SGX:BHK

Stock Analysis Report

SIIC Environment Holdings

Executive Summary

SIIC Environment Holdings Ltd., an investment holding company, engages in wastewater treatment, water supply, solid waste management, and other environment-related businesses primarily in the People's Republic of China.

Snowflake

Fundamentals

Good value with moderate growth potential.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

4.3%

SGX:BHK

0.8%

SG Water Utilities

1.7%

SG Market


1 Year Return

-10.9%

SGX:BHK

12.0%

SG Water Utilities

-0.008%

SG Market

BHK underperformed the Water Utilities industry which returned 12% over the past year.

BHK underperformed the Market in Singapore which returned -0% over the past year.


Share holder returns

BHKIndustryMarket
7 Day4.3%0.8%1.7%
30 Day11.4%3.6%2.2%
90 Day-14.0%2.5%-0.8%
1 Year-7.8%-10.9%15.3%12.0%4.1%-0.008%
3 Year-56.4%-59.8%-7.6%-13.8%18.4%5.7%
5 Year-69.6%-72.0%13.8%2.6%10.1%-8.1%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

5.63x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

SIIC Environment Holdings's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

SIIC Environment Holdings's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

SIIC Environment Holdings is good value based on earnings compared to the Asia Water Utilities industry average.

SIIC Environment Holdings is good value based on earnings compared to the Singapore market.


Price Based on Expected Growth

SIIC Environment Holdings is good value based on expected growth next year.


Price Based on Value of Assets

SIIC Environment Holdings is good value based on assets compared to the Asia Water Utilities industry average.


Next Steps

Future Growth

How is SIIC Environment Holdings expected to perform in the next 1 to 3 years based on estimates from 4 analysts?

10.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

SIIC Environment Holdings's revenue is expected to grow by 10.6% yearly, however this is not considered high growth (20% yearly).

SIIC Environment Holdings's earnings are expected to grow by 10.6% yearly, however this is not considered high growth (20% yearly).

SIIC Environment Holdings's revenue growth is expected to exceed the Singapore market average.

SIIC Environment Holdings's earnings growth is expected to exceed the Singapore market average.

SIIC Environment Holdings's earnings growth is expected to exceed the low risk savings rate of 2.3%.


Earnings per Share Growth Estimates


Future Return on Equity

SIIC Environment Holdings is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has SIIC Environment Holdings performed over the past 5 years?

17.7%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

SIIC Environment Holdings's year on year earnings growth rate has been positive over the past 5 years.

SIIC Environment Holdings's 1-year earnings growth is less than its 5-year average (6.1% vs 17.7%)

SIIC Environment Holdings's earnings growth has not exceeded the Asia Water Utilities industry average in the past year (6.1% vs 6.2%).


Return on Equity

SIIC Environment Holdings has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

SIIC Environment Holdings used its assets less efficiently than the Asia Water Utilities industry average last year based on Return on Assets.


Return on Capital Employed

SIIC Environment Holdings's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is SIIC Environment Holdings's financial position?


Financial Position Analysis

SIIC Environment Holdings's short term (1 year) commitments are greater than its holdings of cash and other short term assets.

SIIC Environment Holdings's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

SIIC Environment Holdings's level of debt (126.1%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has increased over the past 5 years (70.2% vs 126.1% today).

Operating cash flow is negative therefore debt is not well covered.

Interest payments on debt are not well covered by earnings (EBIT is 1.9x annual interest expense, ideally 3x coverage).


Balance Sheet

Low level of unsold assets.

Debt is not covered by short term assets, assets are 0.4x debt.


Next Steps

Dividend

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

4.66%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Unable to evaluate SIIC Environment Holdings's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.

Unable to evaluate SIIC Environment Holdings's dividend against the top 25% market benchmark as the company has not reported any payouts.

Unable to perform a dividend volatility check as SIIC Environment Holdings has not reported any payouts.

Unable to verify if SIIC Environment Holdings's dividend has been increasing as the company has not reported any payouts.


Current Payout to Shareholders

Unable to calculate sustainability of dividends as SIIC Environment Holdings has not reported any payouts.


Future Payout to Shareholders

Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.


Next Steps

Management

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

4.3yrs

Average management tenure


CEO

Xiaobing Xu (51yo)

0.8yrs

Tenure

CN¥245,000

Compensation

Mr. Xiaobing Xu has been Chief Executive Officer of SIIC Environment Holdings Ltd. since November 16, 2018. Mr. Xu has been Deputy Chief Executive Officer at Shanghai Industrial Holdings Limited since Nove ...


