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CK Infrastructure Holdings

SEHK:1038
Snowflake Description

Established dividend payer with acceptable track record.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
1038
SEHK
HK$167B
Market Cap
  1. Home
  2. HK
  3. Utilities
Company description

CK Infrastructure Holdings Limited, an infrastructure company, develops, invests, and operates infrastructure businesses in Hong Kong, Mainland China, the United Kingdom, Continental Europe, Australia, New Zealand, and Canada. The last earnings update was 70 days ago. More info.


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1038 Share Price and Events
7 Day Returns
-1.4%
SEHK:1038
1%
HK Electric Utilities
0.5%
HK Market
1 Year Returns
7.7%
SEHK:1038
6.4%
HK Electric Utilities
-15.9%
HK Market
1038 Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
CK Infrastructure Holdings (1038) -1.4% -1% -3.9% 7.7% -14.8% 20.8%
HK Electric Utilities 1% 0.9% -2.5% 6.4% -1.8% 19.1%
HK Market 0.5% -2.7% -9.9% -15.9% 20.6% 3%
1 Year Return vs Industry and Market
  • 1038 outperformed the Electric Utilities industry which returned 6.4% over the past year.
  • 1038 outperformed the Market in Hong Kong which returned -15.9% over the past year.
Price Volatility
1038
Industry
5yr Volatility vs Market

1038 Value

 Is CK Infrastructure Holdings undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of CK Infrastructure Holdings to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for CK Infrastructure Holdings.

SEHK:1038 Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 11 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 7.3%
Perpetual Growth Rate 10-Year HK Government Bond Rate 2%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for SEHK:1038
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year HK Govt Bond Rate 2%
Equity Risk Premium S&P Global 6.7%
Electric Utilities Unlevered Beta Simply Wall St/ S&P Global 0.28
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.28 (1 + (1- 25%) (26.85%))
0.555
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.8
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2% + (0.8 * 6.65%)
7.32%

Discounted Cash Flow Calculation for SEHK:1038 using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for CK Infrastructure 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:1038 DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (HKD, Millions) Source Present Value
Discounted (@ 7.32%)
2019 3,711.00 Analyst x1 3,457.79
2020 4,758.50 Analyst x2 4,131.28
2021 3,997.00 Analyst x1 3,233.37
2022 3,534.01 Est @ -11.58% 2,663.77
2023 3,268.69 Est @ -7.51% 2,295.67
2024 3,116.55 Est @ -4.65% 2,039.47
2025 3,033.74 Est @ -2.66% 1,849.82
2026 2,995.54 Est @ -1.26% 1,701.89
2027 2,987.14 Est @ -0.28% 1,581.32
2028 2,999.22 Est @ 0.4% 1,479.38
Present value of next 10 years cash flows HK$24,433.76
SEHK:1038 DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= HK$2,999.22 × (1 + 2%) ÷ (7.32% – 2%)
HK$57,505.58
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= HK$57,505.58 ÷ (1 + 7.32%)10
HK$28,364.94
SEHK:1038 Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= HK$24,433.76 + HK$28,364.94
HK$52,798.70
Equity Value per Share
(HKD)
= Total value / Shares Outstanding
= HK$52,798.70 / 2,650.68
HK$19.92
SEHK:1038 Discount to Share Price
Calculation Result
Value per share (HKD) From above. HK$19.92
Current discount Discount to share price of HK$63.00
= -1 x (HK$63.00 - HK$19.92) / HK$19.92
-216.3%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of CK Infrastructure Holdings is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
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 CK Infrastructure Holdings's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are CK Infrastructure Holdings's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
SEHK:1038 PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in HKD HK$4.14
SEHK:1038 Share Price ** SEHK (2019-06-14) in HKD HK$63
Hong Kong Electric Utilities Industry PE Ratio Median Figure of 6 Publicly-Listed Electric Utilities Companies 15.45x
Hong Kong Market PE Ratio Median Figure of 1,487 Publicly-Listed Companies 10.68x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of CK Infrastructure Holdings.

