SGX:CZ4

Stock Analysis Report

Executive Summary

Dutech Holdings Limited, an investment holding company, manufactures and sells high security products in the People's Republic of China, North and South America, Europe, the Asia Pacific, and Africa.

Snowflake

Fundamentals

Undervalued with excellent balance sheet.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

0%

CZ4

0.3%

SG Commercial Services

0.9%

SG Market


1 Year Return

-20.4%

CZ4

-12.4%

SG Commercial Services

1.4%

SG Market

Return vs Industry: CZ4 underperformed the SG Commercial Services industry which returned -12.4% over the past year.

Return vs Market: CZ4 underperformed the SG Market which returned 1.4% over the past year.


Shareholder returns

CZ4IndustryMarket
7 Day0%0.3%0.9%
30 Day-11.4%-1.9%-2.3%
90 Day-13.3%-4.0%-6.7%
1 Year-16.8%-20.4%-10.7%-12.4%5.4%1.4%
3 Year-53.2%-57.6%-13.3%-18.5%15.8%3.4%
5 Year-3.2%-18.8%-27.6%-34.4%11.3%-7.0%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: CZ4 (SGD0.2) is trading below our estimate of fair value (SGD5.07)

Significantly Undervalued: CZ4 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: CZ4 is good value based on its PE Ratio (6.3x) compared to the Commercial Services industry average (17.7x).

PE vs Market: CZ4 is good value based on its PE Ratio (6.3x) compared to the SG market (13.4x).


Price to Earnings Growth Ratio

Low PEG Ratio: Insufficient data to calculate CZ4's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: CZ4 is good value based on its PB Ratio (0.4x) compared to the SG Commercial Services industry average (0.8x).


Next Steps

Future Growth

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

0.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CZ4's forecast earnings growth (0.8% per year) is below the savings rate (2.3%).

Earnings vs Market: CZ4's earnings (0.8% per year) are forecast to grow slower than the SG market (5.7% per year).

High Growth Earnings: CZ4's earnings are forecast to grow, but not significantly.

Revenue vs Market: Insufficient data to determine if CZ4's revenue is forecast to grow faster than the SG market.

High Growth Revenue: Insufficient data to determine if CZ4's revenue is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: Insufficient data to determine if CZ4's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Dutech Holdings performed over the past 5 years?

-21.9%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: CZ4's earnings have declined by -21.9% per year over the past 5 years.

Accelerating Growth: CZ4's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: CZ4 had negative earnings growth (-1.4%) over the past year, making it difficult to compare to the Commercial Services industry average (-25.1%).


Return on Equity

High ROE: CZ4's Return on Equity (6%) is considered low.


Return on Assets

ROA vs Industry: CZ4 has a higher Return on Assets than the Commercial Services industry average last year.


Return on Capital Employed

ROCE Improving: CZ4's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Dutech Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: CZ4's short term assets (CN¥1.1B) exceeds its short term liabilities (CN¥497.5M)

Long Term Liabilities: CZ4's short term assets (1.1B) exceeds its long term liabilities (173.0M)


Debt to Equity History and Analysis

Debt Level: CZ4's debt to equity ratio (16.2%) is considered satisfactory

Reducing Debt: CZ4's debt to equity ratio has increased from 3.7% to 16.2% over the past 5 years.

Debt Coverage: CZ4's debt is well covered by operating cash flow (92%).

Interest Coverage: CZ4's interest payments on its debt are well covered by EBIT (11.2x coverage).


Balance Sheet

Inventory Level: CZ4 has a high level of physical assets or inventory.

Debt Coverage by Assets: CZ4's debt is covered by short term assets (assets are 7.133370x debt).


Next Steps

Dividend

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

5.02%

Current Dividend Yield


Dividend Yield vs Market

company5.0%marketbottom25%2.5%markettop25%5.6%industryaverage3.5%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: CZ4's dividend (5.02%) is higher than the bottom 25% of dividend payers in the SG market (2.5%).

High Dividend: CZ4's dividend (5.02%) is low compared to the top 25% of dividend payers in the SG market (5.59%).

Stable Dividend: CZ4's dividend payments have been volatile in the past 10 years.

Growing Dividend: CZ4's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (32.7%), CZ4'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 Dutech Holdings's salary, the management and board of directors tenure and is there insider trading?

2.4yrs

Average management tenure


CEO

Johnny Liu (56yo)

12.8yrs

Tenure

CN¥331,978

Compensation

Dr. Jiayan Liu, also known as Johnny, has been the Chief Executive Officer and Executive Chairman of Dutech Holdings Limited since 2007. Dr. Liu is responsible for the business direction, strategy and deve ...


CEO Compensation Analysis

Compensation vs. Market: Johnny's total compensation ($USD242.07K) is about average for companies of similar size in the SG market ($USD259.62K).

Compensation vs Earnings: Johnny's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.


Management Age and Tenure

2.4yrs

Average Tenure

54yo

Average Age

Experienced Management: CZ4's management team is considered experienced (2.4 years average tenure).


Board Age and Tenure

12.3yrs

Average Tenure

60yo

Average Age

Experienced Board: CZ4's board of directors are seasoned and experienced ( 12.3 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.


Ownership Breakdown


Management Team

  • Johnny Liu (56yo)

    Executive Chairman & CEO

    • Tenure: 12.8yrs
    • Compensation: CN¥331.98k
  • Jessica Shi (44yo)

    Vice President of International

    • Tenure: 0yrs
  • Donia Dong (51yo)

    Financial Controller

    • Tenure: 0yrs
  • Bin Liu (66yo)

    Executive Vice Chairman

    • Tenure: 12.8yrs
    • Compensation: CN¥106.60k
  • Winson Chen (54yo)

    Chief Operating Officer

    • Tenure: 0yrs
  • Chao Feng Ge

    Managing Director of Asia Operation

    • Tenure: 11yrs
  • Wu Popof

    Chief Technology Officer

    • Tenure: 2.4yrs
  • Sunny Yu

    Chief Financial Officer

    • Tenure: 0.8yrs
  • Marilyn Tan

    Company Secretary

    • Tenure: 0.3yrs

Board Members

  • Christoph Hartmann

    Independent Director

    • Tenure: 7.8yrs
    • Compensation: CN¥79.20k
  • Graham MacDonald Bell (64yo)

    Independent Director

    • Tenure: 12.3yrs
    • Compensation: CN¥79.20k
  • Johnny Liu (56yo)

    Executive Chairman & CEO

    • Tenure: 12.8yrs
    • Compensation: CN¥331.98k
  • Bin Liu (66yo)

    Executive Vice Chairman

    • Tenure: 12.8yrs
    • Compensation: CN¥106.60k
  • George Chen (53yo)

    Independent Director

    • Tenure: 12.3yrs
    • Compensation: CN¥79.20k
  • Hedda Juliana Im Brahm-Droege (64yo)

    Independent Non-Executive Director

    • Tenure: 5yrs
    • Compensation: CN¥79.20k
  • Yee Tan (45yo)

    Lead Independent Director

    • Tenure: 0.5yrs

Company Information

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


Key Information


Location

  • Dutech Holdings Limited
  • 11G International Shipping & Finance Centre
  • 720 Pudong Avenue
  • Shanghai
  • 200120
  • China

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CZ4SGX (Singapore Exchange)YesOrdinary SharesSGSGDAug 2007

Biography

Dutech Holdings Limited, an investment holding company, manufactures and sells high security products in the People's Republic of China, North and South America, Europe, the Asia Pacific, and Africa. It op ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/14 12:43
End of Day Share Price2019/10/11 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.