SEHK:882

Stock Analysis Report

Tianjin Development Holdings

Executive Summary

Tianjin Development Holdings Limited, through its subsidiaries, supplies electricity, water, heat, and thermal power to industrial, commercial, and residential customers in the Tianjin Economic and Technological Development Area, the People’s Republic of China.

Rewards

PE ratio (5.6x) is below the Hong Kong market (10.2x)

Earnings grew by 23.6% over the past year

Risk Analysis

Earnings have declined by -17.34% per year over past 5 years

Unstable dividend track record

Large one-off items impacting financial results



Snowflake Analysis

Excellent balance sheet and fair value.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: 882 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-2.2%

882

0.4%

HK Integrated Utilities

0.6%

HK Market


1 Year Return

-19.0%

882

-14.7%

HK Integrated Utilities

-0.06%

HK Market

Return vs Industry: 882 underperformed the Hong Kong Integrated Utilities industry which returned -14.7% over the past year.

Return vs Market: 882 underperformed the Hong Kong Market which returned -0.1% over the past year.


Shareholder returns

882IndustryMarket
7 Day-2.2%0.4%0.6%
30 Day-2.7%-8.0%-3.6%
90 Day0.9%-4.6%-0.01%
1 Year-16.2%-19.0%-11.5%-14.7%3.5%-0.06%
3 Year-39.5%-44.1%-28.6%-35.6%19.5%7.4%
5 Year-58.4%-63.2%-21.8%-34.0%18.4%-1.4%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Tianjin Development Holdings undervalued compared to its fair value and its price relative to the market?

5.64x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 882 (HK$2.18) is trading above our estimate of fair value (HK$1.66)

Significantly Below Fair Value: 882 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 882 is good value based on its PE Ratio (5.6x) compared to the Integrated Utilities industry average (21x).

PE vs Market: 882 is good value based on its PE Ratio (5.6x) compared to the Hong Kong market (10.2x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 882's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 882 is good value based on its PB Ratio (0.2x) compared to the XA Integrated Utilities industry average (0.9x).


Next Steps

Future Growth

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

16.9%

Forecasted Utilities industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Tianjin Development Holdings has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has Tianjin Development Holdings performed over the past 5 years?

-17.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 882 has a large one-off gain of HK$246.0M impacting its June 30 2019 financial results.

Growing Profit Margin: 882's current net profit margins (8.5%) are higher than last year (8.2%).


Past Earnings Growth Analysis

Earnings Trend: 882's earnings have declined by -17.3% per year over the past 5 years.

Accelerating Growth: 882's earnings growth over the past year (23.6%) exceeds its 5-year average (-17.3% per year).

Earnings vs Industry: 882 earnings growth over the past year (23.6%) exceeded the Integrated Utilities industry -31.9%.


Return on Equity

High ROE: 882's Return on Equity (5%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Tianjin Development Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: 882's short term assets (HK$9.9B) exceed its short term liabilities (HK$6.0B).

Long Term Liabilities: 882's short term assets (HK$9.9B) exceed its long term liabilities (HK$262.8M).


Debt to Equity History and Analysis

Debt Level: 882's debt to equity ratio (12.9%) is considered satisfactory.

Reducing Debt: 882's debt to equity ratio has reduced from 22.6% to 12.9% over the past 5 years.

Debt Coverage: 882's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: 882 earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: 882 has a high level of physical assets or inventory.

Debt Coverage by Assets: 882's debt is covered by short term assets (assets are 4.8x debt).


Next Steps

Dividend

What is Tianjin Development Holdings's current dividend yield, its reliability and sustainability?

3.69%

Current Dividend Yield


Dividend Yield vs Market

company3.7%marketbottom25%2.3%markettop25%6.3%industryaverage4.5%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: 882's dividend (3.69%) is higher than the bottom 25% of dividend payers in the Hong Kong market (2.26%).

High Dividend: 882's dividend (3.69%) is low compared to the top 25% of dividend payers in the Hong Kong market (6.26%).


