.1%
HK Transportation
7.4%
HK Market
1 Year Return
-19.2%
66
-22.7%
HK Transportation
-22.7%
HK Market
Return vs Industry: 66 exceeded the Hong Kong Transportation industry which returned -20.9% over the past year.
Return vs Market: 66 exceeded the Hong Kong Market which returned -20.3% over the past year.
Shareholder returns
| 66 | Industry | Market | |
|---|---|---|---|
| 7 Day | 3.4% | 3.1% | 7.4% |
| 30 Day | -9.9% | -10.6% | -11.2% |
| 90 Day | -14.2% | -16.1% | -17.3% |
| 1 Year | -17.2%-19.2% | -20.7%-22.7% | -19.9%-22.7% |
| 3 Year | 1.4%-9.9% | -10.8%-19.9% | -5.3%-14.8% |
| 5 Year | 32.8%5.2% | 7.8%-11.1% | -8.7%-23.4% |
Price Volatility Vs. Market
How volatile is MTR's share price compared to the market and industry in the last 5 years?
Simply Wall St News
4 days ago | Simply Wall St
Imagine Owning MTR (HKG:66) And Wondering If The 15% Share Price Slide Is Justified2 weeks ago | Simply Wall St
How Many MTR Corporation Limited (HKG:66) Shares Did Insiders Buy, In The Last Year?1 month ago | Simply Wall St
A Look At The Intrinsic Value Of MTR Corporation Limited (HKG:66)Valuation
Is MTR undervalued compared to its fair value and its price relative to the market?
20.33x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: 66 (HK$39.5) is trading above our estimate of fair value (HK$23.58)
Significantly Below Fair Value: 66 is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: 66 is poor value based on its PE Ratio (20.3x) compared to the Transportation industry average (15.3x).
PE vs Market: 66 is poor value based on its PE Ratio (20.3x) compared to the Hong Kong market (9x).
Price to Earnings Growth Ratio
PEG Ratio: 66 is poor value based on its PEG Ratio (6x)
Price to Book Ratio
PB vs Industry: 66 is overvalued based on its PB Ratio (1.3x) compared to the HK Transportation industry average (0.9x).
Next Steps
Future Growth
How is MTR forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?
3.4%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: 66's forecast earnings growth (3.4% per year) is above the savings rate (1.6%).
Earnings vs Market: 66's earnings (3.4% per year) are forecast to grow slower than the Hong Kong market (12.8% per year).
High Growth Earnings: 66's earnings are forecast to grow, but not significantly.
Revenue vs Market: 66's revenue (4.1% per year) is forecast to grow slower than the Hong Kong market (9.9% per year).
High Growth Revenue: 66's revenue (4.1% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: 66's Return on Equity is forecast to be low in 3 years time (6.4%).
Next Steps
Past Performance
How has MTR performed over the past 5 years?
1.4%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: 66 has high quality earnings.
Growing Profit Margin: 66's current net profit margins (21.9%) are lower than last year (29.7%).
Past Earnings Growth Analysis
Earnings Trend: 66's earnings have grown by 1.4% per year over the past 5 years.
Accelerating Growth: 66's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: 66 had negative earnings growth (-25.5%) over the past year, making it difficult to compare to the Transportation industry average (-25.5%).
Return on Equity
High ROE: 66's Return on Equity (6.5%) is considered low.
Next Steps
Financial Health
How is MTR's financial position?
Financial Position Analysis
Short Term Liabilities: 66's short term assets (HK$38.7B) exceed its short term liabilities (HK$15.3B).
Long Term Liabilities: 66's short term assets (HK$38.7B) do not cover its long term liabilities (HK$87.1B).
Debt to Equity History and Analysis
Debt Level: 66's debt to equity ratio (21%) is considered satisfactory.
Reducing Debt: 66's debt to equity ratio has increased from 12.6% to 21% over the past 5 years.
Debt Coverage: 66's debt is well covered by operating cash flow (41.4%).
Interest Coverage: 66's interest payments on its debt are well covered by EBIT (15.4x coverage).
Balance Sheet
Inventory Level: 66 has a high level of physical assets or inventory.
Debt Coverage by Assets: 66's debt is not covered by short term assets (assets are 1x debt).
Next Steps
Dividend
What is MTR's current dividend yield, its reliability and sustainability?
3.11%
Current Dividend Yield
Upcoming Dividend Payment
Dividend Yield vs Market
Notable Dividend: 66's dividend (3.11%) is higher than the bottom 25% of dividend payers in the Hong Kong market (2.67%).
High Dividend: 66's dividend (3.11%) is low compared to the top 25% of dividend payers in the Hong Kong market (7.29%).
Stability and Growth of Payments
Stable Dividend: 66's dividend payments have been volatile in the past 10 years.
Growing Dividend: 66's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (63.3%), 66's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: 66's dividends in 3 years are forecast to be covered by earnings (50.3% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
3.7yrs
Average management tenure
CEO
Jacob Kam (57yo)
0.92
Tenure
HK$11,400,000
Compensation
Dr. Chak-pui Kam, also known as Jacob, has been Chief Executive Officer and Director at MTR Corporation Limited since April 1, 2019 and also has been its Member of the Executive Directorate since January 1 ...
