HAPS

Hap Seng Consolidated BerhadKLSE:HAPSENG Stock Report

Market Cap

RM20.8b

7D

-5.2%

1Y

18.0%

Updated

20 Sep, 2021

Data

Company Financials
HAPSENG fundamental analysis
Snowflake Score
Valuation2/6
Future Growth0/6
Past Performance1/6
Financial Health4/6
Dividends3/6

HAPSENG Overview

Hap Seng Consolidated Berhad, an investment holding company, engages in the plantation, property investment and development, credit financing, automotive, trading, and building materials businesses in Malaysia and internationally.

Price History & Performance

Summary of all time highs, changes and price drops for Hap Seng Consolidated Berhad
Historical stock prices
Current Share PriceRM8.34
52 Week HighRM6.92
52 Week LowRM8.85
Beta0.40
1 Month Change6.24%
3 Month Change7.47%
1 Year Change17.96%
3 Year Change-15.24%
5 Year Change8.74%
Change since IPO2,811.03%

Recent News & Updates

Sep 16
These 4 Measures Indicate That Hap Seng Consolidated Berhad (KLSE:HAPSENG) Is Using Debt Reasonably Well

These 4 Measures Indicate That Hap Seng Consolidated Berhad (KLSE:HAPSENG) Is Using Debt Reasonably Well

David Iben put it well when he said, 'Volatility is not a risk we care about. What we care about is avoiding the...

Aug 05
Hap Seng Consolidated Berhad (KLSE:HAPSENG) Hasn't Managed To Accelerate Its Returns

Hap Seng Consolidated Berhad (KLSE:HAPSENG) Hasn't Managed To Accelerate Its Returns

Did you know there are some financial metrics that can provide clues of a potential multi-bagger? Typically, we'll want...

Jun 18
Here's Why Hap Seng Consolidated Berhad (KLSE:HAPSENG) Can Manage Its Debt Responsibly

Here's Why Hap Seng Consolidated Berhad (KLSE:HAPSENG) Can Manage Its Debt Responsibly

David Iben put it well when he said, 'Volatility is not a risk we care about. What we care about is avoiding the...

Shareholder Returns

HAPSENGMY IndustrialsMY Market
7D-5.2%-1.6%-1.0%
1Y18.0%10.8%5.9%

Return vs Industry: HAPSENG exceeded the MY Industrials industry which returned 10.8% over the past year.

Return vs Market: HAPSENG exceeded the MY Market which returned 5.9% over the past year.

Price Volatility

Is HAPSENG's price volatile compared to industry and market?
HAPSENG volatility
HAPSENG Beta0.40
Industry Beta0.54
Market Beta1

Stable Share Price: HAPSENG is less volatile than 75% of MY stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: HAPSENG's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19762,228Edward Leehttps://www.hapseng.com.my

Hap Seng Consolidated Berhad, an investment holding company, engages in the plantation, property investment and development, credit financing, automotive, trading, and building materials businesses in Malaysia and internationally. The company cultivates oil palm, and harvests and processes fresh fruit bunches into crude palm oil. As of December 31, 2020, it had a total planted area of 35,434 hectares out of a total area of 39,727 hectares.

Valuation

Is Hap Seng Consolidated Berhad undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: HAPSENG (MYR8.34) is trading below our estimate of fair value (MYR65.03)

Significantly Below Fair Value: HAPSENG is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: HAPSENG is poor value based on its PE Ratio (27.2x) compared to the MY Industrials industry average (11.6x).

PE vs Market: HAPSENG is poor value based on its PE Ratio (27.2x) compared to the MY market (16.4x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: HAPSENG is overvalued based on its PB Ratio (2.8x) compared to the MY Industrials industry average (0.4x).


Future Growth

How is Hap Seng Consolidated Berhad forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

12.7%

Forecasted Capital Goods 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 Hap Seng Consolidated Berhad 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.


Past Performance

How has Hap Seng Consolidated Berhad performed over the past 5 years?

-3.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: HAPSENG has high quality earnings.

Growing Profit Margin: HAPSENG's current net profit margins (12.9%) are lower than last year (17.8%).


Past Earnings Growth Analysis

Earnings Trend: HAPSENG's earnings have declined by 3.9% per year over the past 5 years.

Accelerating Growth: HAPSENG's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: HAPSENG had negative earnings growth (-29.2%) over the past year, making it difficult to compare to the Industrials industry average (22.1%).


Return on Equity

High ROE: HAPSENG's Return on Equity (9.8%) is considered low.


Financial Health

How is Hap Seng Consolidated Berhad's financial position?


Financial Position Analysis

Short Term Liabilities: HAPSENG's short term assets (MYR7.9B) exceed its short term liabilities (MYR4.2B).

Long Term Liabilities: HAPSENG's short term assets (MYR7.9B) exceed its long term liabilities (MYR4.4B).


Debt to Equity History and Analysis

Debt Level: HAPSENG's debt to equity ratio (75.6%) is considered high.

Reducing Debt: HAPSENG's debt to equity ratio has increased from 70.3% to 75.6% over the past 5 years.

Debt Coverage: HAPSENG's debt is well covered by operating cash flow (29%).

Interest Coverage: HAPSENG's interest payments on its debt are well covered by EBIT (5.8x coverage).


Balance Sheet


Dividend

What is Hap Seng Consolidated Berhad current dividend yield, its reliability and sustainability?

3.00%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: HAPSENG's dividend (3%) is higher than the bottom 25% of dividend payers in the MY market (1.54%).

High Dividend: HAPSENG's dividend (3%) is low compared to the top 25% of dividend payers in the MY market (4.16%).


Stability and Growth of Payments

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

Growing Dividend: HAPSENG's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: At its current payout ratio (81.5%), HAPSENG's payments are 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

How experienced are the management team and are they aligned to shareholders interests?

8.3yrs

Average management tenure


CEO

Edward Lee (66 yo)

16.5yrs

Tenure

RM4,392,973

Compensation

Datuk-Ming Foo Lee, also known as Edward, JP, has been the Managing Director of Hap Seng Consolidated Berhad (“HSCB”) since March 31, 2005. Datuk Lee has been the Managing Director of Hap Seng Plantations...


CEO Compensation Analysis

Compensation vs Market: Edward's total compensation ($USD1.05M) is about average for companies of similar size in the MY market ($USD1.04M).

Compensation vs Earnings: Edward's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: HAPSENG's management team is seasoned and experienced (8.3 years average tenure).


Board Members

Experienced Board: HAPSENG's board of directors are considered experienced (7.3 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.


Ownership Breakdown

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


Top Shareholders

Company Information

Hap Seng Consolidated Berhad's employee growth, exchange listings and data sources


Key Information

  • Name: Hap Seng Consolidated Berhad
  • Ticker: HAPSENG
  • Exchange: KLSE
  • Founded: 1976
  • Industry: Industrial Conglomerates
  • Sector: Capital Goods
  • Market Cap: RM20.764b
  • Shares outstanding: 2.49b
  • Website: https://www.hapseng.com.my

Number of Employees


Location

  • Hap Seng Consolidated Berhad
  • Menara Hap Seng
  • 21st Floor
  • Kuala Lumpur
  • Wilayah Persekutuan
  • 50250
  • Malaysia

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/20 15:25
End of Day Share Price2021/09/20 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


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.