SEHK:1038 PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= SEHK:1038 Share Price ÷ EPS (both in HKD)

= 63 ÷ 4.14

15.2x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • CK Infrastructure Holdings is good value based on earnings compared to the HK Electric Utilities industry average.
  • CK Infrastructure Holdings is overvalued based on earnings compared to the Hong Kong market.
Price based on expected Growth
Does CK Infrastructure Holdings's expected growth come at a high price?
Raw Data
SEHK:1038 PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 15.2x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 11 Analysts
4.5%per year
Asia Electric Utilities Industry PEG Ratio Median Figure of 9 Publicly-Listed Electric Utilities Companies 1x
Hong Kong Market PEG Ratio Median Figure of 466 Publicly-Listed Companies 0.76x

*Line of best fit is calculated by linear regression .

SEHK:1038 PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 15.2x ÷ 4.5%

3.35x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • CK Infrastructure Holdings is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on CK Infrastructure Holdings's assets?
Raw Data
SEHK:1038 PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in HKD HK$40.43
SEHK:1038 Share Price * SEHK (2019-06-14) in HKD HK$63
Hong Kong Electric Utilities Industry PB Ratio Median Figure of 7 Publicly-Listed Electric Utilities Companies 1.41x
Hong Kong Market PB Ratio Median Figure of 2,169 Publicly-Listed Companies 0.93x
SEHK:1038 PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= SEHK:1038 Share Price ÷ Book Value per Share (both in HKD)

= 63 ÷ 40.43

1.56x

* Primary Listing of CK Infrastructure Holdings.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • CK Infrastructure Holdings is overvalued based on assets compared to the HK Electric Utilities industry average.
X
Value checks
We assess CK Infrastructure Holdings's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Electric Utilities industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Electric Utilities industry average (and greater than 0)? (1 check)
  5. CK Infrastructure Holdings has a total score of 1/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

1038 Future Performance

 How is CK Infrastructure Holdings expected to perform in the next 1 to 3 years based on estimates from 11 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
4.5%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is CK Infrastructure Holdings expected to grow at an attractive rate?
  • CK Infrastructure Holdings's earnings growth is expected to exceed the low risk savings rate of 2%.
Growth vs Market Checks
  • CK Infrastructure Holdings's earnings growth is positive but not above the Hong Kong market average.
  • CK Infrastructure Holdings's revenues are expected to decrease over the next 1-3 years, this is below the Hong Kong market average.
Annual Growth Rates Comparison
Raw Data
SEHK:1038 Future Growth Rates Data Sources
Data Point Source Value (per year)
SEHK:1038 Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 11 Analysts 4.5%
SEHK:1038 Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 11 Analysts -0.9%
Hong Kong Electric Utilities Industry Earnings Growth Rate Market Cap Weighted Average 0.5%
Asia Electric Utilities Industry Revenue Growth Rate Market Cap Weighted Average 2.9%
Hong Kong Market Earnings Growth Rate Market Cap Weighted Average 11.2%
Hong Kong Market Revenue Growth Rate Market Cap Weighted Average 10.7%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
SEHK:1038 Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (5 months ago) See Below
Future Estimates Average of up to 11 Analyst Estimates (S&P Global) See Below
All numbers in HKD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
SEHK:1038 Future Estimates Data
Date (Data in HKD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-12-31 7,481 4,320 11,687 5
2020-12-31 7,054 4,734 11,800 11
2019-12-31 6,923 4,016 11,247 11
SEHK:1038 Past Financials Data
Date (Data in HKD Millions) Revenue Cash Flow Net Income *
2018-12-31 7,513 3,882 10,443
2018-09-30 7,518 3,306 10,492
2018-06-30 7,523 2,729 10,541
2018-03-31 7,158 2,849 10,399
2017-12-31 6,792 2,969 10,256
2017-09-30 6,363 2,305 10,019
2017-06-30 5,933 1,641 9,782
2017-03-31 5,912 2,078 9,709
2016-12-31 5,891 2,515 9,636
2016-09-30 5,839 3,171 10,528
2016-06-30 5,787 3,827 11,420
2016-03-31 5,926 3,953 11,291