CEO Compensation Analysis
Compensation vs Market: Jacob's total compensation ($USD1.47M) is above average for companies of similar size in the Hong Kong market ($USD1.10M).
Compensation vs Earnings: Jacob's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO & Director | 0.92yr | HK$11.40m | 0.0038% HK$9.5m | |
| Finance Director | 3.67yrs | HK$7.60m | 0.00057% HK$1.4m | |
| MD of Operations & Mainland Business | no data | HK$7.20m | 0.0013% HK$3.1m | |
| Legal & European Business Director and Company Secretary | 3.67yrs | HK$7.00m | 0.0015% HK$3.7m | |
| Human Resources Director | 3.75yrs | HK$7.80m | 0.00084% HK$2.1m | |
| Commercial Director | 8.5yrs | HK$7.70m | 0.011% HK$26.1m | |
| Property Director | 8.42yrs | HK$8.00m | 0.0029% HK$7.1m | |
| General Manager of Corporate Finance | no data | no data | no data | |
| Deputy Director of Strategy | no data | no data | no data | |
| Chief Information Officer | no data | no data | no data |
3.7yrs
Average Tenure
54yo
Average Age
Experienced Management: 66's management team is considered experienced (3.7 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO & Director | 0.92yr | HK$11.40m | 0.0038% HK$9.5m | |
| Independent Non-Executive Director | 2.83yrs | HK$500.00k | no data | |
| Independent Non-Executive Director | 5.42yrs | HK$500.00k | no data | |
| Independent Non-Executive Director | 5.17yrs | HK$500.00k | no data | |
| Independent Non-Executive Director | 5.42yrs | HK$500.00k | 0.000060% HK$148.9k | |
| Independent Non-Executive Director | 6.67yrs | HK$500.00k | no data | |
| Non-Executive Director | 2.42yrs | HK$400.00k | no data | |
| Independent Non-Executive Director | 6.67yrs | HK$400.00k | 0.00017% HK$421.9k | |
| Independent Non-Executive Director | 5.42yrs | HK$400.00k | no data | |
| Chairman of the Board | 0.67yr | no data | no data |
5.3yrs
Average Tenure
66.5yo
Average Age
Experienced Board: 66's board of directors are considered experienced (5.3 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
MTR Corporation Limited's company bio, employee growth, exchange listings and data sources
Key Information
- Name: MTR Corporation Limited
- Ticker: 66
- Exchange: SEHK
- Founded: 1975
- Industry: Railroads
- Sector: Transportation
- Market Cap: HK$248.173b
- Shares outstanding: 6.16b
- Website: https://www.mtr.com.hk
Number of Employees
Location
- MTR Corporation Limited
- MTR Headquarters Building
- Telford Plaza
- Kowloon Bay
- Kowloon
- Hong Kong
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| 66 | SEHK (The Stock Exchange of Hong Kong Ltd.) | Yes | Ordinary Shares | HK | HKD | Oct 2000 |
| MTRJ.F | OTCPK (Pink Sheets LLC) | Yes | Ordinary Shares | US | USD | Oct 2000 |
| MRI | DB (Deutsche Boerse AG) | Yes | Ordinary Shares | DE | EUR | Oct 2000 |
| 66 | SHSC (Stock Exchange of Hong Kong Limited - Shanghai - Hong Kong Stock Connect) | Yes | Ordinary Shares | HK | HKD | Oct 2000 |
| 66 | SZSC (The Stock Exchange of Hong Kong - Shenzhen - Hong Kong Stock Connect) | Yes | Ordinary Shares | HK | HKD | Oct 2000 |
| MTCP.Y | OTCPK (Pink Sheets LLC) | UNSPONSORE ADR | US | USD | Mar 2017 |
Biography
MTR Corporation Limited designs, constructs, operates, maintains, and invests in railways in Hong Kong, Australia, Mainland of China, Sweden, the United Kingdom, and internationally. It operates in Hong Kong Transport Operations; Hong Kong Station Commercial Businesses; Hong Kong Property Rental and Management Businesses; Hong Kong Property Development; Mainland of China and International Railway, Property Rental and Management Businesses; Mainland Of China Property Development; and Other Businesses. The company offers domestic and cross-boundary services, the Airport Express, and a light rail and bus feeder system. Its network consists of 256.6 kilometers of rail; 12 rail lines; and 93 stations. The company also offers intercity railway services; leases station retail space in stations, as well as advertising space in trains and stations; enables telecommunication services on the railway system; and develops, invests in, manages, and leases investment properties, including shopping malls and offices. In addition, it operates cable cars, and the Octopus access control system; and offers railway consultancy and project management services, as well as railway management, engineering, and technology training services. Further, it administers the operation of MTR academy; and provides general building and maintenance, engineering, property broking and administrative, tourist, fixed telecommunication network and related, insurance, financing, and technical support services. Additionally, the company offers station management, project bidding, commercial management and consultancy, business management and consultancy, commercial facilities strategy, corporate training management, rail transport training, economic and business information consultancy, and enterprise management consultancy. It also engages in the cable car system and theme village; and pre-operation mobilization activities. The company was founded in 1975 and is headquartered in Kowloon Bay, Hong Kong.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/03/30 12:40 |
| End of Day Share Price | 2020/03/30 00:00 |
| Earnings | 2019/12/31 |
| Annual Earnings | 2019/12/31 |
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.