OTCPK:HAII.F

Stock Analysis Report

Haitian International Holdings

Executive Summary

Haitian International Holdings Limited, an investment holding company, researches, develops, processes, manufactures, distributes, and sells plastic injection molding machines.


Snowflake Analysis

Flawless balance sheet, undervalued and pays a dividend.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: HAII.F has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

0%

HAII.F

1.0%

US Machinery

0.9%

US Market


1 Year Return

8.3%

HAII.F

11.5%

US Machinery

20.0%

US Market

Return vs Industry: HAII.F underperformed the US Machinery industry which returned 22.4% over the past year.

Return vs Market: HAII.F underperformed the US Market which returned 24.7% over the past year.


Shareholder returns

HAII.FIndustryMarket
7 Day0%1.0%0.9%
30 Day0%-2.1%1.4%
90 Day0%2.4%8.8%
1 Year8.3%8.3%13.6%11.5%22.5%20.0%
3 Yearn/a37.0%28.3%49.9%40.3%
5 Yearn/a63.5%44.3%73.2%54.1%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

28.8%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: HAII.F ($2.1) is trading below our estimate of fair value ($2.91)

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


Price To Earnings Ratio

PE vs Industry: HAII.F is good value based on its PE Ratio (16.7x) compared to the Machinery industry average (23.4x).

PE vs Market: HAII.F is good value based on its PE Ratio (16.7x) compared to the US market (18.9x).


Price to Earnings Growth Ratio

PEG Ratio: HAII.F is poor value based on its PEG Ratio (1x)


Price to Book Ratio

PB vs Industry: HAII.F is good value based on its PB Ratio (2.2x) compared to the US Machinery industry average (2.5x).


Next Steps

Future Growth

How is Haitian International Holdings forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?

16.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: HAII.F's forecast earnings growth (16.3% per year) is above the savings rate (1.7%).

Earnings vs Market: HAII.F's earnings (16.3% per year) are forecast to grow faster than the US market (14.3% per year).

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

Revenue vs Market: HAII.F's revenue (10.9% per year) is forecast to grow faster than the US market (7.5% per year).

High Growth Revenue: HAII.F's revenue (10.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: HAII.F's Return on Equity is forecast to be low in 3 years time (15.2%).


Next Steps

Past Performance

How has Haitian International Holdings performed over the past 5 years?

10.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: HAII.F has high quality earnings.

Growing Profit Margin: HAII.F's current net profit margins (16.6%) are lower than last year (20.3%).


Past Earnings Growth Analysis

Earnings Trend: HAII.F's earnings have grown by 10.7% per year over the past 5 years.

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

Earnings vs Industry: HAII.F had negative earnings growth (-25.8%) over the past year, making it difficult to compare to the Machinery industry average (9.6%).


Return on Equity

High ROE: HAII.F's Return on Equity (13.2%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Haitian International Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: HAII.F's short term assets (CN¥13.1B) exceed its short term liabilities (CN¥5.5B).

Long Term Liabilities: HAII.F's short term assets (CN¥13.1B) exceed its long term liabilities (CN¥276.8M).


Debt to Equity History and Analysis

Debt Level: HAII.F's debt to equity ratio (7.9%) is considered satisfactory.

Reducing Debt: HAII.F's debt to equity ratio has reduced from 19.3% to 7.9% over the past 5 years.

Debt Coverage: HAII.F's debt is well covered by operating cash flow (203.3%).

Interest Coverage: HAII.F earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet

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

Debt Coverage by Assets: HAII.F's debt is covered by short term assets (assets are 13.1x debt).


Next Steps

Dividend

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

2.16%

Current Dividend Yield


Dividend Yield vs Market

company2.2%marketbottom25%1.4%markettop25%3.7%industryaverage1.9%forecastin3Years2.7%

Current dividend yield vs market & industry

Notable Dividend: HAII.F's dividend (2.17%) is higher than the bottom 25% of dividend payers in the US market (1.4%).

High Dividend: HAII.F's dividend (2.17%) is low compared to the top 25% of dividend payers in the US market (3.66%).


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (35.2%), HAII.F's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: HAII.F's dividends in 3 years are forecast to be well covered by earnings (34.9% payout ratio).