Stability and Growth of Payments

Stable Dividend: 882's dividend payments have been volatile in the past 10 years.

Growing Dividend: 882's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (20.8%), 882's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

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

0.3yrs

Average management tenure


CEO

Yanhua Chen (44yo)

0.3yrs

Tenure

0

Mr. Chen Yanhua has been General Manager and Executive Director of Tianjin Development Holdings Limited since August 29, 2019. He is a senior engineer, graduated from Beijing Institute of Technology with a ...


Management Age and Tenure

0.3yrs

Average Tenure

46.5yo

Average Age

Experienced Management: 882's management team is not considered experienced ( 0.3 years average tenure), which suggests a new team.


Board Age and Tenure

4.9yrs

Average Tenure

54.5yo

Average Age

Experienced Board: 882's board of directors are considered experienced (4.9 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

SellHK$1,317,35111 Mar 19
China Re Asset Management Co.
EntityCompany
Shares446,000
Max PriceHK$2.95

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Management Team

  • Simon Tuen (56yo)

    Deputy GM & CFO

    • Tenure: 0yrs
    • Compensation: HK$4.32m
  • Ching Chong (46yo)

    Financial Controller

    • Tenure: 0yrs
  • Zhiyong Wang (47yo)

    Chairman

    • Tenure: 0.3yrs
  • Bonnia Yee (41yo)

    Company Secretary

    • Tenure: 2.3yrs
  • Yanhua Chen (44yo)

    GM & Executive Director

    • Tenure: 0.3yrs
  • Xiaoguang Li (46yo)

    Deputy GM & Executive Director

    • Tenure: 0.3yrs
  • Qifei Zhuang (47yo)

    Deputy GM & Executive Director

    • Tenure: 0.3yrs
  • Xiaofei Cui (47yo)

    Deputy GM & Executive Director

    • Tenure: 0.3yrs

Board Members

  • Edward Cheung (69yo)

    Non-Executive Director

    • Tenure: 22.1yrs
    • Compensation: HK$378.00k
  • Hon Kwan Cheng (91yo)

    Independent Non-Executive Director

    • Tenure: 18.5yrs
    • Compensation: HK$442.00k
  • Alexander Mak (69yo)

    Independent Non-Executive Director

    • Tenure: 10.2yrs
    • Compensation: HK$442.00k
  • Estella Ng (62yo)

    Independent Non-Executive Director

    • Tenure: 9.4yrs
    • Compensation: HK$442.00k
  • Eliza Chan (63yo)

    Non-Executive Director

    • Tenure: 10.2yrs
    • Compensation: HK$378.00k
  • Zhiyong Wang (47yo)

    Chairman

    • Tenure: 0.3yrs
  • Yanhua Chen (44yo)

    GM & Executive Director

    • Tenure: 0.3yrs
  • Xiaoguang Li (46yo)

    Deputy GM & Executive Director

    • Tenure: 0.3yrs
  • Qifei Zhuang (47yo)

    Deputy GM & Executive Director

    • Tenure: 0.3yrs
  • Xiaofei Cui (47yo)

    Deputy GM & Executive Director

    • Tenure: 0.3yrs

Company Information

Tianjin Development Holdings Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Tianjin Development Holdings Limited
  • Ticker: 882
  • Exchange: SEHK
  • Founded:
  • Industry: Multi-Utilities
  • Sector: Utilities
  • Market Cap: HK$2.339b
  • Shares outstanding: 1.07b
  • Website: https://www.tianjindev.com

Number of Employees


Location

  • Tianjin Development Holdings Limited
  • China Merchants Tower
  • 36th Floor, Suites 7-13
  • Central
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
TJNDB (Deutsche Boerse AG)YesOrdinary SharesDEEURDec 1997
882SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDDec 1997

Biography

Tianjin Development Holdings Limited, through its subsidiaries, supplies electricity, water, heat, and thermal power to industrial, commercial, and residential customers in the Tianjin Economic and Technol ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/12/10 12:34
End of Day Share Price2019/12/10 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.