Management Age and Tenure

4.3yrs

Average Tenure

50.5yo

Average Age

The tenure for the SIIC Environment Holdings management team is about average.


Board Age and Tenure

3.2yrs

Average Tenure

50yo

Average Age

The tenure for the SIIC Environment Holdings board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Recent Insider Transactions

BuyCN¥133,83102 Sep 19
Value Partners Limited
EntityCompany
Shares600,000
Max PriceCN¥0.22
BuyCN¥628,43529 Mar 19
Shanghai Industrial Investment (Holding) Co., Ltd.
EntityCompany
Shares1,777,000
Max PriceCN¥0.35
SellCN¥185,66827 Mar 19
Value Partners Limited
EntityCompany
Shares515,000
Max PriceCN¥0.36

Ownership Breakdown


Management Team

  • Hanguang Huang (57yo)

    GM & Executive Director

    • Tenure: 0.3yrs
  • Jun Feng (56yo)

    Executive Director

    • Tenure: 9.8yrs
    • Compensation: CN¥245.00k
  • Shirley Tan

    Joint Company Secretary

    • Tenure: 4.3yrs
  • Xiaobing Xu (51yo)

    CEO & Executive Director

    • Tenure: 0.8yrs
    • Compensation: CN¥245.00k
  • Youmin Zhao (48yo)

    Executive Director

    • Tenure: 0.08yrs
  • Zhan Xu (50yo)

    CFO & Executive Director

    • Tenure: 4.8yrs
    • Compensation: CN¥245.00k
  • Guy Man

    Joint Company Secretary

    • Tenure: 2yrs
  • Rachel Cai (35yo)

    Deputy GM of Administration

    • Tenure: 0yrs
  • Anyuan Yang (44yo)

    Deputy General Manager of Legal & Compliance Management

    • Tenure: 1.9yrs
  • Yongjian Piao (56yo)

    Vice Chairman & President of Longjiang Environment Protection Group Co.

    • Tenure: 5.1yrs

Board Members

  • Hanguang Huang (57yo)

    GM & Executive Director

    • Tenure: 0.3yrs
  • Jun Zhou (50yo)

    Non-Executive Chairman

    • Tenure: 7.3yrs
    • Compensation: CN¥490.00k
  • Qiang Wu (48yo)

    Chairman of Fudan Water Engineering and Technology Co.

    • Tenure: 0yrs
  • Guat Yeo (58yo)

    Lead Independent Director

    • Tenure: 0yrs
    • Compensation: CN¥465.00k
  • Jun Feng (56yo)

    Executive Director

    • Tenure: 9.8yrs
    • Compensation: CN¥245.00k
  • Xiaobing Xu (51yo)

    CEO & Executive Director

    • Tenure: 0.8yrs
    • Compensation: CN¥245.00k
  • Youmin Zhao (48yo)

    Executive Director

    • Tenure: 0.08yrs
  • Zhan Xu (50yo)

    CFO & Executive Director

    • Tenure: 4.8yrs
    • Compensation: CN¥245.00k
  • Hongjun An (50yo)

    Independent Non-Executive Director

    • Tenure: 1.5yrs
    • Compensation: CN¥349.00k
  • Ming Zhong (32yo)

    Independent Non-Executive Director

    • Tenure: 1.5yrs
    • Compensation: CN¥328.00k

Company Information

SIIC Environment Holdings Ltd.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: SIIC Environment Holdings Ltd.
  • Ticker: BHK
  • Exchange: SGX
  • Founded: 2002
  • Industry: Water Utilities
  • Sector: Utilities
  • Market Cap: S$637.690m
  • Shares outstanding: 2.60b
  • Website: https://www.siicenv.com

Location

  • SIIC Environment Holdings Ltd.
  • No. 37-02, Millenia Tower
  • One Temasek Avenue
  • Singapore
  • 39192
  • Singapore

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
BHKSGX (Singapore Exchange)YesOrdinary SharesSGSGDMar 2005
A9W1DB (Deutsche Boerse AG)YesOrdinary SharesDEEURMar 2005
807SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDMar 2005
AWAE.FOTCPK (Pink Sheets LLC)SIIC ENVIRONMENTUSUSDMar 2016

Biography

SIIC Environment Holdings Ltd., an investment holding company, engages in wastewater treatment, water supply, solid waste management, and other environment-related businesses primarily in the People's Repu ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/15 12:42
End of Day Share Price2019/09/13 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.