TSEC:1535

Stock Analysis Report

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Executive Summary

China Ecotek Corporation operates as an engineering company in Taiwan. More Details


Snowflake Analysis

Flawless balance sheet with proven track record.

Share Price & News

How has China Ecotek's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 1535 is less volatile than 75% of TW stocks over the past 3 months, typically moving +/- 2% a week.

Volatility Over Time: 1535's weekly volatility (2%) has been stable over the past year.


Market Performance


7 Day Return

0.6%

1535

0.8%

TW Construction

-0.04%

TW Market


1 Year Return

0.7%

1535

18.6%

TW Construction

17.8%

TW Market

Return vs Industry: 1535 underperformed the TW Construction industry which returned 18.6% over the past year.

Return vs Market: 1535 underperformed the TW Market which returned 17.8% over the past year.


Shareholder returns

1535IndustryMarket
7 Day0.6%0.8%-0.04%
30 Day3.5%2.4%6.2%
90 Day8.2%7.8%7.0%
1 Year4.5%0.7%24.6%18.6%22.0%17.8%
3 Year-8.9%-17.7%59.2%37.0%42.1%26.4%
5 Year-27.9%-41.3%101.4%57.2%93.0%59.1%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is China Ecotek 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: 1535 (NT$34.3) is trading below our estimate of fair value (NT$311.01)

Significantly Below Fair Value: 1535 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 1535 is poor value based on its PE Ratio (25x) compared to the TW Construction industry average (15.8x).

PE vs Market: 1535 is poor value based on its PE Ratio (25x) compared to the TW market (18.2x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 1535's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 1535 is overvalued based on its PB Ratio (1.5x) compared to the TW Construction industry average (1.1x).


Next Steps

Future Growth

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

13.6%

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 China Ecotek 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 China Ecotek performed over the past 5 years?

-33.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 1535 has high quality earnings.

Growing Profit Margin: 1535's current net profit margins (2%) are higher than last year (1.2%).


Past Earnings Growth Analysis

Earnings Trend: 1535's earnings have declined by 33.3% per year over the past 5 years.

Accelerating Growth: 1535's earnings growth over the past year (34.5%) exceeds its 5-year average (-33.3% per year).

Earnings vs Industry: 1535 earnings growth over the past year (34.5%) exceeded the Construction industry 6.7%.


Return on Equity

High ROE: 1535's Return on Equity (5.9%) is considered low.


Next Steps

Financial Health

How is China Ecotek's financial position?


Financial Position Analysis

Short Term Liabilities: 1535's short term assets (NT$4.5B) exceed its short term liabilities (NT$2.7B).

Long Term Liabilities: 1535's short term assets (NT$4.5B) exceed its long term liabilities (NT$442.3M).


Debt to Equity History and Analysis

Debt Level: 1535 is debt free.

Reducing Debt: 1535 has no debt compared to 5 years ago when its debt to equity ratio was 16%.

Debt Coverage: 1535 has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: 1535 has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Next Steps

Dividend

What is China Ecotek current dividend yield, its reliability and sustainability?

3.50%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 1535's dividend (3.5%) is higher than the bottom 25% of dividend payers in the TW market (2.15%).

High Dividend: 1535's dividend (3.5%) is low compared to the top 25% of dividend payers in the TW market (5.24%).


Stability and Growth of Payments

Stable Dividend: 1535's dividend payments have been volatile in the past 10 years.

Growing Dividend: 1535's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: At its current payout ratio (87.4%), 1535'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?

0.4yrs

Average board tenure


CEO

Chih-Feng Lee

0.083

Tenure

Chih-Feng Lee serves as Deputy General Manager of Plant Engineering & Maintenance Department at China Steel Corporation. Chih-Feng Lee has been President & Representative Director of China Ecotek Corporati...


Board Members

NamePositionTenureCompensationOwnership
Chih-Feng Lee
President & Representative Director0.083yrno datano data
Shyi-Chin Wang
Directorno datano datano data
Ming-Hsiang Lin
Directorno datano datano data
Yu-Lun Kuo
Directorno datano datano data
Tsan-Jen Chen
Director0.42yrno datano data
Chao-Tung Wong
Directorno datano datano data
Chung-Te Chen
Chairmanno datano datano data
Jung-Fa Li
Representative Directorno datano datano data
Chia-Jung Chen
Independent Directorno datano datano data
Po-Han Wang
Independent Directorno datano datano data
Tai-Guang Peng
Independent Director0.42yrno datano data

0.4yrs

Average Tenure

Experienced Board: 1535's board of directors are not considered experienced ( 0.4 years average tenure), which suggests a new board.


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

China Ecotek Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: China Ecotek Corporation
  • Ticker: 1535
  • Exchange: TSEC
  • Founded: 1993
  • Industry: Construction and Engineering
  • Sector: Capital Goods
  • Market Cap: NT$4.251b
  • Shares outstanding: 123.74m
  • Website: https://www.ecotek.com.tw

Location

  • China Ecotek Corporation
  • No. 88 Chenggong 2nd Road
  • 8th Floor
  • Kaohsiung
  • 80661
  • Taiwan

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
1535TSEC (Taiwan Stock Exchange)YesCommon StockTWTWDFeb 2000

Biography

China Ecotek Corporation operates as an engineering company in Taiwan. The company provides planning, design, manufacturing, construction/installation, maintenance, and trading services for the steel indus...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/11/26 08:38
End of Day Share Price2020/11/26 00:00
Earnings2020/09/30
Annual Earnings2019/12/31


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.