Next Steps

Management

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

12.0yrs

Average management tenure


CEO

Jianming Zhang (56yo)

19.8yrs

Tenure

CN¥864,000

Compensation

Mr. Jianming Zhang has been the Chief Executive Officer of Haitian International Holdings Limited since April 2000 and also serves as Chief Executive Officer of Zhafir Plastics Machinery GmbH. Mr. Zhang is ...


CEO Compensation Analysis

Compensation vs Market: Jianming's total compensation ($USD125.40K) is below average for companies of similar size in the US market ($USD4.99M).

Compensation vs Earnings: Jianming's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Jingzhang Zhang
Executive Chairman13.5yrsCN¥818.00k0.034% CN¥1.4m
Jianming Zhang
CEO & Executive Director19.8yrsCN¥864.00k0.27% CN¥10.7m
Jianfeng Zhang
Senior VP of Sales & Marketing and Executive Director13.5yrsCN¥814.00kno data
Weiqun Chen
Executive Director1.8yrsCN¥1.12m0.017% CN¥683.5k
Bin Zhang
Executive Director1.8yrsCN¥894.40kno data
Chen Yun
Chief Financial Officer0.8yrsno datano data
Nanhong Fu
Head of Technology7yrsno datano data
Wenxian Yu
Vice President of Human Resources & Administration17yrsno datano data
Huajun Shi
General Manager of the Internal Control & Investor Relation Department0yrsno datano data
Ka Lee
Company Secretary0.9yrsno datano data

12.0yrs

Average Tenure

47yo

Average Age

Experienced Management: HAII.F's management team is seasoned and experienced (12 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Jingzhang Zhang
Executive Chairman13.5yrsCN¥818.00k0.034% CN¥1.4m
Jianming Zhang
CEO & Executive Director19.8yrsCN¥864.00k0.27% CN¥10.7m
Jianfeng Zhang
Senior VP of Sales & Marketing and Executive Director13.5yrsCN¥814.00kno data
Weiqun Chen
Executive Director1.8yrsCN¥1.12m0.017% CN¥683.5k
Bin Zhang
Executive Director1.8yrsCN¥894.40kno data
Ningning Chen
Non-Executive Director13.5yrsCN¥450.00k0.026% CN¥1.0m
Mingguang Guo
Non-Executive Director13.5yrsno data0.030% CN¥1.2m
Chi Chiu Lo
Independent Non-Executive Director0.9yrsno datano data
Baijun Lou
Independent Non Executive Director7.8yrsCN¥78.00kno data
Hailiang Jin
Independent Non-Executive Director6.8yrsCN¥78.00kno data

10.7yrs

Average Tenure

53.5yo

Average Age

Experienced Board: HAII.F's board of directors are seasoned and experienced ( 10.7 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: HAII.F insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

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


Key Information

  • Name: Haitian International Holdings Limited
  • Ticker: HAII.F
  • Exchange: OTCPK
  • Founded: 1966
  • Industry: Industrial Machinery
  • Sector: Capital Goods
  • Market Cap: HK$31.377b
  • Listing Market Cap: HK$4.039b
  • Shares outstanding: 1.60b
  • Website: https://www.haitianinter.com

Number of Employees


Location

  • Haitian International Holdings Limited
  • Metroplaza Tower 2
  • Unit 1105
  • Kwai Fong
  • New Territories
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
1882SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDDec 2006
HI6DB (Deutsche Boerse AG)YesOrdinary SharesDEEURDec 2006
HAII.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDDec 2006
1882SHSC (Stock Exchange of Hong Kong Limited - Shanghai - Hong Kong Stock Connect)YesOrdinary SharesHKHKDDec 2006
1882SZSC (The Stock Exchange of Hong Kong - Shenzhen - Hong Kong Stock Connect)YesOrdinary SharesHKHKDDec 2006

Biography

Haitian International Holdings Limited, an investment holding company, researches, develops, processes, manufactures, distributes, and sells plastic injection molding machines. The company offers injection molding machines under the Haitian, Zhafir, and Tianjian names. It is also involved in the trading of machinery and related accessories; sale of software of plastic injection molding machines; and provision of logistic services. The company serves household, electronic, packaging, and medical industries. It operates in Mainland China, Hong Kong, and internationally. The company was founded in 1966 and is headquartered in Kwai Fong, Hong Kong. Haitian International Holdings Limited is a subsidiary of Sky Treasure Capital Limited. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/01/19 00:40
End of Day Share Price2019/10/21 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.