NasdaqCM:CLWT

Stock Analysis Report

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Executive Summary

Euro Tech Holdings Company Limited distributes water treatment equipment, laboratory instruments, analyzers, test kits and related supplies, and power generation equipment to commercial customers, and governmental agencies in Hong Kong and the People’s Republic of China.


Snowflake Analysis

Mediocre balance sheet and overvalued.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: CLWT's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-9.3%

CLWT

-0.3%

US Trade Distributors

1.3%

US Market


1 Year Return

16.1%

CLWT

11.0%

US Trade Distributors

14.9%

US Market

Return vs Industry: CLWT exceeded the US Trade Distributors industry which returned 10% over the past year.

Return vs Market: CLWT exceeded the US Market which returned 12.5% over the past year.


Shareholder returns

CLWTIndustryMarket
7 Day-9.3%-0.3%1.3%
30 Day-3.1%6.6%4.7%
90 Day34.9%26.9%17.1%
1 Year43.5%16.1%13.2%11.0%17.3%14.9%
3 Year81.8%33.0%28.0%21.9%38.9%29.9%
5 Year123.8%63.7%44.5%33.7%71.3%52.8%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

0.63x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate CLWT's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate CLWT's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: CLWT is unprofitable, so we can't compare its PE Ratio to the US Trade Distributors industry average.

PE vs Market: CLWT is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: CLWT is good value based on its PB Ratio (0.6x) compared to the US Trade Distributors industry average (1.4x).


Next Steps

Future Growth

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

14.6%

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 Euro Tech Holdings 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 Euro Tech Holdings performed over the past 5 years?

12.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CLWT is currently unprofitable.

Growing Profit Margin: CLWT is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: CLWT is unprofitable, but has reduced losses over the past 5 years at a rate of 12.6% per year.

Accelerating Growth: Unable to compare CLWT's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: CLWT is unprofitable, making it difficult to compare its past year earnings growth to the Trade Distributors industry (-10.2%).


Return on Equity

High ROE: CLWT has a negative Return on Equity (-1.37%), as it is currently unprofitable.


Next Steps

Financial Health

How is Euro Tech Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: CLWT's short term assets ($12.0M) exceed its short term liabilities ($6.7M).

Long Term Liabilities: CLWT's short term assets ($12.0M) exceed its long term liabilities ($216.0K).


Debt to Equity History and Analysis

Debt Level: CLWT's debt to equity ratio (3.7%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if CLWT's debt to equity ratio has reduced over the past 5 years.


Balance Sheet


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: Insufficient data to determine if CLWT has enough cash runway based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if CLWT has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Next Steps

Dividend

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


Dividend Yield vs Market

Notable Dividend: Unable to evaluate CLWT's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate CLWT's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if CLWT's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if CLWT's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of CLWT's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

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

22.5yrs

Average board tenure


CEO

T. C. Leung (77 yo)

23.92yrs

Tenure

US$197,000

Compensation

Mr. T. C. Leung has been the Chairman and Chief Executive Officer at Euro Tech Holdings Company Limited and Euro Tech Far East (Far East) since September 30, 1996 and March 1997 respectively. Before establ ...


CEO Compensation Analysis

Compensation vs Market: T. C.'s total compensation ($USD197.00K) is below average for companies of similar size in the US market ($USD608.75K).

Compensation vs Earnings: T. C.'s compensation has increased whilst the company is unprofitable.


Board Members

NamePositionTenureCompensationOwnership
T. C. Leung
Chairman & CEO23.92yrsUS$197.00k51.55%
$ 4.7m
Jerry Wong
CFO & Director23.92yrsUS$111.00k1.69%
$ 153.0k
Y. L. Leung
Director1.42yrsUS$148.00kno data
Y. K. Liang
Independent Director22.5yrsno datano data
Alex Sham
Director23.92yrsno data2.61%
$ 235.7k
Fu Ming Chen
Independent Director5yrsno datano data
Janet Cheang
Independent Director3.08yrsno datano data

22.5yrs

Average Tenure

64yo

Average Age

Experienced Board: CLWT's board of directors are seasoned and experienced ( 22.5 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

Euro Tech Holdings Company Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Euro Tech Holdings Company Limited
  • Ticker: CLWT
  • Exchange: NasdaqCM
  • Founded: 1971
  • Industry: Trading Companies and Distributors
  • Sector: Capital Goods
  • Market Cap: US$9.047m
  • Shares outstanding: 3.09m
  • Website: https://www.euro-tech.com

Number of Employees


Location

  • Euro Tech Holdings Company Limited
  • Gee Chang Hong Centre
  • 18th Floor
  • Hong Kong
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CLWTNasdaqCM (Nasdaq Capital Market)YesOrdinary SharesUSUSDMar 1997

Biography

Euro Tech Holdings Company Limited distributes water treatment equipment, laboratory instruments, analyzers, test kits and related supplies, and power generation equipment to commercial customers, and gove ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/08/03 00:30
End of Day Share Price2020/07/31 00:00
Earnings2019/12/31
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.