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • CK Infrastructure Holdings's earnings are expected to grow by 4.5% yearly, however this is not considered high growth (20% yearly).
  • CK Infrastructure Holdings's revenue is expected to decrease over the next 1-3 years, this is not considered high growth.
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.
Raw Data
SEHK:1038 Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (5 months ago) See Below
Future Estimates Average of up to 11 Analyst Estimates (S&P Global) See Below

All data from CK Infrastructure Holdings Company Filings, last reported 5 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

SEHK:1038 Future Estimates Data
Date (Data in HKD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-12-31 4.69 5.20 4.25 6.00
2020-12-31 4.61 5.02 4.11 12.00
2019-12-31 4.44 4.67 4.03 11.00
SEHK:1038 Past Financials Data
Date (Data in HKD Millions) EPS *
2018-12-31 4.14
2018-09-30 4.16
2018-06-30 4.18
2018-03-31 4.13
2017-12-31 4.07
2017-09-30 3.98
2017-06-30 3.88
2017-03-31 3.85
2016-12-31 3.82
2016-09-30 4.18
2016-06-30 4.53
2016-03-31 4.49

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • CK Infrastructure Holdings is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess CK Infrastructure Holdings's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Hong Kong market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Asia market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
CK Infrastructure Holdings has a total score of 1/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

1038 Past Performance

  How has CK Infrastructure Holdings performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare CK Infrastructure Holdings's growth in the last year to its industry (Electric Utilities).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • CK Infrastructure Holdings's year on year earnings growth rate was negative over the past 5 years and the most recent earnings are below average.
  • CK Infrastructure Holdings's 1-year earnings growth exceeds its 5-year average (1.8% vs -22.1%)
  • CK Infrastructure Holdings's earnings growth has exceeded the HK Electric Utilities industry average in the past year (1.8% vs -6.6%).
Earnings and Revenue History
CK Infrastructure Holdings's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from CK Infrastructure Holdings Company Filings, last reported 5 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

SEHK:1038 Past Revenue, Cash Flow and Net Income Data
Date (Data in HKD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 7,513.00 10,443.00
2018-09-30 7,518.00 10,492.00 1.50
2018-06-30 7,523.00 10,541.00 877.00
2018-03-31 7,157.50 10,398.50 877.00
2017-12-31 6,792.00 10,256.00 3.00
2017-09-30 6,362.50 10,019.00 410.00
2017-06-30 5,933.00 9,782.00 817.00
2017-03-31 5,912.00 9,709.00 817.00
2016-12-31 5,891.00 9,636.00 817.00
2016-09-30 5,839.00 10,528.00 795.50
2016-06-30 5,787.00 11,420.00 774.00
2016-03-31 5,926.00 11,291.00 774.00
2015-12-31 6,065.00 11,162.00 774.00
2015-09-30 6,297.50 12,039.00 775.50
2015-06-30 6,530.00 12,916.00 777.00
2015-03-31 6,455.50 22,349.00 777.00
2014-12-31 6,381.00 31,782.00 777.00
2014-09-30 6,294.50 31,185.50 693.00
2014-06-30 6,208.00 30,589.00 609.00
2014-03-31 5,870.00 21,114.00 609.00
2013-12-31 5,532.00 11,639.00 609.00
2013-09-30 5,112.00 10,774.50 488.00
2013-06-30 4,692.00 9,910.00 367.00
2013-03-31 4,602.00 9,668.50 367.00
2012-12-31 4,512.00 9,427.00 367.00
2012-09-30 4,380.50 8,937.50 358.00
2012-06-30 4,249.00 8,448.00 349.00

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • CK Infrastructure Holdings has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • CK Infrastructure Holdings used its assets more efficiently than the HK Electric Utilities industry average last year based on Return on Assets.
  • CK Infrastructure Holdings's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess CK Infrastructure Holdings's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Electric Utilities industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. 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.
CK Infrastructure Holdings has a total score of 3/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

1038 Health

 How is CK Infrastructure Holdings's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up CK Infrastructure Holdings's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • CK Infrastructure Holdings is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • CK Infrastructure Holdings's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of CK Infrastructure 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 checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Debt is not covered by short term assets, assets are 0.2x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, 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.
Raw Data

All data from CK Infrastructure Holdings Company Filings, last reported 5 months ago.

