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Tung Ho Steel Enterprise

Market Cap

NT$61.7b

Last Updated

2021/04/21 08:44 UTC

Data Sources

Company Financials +

Executive Summary

Tung Ho Steel Enterprise Corporation produces and sells steel products in Taiwan, China, Vietnam, the United States, Asia, and internationally. More Details


Snowflake Analysis

Flawless balance sheet with solid track record and pays a dividend.

Share Price & News

How has Tung Ho Steel Enterprise's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 2006 is not significantly more volatile than the rest of TW stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: 2006's weekly volatility (6%) has been stable over the past year.


Market Performance


7 Day Return

14.4%

2006

17.5%

TW Metals and Mining

2.0%

TW Market


1 Year Return

170.8%

2006

106.3%

TW Metals and Mining

66.7%

TW Market

Return vs Industry: 2006 exceeded the TW Metals and Mining industry which returned 108.1% over the past year.

Return vs Market: 2006 exceeded the TW Market which returned 68.2% over the past year.


Shareholder returns

2006IndustryMarket
7 Day14.4%17.5%2.0%
30 Day47.3%46.5%6.3%
90 Day83.2%61.9%7.5%
1 Year186.7%170.8%112.1%106.3%72.4%66.7%
3 Year185.4%140.9%82.5%65.1%81.1%60.4%
5 Year271.6%181.1%118.8%86.5%141.0%98.1%

Long-Term Price Volatility Vs. Market

How volatile is Tung Ho Steel Enterprise's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Tung Ho Steel Enterprise 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: 2006 (NT$58.9) is trading below our estimate of fair value (NT$185.46)

Significantly Below Fair Value: 2006 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 2006 is good value based on its PE Ratio (16.7x) compared to the TW Metals and Mining industry average (33.6x).

PE vs Market: 2006 is good value based on its PE Ratio (16.7x) compared to the TW market (21x).


Price to Earnings Growth Ratio

PEG Ratio: 2006 is poor value based on its PEG Ratio (1.5x)


Price to Book Ratio

PB vs Industry: 2006 is overvalued based on its PB Ratio (2.3x) compared to the TW Metals and Mining industry average (1.8x).


Future Growth

How is Tung Ho Steel Enterprise forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

11.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 2006's forecast earnings growth (11.1% per year) is above the savings rate (0.8%).

Earnings vs Market: 2006's earnings (11.1% per year) are forecast to grow slower than the TW market (16.3% per year).

High Growth Earnings: 2006's earnings are forecast to grow, but not significantly.

Revenue vs Market: 2006's revenue (14.4% per year) is forecast to grow faster than the TW market (9.8% per year).

High Growth Revenue: 2006's revenue (14.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 2006's Return on Equity is forecast to be low in 3 years time (14%).


Past Performance

How has Tung Ho Steel Enterprise performed over the past 5 years?

11.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 2006 has high quality earnings.

Growing Profit Margin: 2006's current net profit margins (8.3%) are higher than last year (3.5%).


Past Earnings Growth Analysis

Earnings Trend: 2006's earnings have grown by 11.3% per year over the past 5 years.

Accelerating Growth: 2006's earnings growth over the past year (127.2%) exceeds its 5-year average (11.3% per year).

Earnings vs Industry: 2006 earnings growth over the past year (127.2%) exceeded the Metals and Mining industry 45.8%.


Return on Equity

High ROE: 2006's Return on Equity (12.8%) is considered low.


Financial Health

How is Tung Ho Steel Enterprise's financial position?


Financial Position Analysis

Short Term Liabilities: 2006's short term assets (NT$21.2B) exceed its short term liabilities (NT$13.8B).

Long Term Liabilities: 2006's short term assets (NT$21.2B) exceed its long term liabilities (NT$2.9B).


Debt to Equity History and Analysis

Debt Level: 2006's debt to equity ratio (32.8%) is considered satisfactory.

Reducing Debt: 2006's debt to equity ratio has reduced from 36.2% to 32.8% over the past 5 years.

Debt Coverage: 2006's debt is well covered by operating cash flow (102.6%).

Interest Coverage: 2006's interest payments on its debt are well covered by EBIT (27.2x coverage).


Balance Sheet


Dividend

What is Tung Ho Steel Enterprise current dividend yield, its reliability and sustainability?

2.55%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 2006's dividend (2.55%) is higher than the bottom 25% of dividend payers in the TW market (1.91%).

High Dividend: 2006's dividend (2.55%) is low compared to the top 25% of dividend payers in the TW market (4.71%).


Stability and Growth of Payments

Stable Dividend: 2006's dividend payments have been volatile in the past 10 years.

Growing Dividend: 2006's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (42.6%), 2006's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: 2006's dividends in 3 years are forecast to be covered by earnings (80% payout ratio).


Next Steps

Management

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

4.4yrs

Average management tenure


CEO

Henry Ho

11.5yrs

Tenure

NT$20,550,621

Compensation

Mr. Chieh-Teng Ho, also known as Henry, has been President and General Manager of Tung Ho Steel Enterprise Corp. since October 16, 2009 and serves as its Chairman. Mr. Ho served as Executive Vice President...


CEO Compensation Analysis

Compensation vs Market: Henry's total compensation ($USD730.14K) is above average for companies of similar size in the TW market ($USD374.24K).

Compensation vs Earnings: Henry's compensation has increased by more than 20% in the past year.


Leadership Team

Experienced Management: 2006's management team is considered experienced (4.4 years average tenure).


Board Members

Experienced Board: 2006's board of directors are seasoned and experienced ( 12.8 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 been diluted in the past year, with total shares outstanding growing by 5.4%.


Top Shareholders

Company Information

Tung Ho Steel Enterprise Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Tung Ho Steel Enterprise Corporation
  • Ticker: 2006
  • Exchange: TSEC
  • Founded: 1946
  • Industry: Steel
  • Sector: Materials
  • Market Cap: NT$61.726b
  • Shares outstanding: 1.06b
  • Website: https://www.tunghosteel.com

Location

  • Tung Ho Steel Enterprise Corporation
  • No. 9 Chang'an East Road
  • 6th Floor
  • Taipei
  • 10441
  • Taiwan

Listings


Biography

Tung Ho Steel Enterprise Corporation produces and sells steel products in Taiwan, China, Vietnam, the United States, Asia, and internationally. It offers rebar, such as screw rebar, deformed steel rebar, c...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/04/21 08:44
End of Day Share Price2021/04/21 00:00
Earnings2020/12/31
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.