SEHK:295

Stock Analysis Report

Executive Summary

Kong Sun Holdings Limited, an investment holding company, invests in, operates, and maintains solar power plants in the People’s Republic of China.

Snowflake

Fundamentals

Overvalued with worrying balance sheet.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-1.1%

295

-1.2%

HK Renewable Energy

0.9%

HK Market


1 Year Return

-28.2%

295

-8.5%

HK Renewable Energy

0.6%

HK Market

Return vs Industry: 295 underperformed the Hong Kong Renewable Energy industry which returned -8.5% over the past year.

Return vs Market: 295 underperformed the Hong Kong Market which returned 0.6% over the past year.


Shareholder returns

295IndustryMarket
7 Day-1.1%-1.2%0.9%
30 Day-10.1%-6.2%0.5%
90 Day-16.8%-9.8%-4.3%
1 Year-28.2%-28.2%-5.4%-8.5%4.2%0.6%
3 Yearn/a-17.9%-25.8%15.6%4.0%
5 Year-92.3%-92.3%-44.6%-54.3%20.0%-0.08%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

0.2x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate 295's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate 295's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: 295 is unprofitable, so we can't compare its PE Ratio to the Renewable Energy industry average.

PE vs Market: 295 is unprofitable, so we can't compare its PE Ratio to the Hong Kong market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 295's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 295 is good value based on its PB Ratio (0.2x) compared to the HK Renewable Energy industry average (0.6x).


Next Steps

Future Growth

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

40.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 295 is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: 295 is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: 295 is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: Insufficient data to determine if 295's revenue is forecast to grow faster than the Hong Kong market.

High Growth Revenue: Insufficient data to determine if 295's revenue is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if 295's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Kong Sun Holdings performed over the past 5 years?

24.2%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: 295 is unprofitable, but has reduced losses over the past 5 years at a rate of 24.2% per year.

Accelerating Growth: Unable to compare 295's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 295 is unprofitable, making it difficult to compare its past year earnings growth to the Renewable Energy industry (0.9%).


Return on Equity

High ROE: 295 has a negative Return on Equity (-0.64%), as it is currently unprofitable.


Return on Assets

ROA vs Industry: 295 is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: 295 is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is Kong Sun Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: 295's short term assets (CN¥6.0B) exceeds its short term liabilities (CN¥3.3B)

Long Term Liabilities: 295's short term assets (6.0B) do not cover its long term liabilities (10.6B)


Debt to Equity History and Analysis

Debt Level: 295's debt to equity ratio (182.7%) is considered high

Reducing Debt: 295's debt to equity ratio has increased from 6.2% to 182.7% over the past 5 years.


Balance Sheet

Inventory Level: 295 has a high level of physical assets or inventory.

Debt Coverage by Assets: 295's debt is not covered by short term assets (assets are 0.5x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: Insufficient data to determine if 295 has enough cash runway based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if 295 has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%2.3%markettop25%6.3%industryaverage3.8%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: Unable to evaluate 295's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate 295's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.

Stable Dividend: Insufficient data to determine if 295's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 295's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 295's dividend in 3 years as they are not forecast to pay a notable one for the Hong Kong market.


Next Steps

Management

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

0.2yrs

Average management tenure


CEO

Yanbing Jin (40yo)

0.2yrs

Tenure

CN¥4,952,000

Compensation

Mr. Yanbing Jin has been Executive Director at Kong Sun Holdings Limited since April 13, 2017 and serves as its Chairman of the Board & Chief Executive Officer since August 26, 2019. Mr. Jin served as Chie ...


CEO Compensation Analysis

Compensation vs. Market: Insufficient data to establish whether Yanbing's total compensation is reasonable compared to companies of similar size in the Hong Kong market.

Compensation vs Earnings: Yanbing's compensation has increased whilst the company is unprofitable.


Management Age and Tenure

0.2yrs

Average Tenure

40.5yo

Average Age

Experienced Management: 295's management team is not considered experienced ( 0.2 years average tenure), which suggests a new team.


Board Age and Tenure

1.9yrs

Average Tenure

50yo

Average Age

Experienced Board: 295's board of directors are not considered experienced ( 1.9 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown


Management Team

  • Hongfu Qin (41yo)

    Chief Financial Officer

    • Tenure: 0.08yrs
  • Yanbing Jin (40yo)

    CEO & Chairman

    • Tenure: 0.2yrs
    • Compensation: CN¥4.95m
  • Cong Chen (37yo)

    Company Secretary

    • Tenure: 0.2yrs
  • Deng Chengli (46yo)

    Executive Director

    • Tenure: 2.5yrs
    • Compensation: CN¥5.39m

Board Members

  • Hon Kit Miu (51yo)

    Independent Non-Executive Director

    • Tenure: 5.3yrs
    • Compensation: CN¥254.00k
  • Bessie Wu (50yo)

    Independent Non-Executive Director

    • Tenure: 0.2yrs
  • Yanbing Jin (40yo)

    CEO & Chairman

    • Tenure: 0.2yrs
    • Compensation: CN¥4.95m
  • Fang Wang (47yo)

    Independent Non-Executive Director

    • Tenure: 2.8yrs
    • Compensation: CN¥155.00k
  • Deng Chengli (46yo)

    Executive Director

    • Tenure: 2.5yrs
    • Compensation: CN¥5.39m
  • Kin Shing Chen (51yo)

    Independent Non-Executive Director

    • Tenure: 2.5yrs
    • Compensation: CN¥257.00k
  • Tak Kong Wu (54yo)

    Non-Executive Director

    • Tenure: 1.9yrs
    • Compensation: CN¥203.00k
  • Ke Wang (35yo)

    Non-Executive Director

    • Tenure: 1.9yrs
    • Compensation: CN¥203.00k
  • Hengwen Jiang (50yo)

    Non- Executive Director

    • Tenure: 0.2yrs

Company Information

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


Key Information

  • Name: Kong Sun Holdings Limited
  • Ticker: 295
  • Exchange: SEHK
  • Founded:
  • Industry: Renewable Electricity
  • Sector: Utilities
  • Market Cap: HK$1.347b
  • Shares outstanding: 14.96b
  • Website: https://www.kongsun.com

Number of Employees


Location

  • Kong Sun Holdings Limited
  • Everbright Centre
  • 8th Floor
  • Wan Chai
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
295SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDJan 1992

Biography

Kong Sun Holdings Limited, an investment holding company, invests in, operates, and maintains solar power plants in the People’s Republic of China. The company operates in four segments: Solar Power Plants ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/21 12:36
End of Day Share Price2019/10/21 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.