SEHK:1038 Past Debt and Equity Data
Date (Data in HKD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 107,203.00 44,840.00 6,090.00
2018-09-30 107,203.00 44,840.00 6,090.00
2018-06-30 106,794.00 46,043.00 9,620.00
2018-03-31 106,794.00 46,043.00 9,620.00
2017-12-31 103,491.00 49,737.00 9,781.00
2017-09-30 103,491.00 49,737.00 9,781.00
2017-06-30 99,079.00 34,298.00 4,746.00
2017-03-31 99,079.00 34,298.00 4,746.00
2016-12-31 96,643.00 26,811.00 11,790.00
2016-09-30 96,643.00 26,811.00 11,790.00
2016-06-30 99,558.00 27,885.00 11,258.00
2016-03-31 99,558.00 27,885.00 11,258.00
2015-12-31 102,626.00 25,266.00 7,897.00
2015-09-30 102,626.00 25,266.00 7,897.00
2015-06-30 99,481.00 25,882.00 7,753.00
2015-03-31 99,481.00 25,882.00 7,753.00
2014-12-31 93,813.00 26,570.00 7,108.00
2014-09-30 93,813.00 26,570.00 7,108.00
2014-06-30 93,002.00 23,873.00 4,957.00
2014-03-31 93,002.00 23,873.00 4,957.00
2013-12-31 70,269.00 23,521.00 7,299.00
2013-09-30 70,269.00 23,521.00 7,299.00
2013-06-30 63,657.00 21,372.00 5,422.00
2013-03-31 63,657.00 21,372.00 5,422.00
2012-12-31 63,052.00 21,690.00 6,980.00
2012-09-30 63,052.00 21,690.00 6,980.00
2012-06-30 55,800.00 23,734.00 8,711.00
  • CK Infrastructure Holdings's level of debt (41.8%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (33.4% vs 41.8% today).
  • Debt is not well covered by operating cash flow (8.7%, less than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 4.5x coverage).
X
Financial health checks
We assess CK Infrastructure Holdings's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. CK Infrastructure Holdings has a total score of 2/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

1038 Dividends

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

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
3.86%
Current annual income from CK Infrastructure Holdings dividends. Estimated to be 4.17% next year.
If you bought HK$2,000 of CK Infrastructure Holdings shares you are expected to receive HK$77 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • CK Infrastructure Holdings's pays a higher dividend yield than the bottom 25% of dividend payers in Hong Kong (2.08%).
  • CK Infrastructure Holdings's dividend is below the markets top 25% of dividend payers in Hong Kong (5.95%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
SEHK:1038 Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 11 Analyst Estimates (S&P Global) See Below
Hong Kong Electric Utilities Industry Average Dividend Yield Market Cap Weighted Average of 6 Stocks 4.1%
Hong Kong Market Average Dividend Yield Market Cap Weighted Average of 966 Stocks 3.7%
Hong Kong Minimum Threshold Dividend Yield 10th Percentile 1.2%
Hong Kong Bottom 25% Dividend Yield 25th Percentile 2.1%
Hong Kong Top 25% Dividend Yield 75th Percentile 6%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

SEHK:1038 Future Dividends Estimate Data
Date (Data in HK$) Dividend per Share (annual) Avg. No. Analysts
2021-12-31 2.71 6.00
2020-12-31 2.66 12.00
2019-12-31 2.54 11.00
SEHK:1038 Past Annualized Dividends Data
Date (Data in HK$) Dividend per share (annual) Avg. Yield (%)
2019-04-08 2.430 3.882
2019-03-20 2.430 3.798
2018-04-04 2.380 3.944
2018-03-16 2.380 3.669
2017-07-20 2.300 3.380
2017-03-31 2.260 3.423
2017-03-21 2.260 3.659
2016-04-07 2.150 3.226
2016-03-16 2.150 2.864
2015-03-31 2.000 2.956
2015-02-25 2.000 3.054
2014-04-04 1.860 3.335
2014-02-25 1.860 3.760
2013-04-03 1.660 3.194
2013-03-07 1.660 3.122
2012-07-19 1.565 3.306
2012-03-08 1.530 3.352
2011-07-28 1.365 3.066
2011-03-07 1.330 3.475
2010-08-02 1.210 3.598
2010-03-05 1.201 4.152
2009-08-06 1.159 4.060

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been stable in the past 10 years.
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of CK Infrastructure Holdings's earnings are paid to the shareholders as a dividend.
  • Dividends paid are covered by earnings (1.7x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be covered by earnings (1.7x coverage).
X
Income/ dividend checks
We assess CK Infrastructure Holdings's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.2%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can CK Infrastructure Holdings afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. CK Infrastructure Holdings has a total score of 5/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

1038 Management

 What is the CEO of CK Infrastructure Holdings's salary, the management and board of directors tenure and is there insider trading?

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.
CEO
Hing Lam Kam
COMPENSATION HK$16,122,000
AGE 72
TENURE AS CEO 23.1 years
CEO Bio

Mr. Kam Hing Lam, B.ScE, MBA has been Deputy Managing Director and Executive Director of CK Asset Holdings Limited (formerly Cheung Kong Property Holdings Limited) since February 26, 2015. Mr. Kam has been Deputy Managing Director of Cheung Kong since 1993. He joined the CK Group in 1993. Mr. Kam has been Group Managing Director of CK Infrastructure Holdings Limited (alternate name: Cheung Kong Infrastructure Holdings Ltd.) since May 29, 1996. Mr. Kam has been Deputy Managing Director at CK Hutchison Holdings Limited since January 9, 2015 and is its Executive Director since February 15, 1993. Mr. Kam serves as Non-Executive Board Member of ETSA Utilities Finance Pty Ltd. He serves as the Chief Executive Officer and President of CK Life Sciences Int'l., Inc. and CK Life Sciences Int'l., (Holdings) Inc. and is responsible for Overall Strategic Direction and Key Operating Decisions. He has been an Executive Director of CK Life Sciences Int'l., (Holdings) Inc. and Hutchison Whampoa Limited since August 31, 1993. He served as Group Managing Director of SA Power Networks. He served as Executive Director of Power Assets Holdings Limited (formerly, Hongkong Electric Holdings Ltd) from May 13, 1993 to January 29, 2013. Mr. Kam joined CK Life Sciences Int'l., (Holdings) Inc. in December 1999 and has played a leading role in developing its corporate direction and strategic vision and in guiding in pursuit of its corporate business and operational objectives. He has been the Chairman of Hui Xian Asset Management Limited as the manager of Hui Xian REIT since December 2010. He is Founding Chairman of Beijing Oriental Plaza Co., Ltd. Mr. Kam has been a Non Executive Director of Northumbrian Water Group Limited since October 14, 2011. He has been a Non-Executive Director of Northumbrian Water Limited since October 2011. He has been a Director of South Eastern Power Networks Plc since November 24, 2010 and CKI UK Co. 6 Ltd. since July 31, 2016. He has been a Director at Electricity First Ltd. since April 23, 2010. He serves as a Director at UK Power Networks Services Holdings Limited, Powercor Australia Ltd., Powercor Network Services Pty Ltd., CitiPower Pty Ltd., and Northern Gas Networks Holdings Ltd. Mr. Kam has been a Director of Northern Gas Networks Limited since May 31, 2005. He serves as an Executive Director at Cheung Kong Infrastructure Holdings Ltd. and PG (April) Limited. He has been a Non-Executive Director of Spark Infrastructure Holdings No. 2 Limited since November 1, 2005. He has been a Director of SA Power Networks since March 8, 2000. He serves as Non-Executive Director of Victoria Power Networks (Finance) Pty Limited. He serves as a Director of Victoria Power Networks Pty Limited (formerly CHEDHA Holdings Pty Limited). He has been a Director of Australian Gas Networks Limited (formerly Envestra Limited) since September 2014 and served as its Non Executive Director from September 1999 to August 27, 2007. He served as a Director of Spark Infrastructure RE Limited at Spark Infrastructure Trust until May 28, 2010. He served as a Director of The Hongkong Electric Company Limited. He served as a Director of HK Electric Investments and HK Electric Investments Limited. Mr. Kam served as a Non-Executive Director of Cambridge Water Plc from April 28, 2004 to August 02, 2011. Mr. Kam is a director of certain substantial shareholders of Cheung Kong Infrastructure Holdings. He is a director of certain companies controlled by certain substantial shareholders of Cheung Kong Infrastructure Holdings. He served as a Non Executive Director of Spark Infrastructure Group from November 01, 2005 to May 28, 2010. He served as a Non Executive Director at Envestra Limited from September 1999 to August 27, 2007. He is Manager of Hui Xian REIT. Mr. Kam holds a Bachelor of Science degree in Engineering from the University of Hong Kong in November 1969 and a Master’s degree in Business Administration from the Chinese University of Hong Kong in December 1980.

CEO Compensation
  • Hing Lam's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Hing Lam's remuneration is higher than average for companies of similar size in Hong Kong.
Management Team Tenure

Average tenure and age of the CK Infrastructure Holdings management team in years:

13.4
Average Tenure
57.5
Average Age
  • The average tenure for the CK Infrastructure Holdings management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team

Victor Li

TITLE
Executive Chairman
COMPENSATION
HK$33M
AGE
54

Hing Lam Kam

TITLE
Group MD & Executive Director
COMPENSATION
HK$16M
AGE
72
TENURE
23.1 yrs

Canning Fok

TITLE
Deputy Chairman of the Board
COMPENSATION
HK$75K
AGE
67

Edmond Ip

TITLE
Deputy Chairman of the Board
COMPENSATION
HK$14M
AGE
66

Dominic Chan

TITLE
CFO & Executive Director
COMPENSATION
HK$11M
AGE
55
TENURE
13.4 yrs

Frank Sixt

TITLE
Executive Director
COMPENSATION
HK$75K
AGE
66

Joanna Chen

TITLE
Head of Business Development & Executive Director
COMPENSATION
HK$9M
AGE
55
TENURE
14.4 yrs

Andrew John Hunter

TITLE
Deputy MD & Executive Director
COMPENSATION
HK$28M
AGE
60
TENURE
9.1 yrs

Douglas Johnston

TITLE
Chief Operating Officer and Acting Chief Executive Officer of Husky Midstream Limited Partnership
AGE
54
TENURE
2.9 yrs

Ivan Chan

TITLE
Chief Planning & Investment Officer
AGE
55
Board of Directors Tenure

Average tenure and age of the CK Infrastructure Holdings board of directors in years:

14.4
Average Tenure
60
Average Age
  • The average tenure for the CK Infrastructure Holdings board of directors is over 10 years, this suggests they are a seasoned and experienced board.
Board of Directors

Victor Li

TITLE
Executive Chairman
COMPENSATION
HK$33M
AGE
54
TENURE
23.1 yrs

Hing Lam Kam

TITLE
Group MD & Executive Director
COMPENSATION
HK$16M
AGE
72

Canning Fok

TITLE
Deputy Chairman of the Board
COMPENSATION
HK$75K
AGE
67
TENURE
22.3 yrs

Edmond Ip

TITLE
Deputy Chairman of the Board
COMPENSATION
HK$14M
AGE
66
TENURE
16.3 yrs

Dominic Chan

TITLE
CFO & Executive Director
COMPENSATION
HK$11M
AGE
55
TENURE
8.4 yrs

Frank Sixt

TITLE
Executive Director
COMPENSATION
HK$75K
AGE
66
TENURE
23.1 yrs

Joanna Chen

TITLE
Head of Business Development & Executive Director
COMPENSATION
HK$9M
AGE
55
TENURE
2.4 yrs

Andrew John Hunter

TITLE
Deputy MD & Executive Director
COMPENSATION
HK$28M
AGE
60
TENURE
12.5 yrs

Eirene Yeung

TITLE
Company Secretary & Alternate Director
AGE
57
TENURE
11.3 yrs

Eddy Tsang

TITLE
Chief Executive Officer of CK Infrastructure Materials
AGE
60
TENURE
14.4 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (HK$) Value (HK$)
X
Management checks
We assess CK Infrastructure Holdings's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. CK Infrastructure Holdings has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

1038 News

Simply Wall St News

How Do CK Infrastructure Holdings Limited’s (HKG:1038) Returns Compare To Its Industry?

The formula for calculating the return on capital employed is: Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities) Or for CK Infrastructure Holdings: 0.024 = HK$3.6b ÷ (HK$158b - HK$6.3b) (Based on the trailing twelve months to December 2018.) Therefore, CK Infrastructure Holdings has an ROCE of 2.4%. … What Are Current Liabilities, And How Do They Affect CK Infrastructure Holdings's ROCE? … The ROCE equation subtracts current liabilities from capital employed, so a company with a lot of current liabilities appears to have less capital employed, and a higher ROCE than otherwise.

Simply Wall St -

How Do Analysts See CK Infrastructure Holdings Limited (HKG:1038) Performing Over The Next Year?

Below is a brief commentary on the longer term outlook the market has for CK Infrastructure Holdings. … See our latest analysis for CK Infrastructure Holdings How will CK Infrastructure Holdings perform in the near future? … SEHK:1038 Past and Future Earnings, June 2nd 2019 This results in an annual growth rate of 5.2% based on the most recent earnings level of HK$10b to the final forecast of HK$12b by 2022.

Simply Wall St -

Should You Worry About CK Infrastructure Holdings Limited's (HKG:1038) CEO Salary Level?

At the time of writing our data says that CK Infrastructure Holdings Limited has a market cap of HK$165b, and is paying total annual CEO compensation of HK$16m. … It would therefore appear that CK Infrastructure Holdings Limited pays Hing Lam Kam more than the median CEO remuneration at large companies, in the same market. … We compared total CEO remuneration at CK Infrastructure Holdings Limited with the amount paid at other large companies.

Simply Wall St -

CK Infrastructure Holdings Limited (HKG:1038): What Does The Future Look Like?

The most recent earnings release CK Infrastructure Holdings Limited's (HKG:1038) announced in December 2018 signalled that the business experienced a slight tailwind, eventuating to a single-digit earnings growth of 1.8%. … Below is my commentary, albeit very simple and high-level, on how market analysts view CK Infrastructure Holdings's earnings growth trajectory over the next few years and whether the future looks even brighter than the past. … View our latest analysis for CK Infrastructure Holdings Market analysts' consensus outlook for the upcoming year seems rather subdued, with earnings rising by a single digit 9.8%.

Simply Wall St -

Did You Miss CK Infrastructure Holdings's (HKG:1038) 26% Share Price Gain?

For example, the CK Infrastructure Holdings Limited (HKG:1038) share price is up 26% in the last 5 years, clearly besting than the market return of around 20% (ignoring dividends). … One imperfect but simple way to consider how the market perception of a company has shifted is to compare the change in the earnings per share (EPS) with the share price movement. … CK Infrastructure Holdings's earnings per share are down 2.8% per year, despite strong share price performance over five years.

Simply Wall St -

Should CK Infrastructure Holdings Limited's (HKG:1038) Recent Earnings Worry You?

When CK Infrastructure Holdings Limited (HKG:1038) released its most recent earnings update (31 December 2018), I compared it against two factor: its historical earnings track record, and the performance of its industry peers on average. … Understanding how CK Infrastructure Holdings performed requires a benchmark rather than trying to assess a standalone number at one point in time. … 1038's trailing twelve-month earnings (from 31 December 2018) of HK$10b has.

Simply Wall St -

Can We See Significant Institutional Ownership On The CK Infrastructure Holdings Limited (HKG:1038) Share Register?

A look at the shareholders of CK Infrastructure Holdings Limited (HKG:1038) can tell us which group is most powerful. … Large companies usually have institutions as shareholders, and we usually see insiders owning shares in smaller companies. … View our latest analysis for CK Infrastructure Holdings

Simply Wall St -

Why Dividend Hunters Love CK Infrastructure Holdings Limited (HKG:1038)

The company currently pays out a dividend yield of 3.6% to shareholders, making it a relatively attractive dividend stock. … Does CK Infrastructure Holdings tick all the boxes of a great dividend stock? … 5 checks you should do on a dividend stock

Simply Wall St -

Here's What We Think About CK Infrastructure Holdings Limited's (HKG:1038) CEO Pay

Hing Kam has been the CEO of CK Infrastructure Holdings Limited (HKG:1038) since 1996. … This analysis aims first to contrast CEO compensation with other large companies. … How Does Hing Kam's Compensation Compare With Similar Sized Companies?

Simply Wall St -

Is CK Infrastructure Holdings Limited (HKG:1038) A Financially Sound Company?

Investors pursuing a solid, dependable stock investment can often be led to CK Infrastructure Holdings Limited (HKG:1038), a large-cap worth HK$169b. … I will provide an overview of CK Infrastructure Holdings’s financial liquidity and leverage to give you an idea of CK Infrastructure Holdings’s position to take advantage of potential acquisitions or comfortably endure future downturns. … Remember this is a very top-level look that focuses exclusively on financial health, so I recommend a deeper analysis

Simply Wall St -

1038 Company Info

Description

CK Infrastructure Holdings Limited, an infrastructure company, develops, invests, and operates infrastructure businesses in Hong Kong, Mainland China, the United Kingdom, Continental Europe, Australia, New Zealand, and Canada. The company invests in energy infrastructure, transportation infrastructure, water infrastructure, waste management, waste-to-energy, household infrastructure, and infrastructure related businesses. It is also involved in the production and laying of asphalt; manufacture, distribution, and sale of cement; and property investment and financing businesses, as well as provision of waste management services, including waste collection, resource recovery, and disposal services. The company was formerly known as Cheung Kong Infrastructure Holdings Limited and changed its name to CK Infrastructure Holdings Limited in May 2017. The company was incorporated in 1996 and is based in Central, Hong Kong. CK Infrastructure Holdings Limited is a subsidiary of Hutchison Infrastructure Holdings Limited.

Details
Name: CK Infrastructure Holdings Limited
1038
Exchange: SEHK
Founded: 1996
HK$166,992,590,646
2,650,676,042
Website: http://www.cki.com.hk
Address: CK Infrastructure Holdings Limited
Cheung Kong Center,
12th Floor,
Central,
Hong Kong
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
SEHK 1038 Ordinary Shares The Stock Exchange of Hong Kong Ltd. HK HKD 04. Jul 1996
OTCPK CKIS.F Ordinary Shares Pink Sheets LLC US USD 04. Jul 1996
DB CHH Ordinary Shares Deutsche Boerse AG DE EUR 04. Jul 1996
SHSC 1038 Ordinary Shares Stock Exchange of Hong Kong Limited - Shanghai - Hong Kong Stock Connect HK HKD 04. Jul 1996
SZSC 1038 Ordinary Shares The Stock Exchange of Hong Kong - Shenzhen - Hong Kong Stock Connect HK HKD 04. Jul 1996
OTCPK CKIS.Y UNSPONSORED ADR Pink Sheets LLC US USD 11. Nov 2008
Number of employees
Current staff
Staff numbers
2,056
CK Infrastructure Holdings employees.
Industry
Electric Utilities
Utilities
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/06/17 12:41
End of day share price update: 2019/06/14 00:00
Last estimates confirmation: 2019/06/10
Last earnings filing: 2019/04/08
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.