OTCPK:SRRE

Stock Analysis Report

Sunrise Real Estate Group

Executive Summary

Sunrise Real Estate Group, Inc., together with its subsidiaries, provides real estate development and property brokerage services in the People’s Republic of China.


Snowflake Analysis

Undervalued with adequate balance sheet.

Share Price & News

How has Sunrise Real Estate Group's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

0%

SRRE

-10.1%

US Real Estate

-7.6%

US Market


1 Year Return

-2.5%

SRRE

0.5%

US Real Estate

10.2%

US Market

Return vs Industry: SRRE underperformed the US Real Estate industry which returned 2.3% over the past year.

Return vs Market: SRRE underperformed the US Market which returned 10.5% over the past year.


Shareholder returns

SRREIndustryMarket
7 Day0%-10.1%-7.6%
30 Day25.0%-7.8%-4.5%
90 Day-10.0%-2.8%-0.6%
1 Year-2.5%-2.5%1.2%0.5%12.5%10.2%
3 Yearn/a15.7%12.9%37.1%28.3%
5 Year1327.3%1143.1%6.1%2.6%60.8%43.2%

Price Volatility Vs. Market

How volatile is Sunrise Real Estate Group's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Sunrise Real Estate Group 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: SRRE ($0.45) is trading below our estimate of fair value ($1.15)

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


Price To Earnings Ratio

PE vs Industry: SRRE is good value based on its PE Ratio (0.7x) compared to the Real Estate industry average (21.5x).

PE vs Market: SRRE is good value based on its PE Ratio (0.7x) compared to the US market (17.2x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: SRRE is good value based on its PB Ratio (0.3x) compared to the US Real Estate industry average (1.3x).


Next Steps

Future Growth

How is Sunrise Real Estate Group forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

17.6%

Forecasted Real Estate 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 Sunrise Real Estate Group 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

  • Examine whether Sunrise Real Estate Group is trading at an attractive price based on how much it is expected to earn in the future, and relative to its industry peers and the wider market.
  • While we do not consider unaudited financials to be a reliable enough to include in our analysis, you can access them on the OTC Markets Website. If you are looking for more of a qualitative research into the company, you can access Sunrise Real Estate Group's filings and announcements here.
  • Explore growth companies in the Real Estate industry.

Past Performance

How has Sunrise Real Estate Group performed over the past 5 years?

-25.2%

Last years earnings growth


Earnings and Revenue History

Quality Earnings: SRRE has a high level of non-cash earnings.

Growing Profit Margin: SRRE's current net profit margins are higher than last year .


Past Earnings Growth Analysis

Earnings Trend: SRRE has become profitable over the past 5 years, growing earnings by 0% per year.

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

Earnings vs Industry: SRRE had negative earnings growth (-25.2%) over the past year, making it difficult to compare to the Real Estate industry average (-31.1%).


Return on Equity

High ROE: SRRE's Return on Equity (39.7%) is considered high.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Sunrise Real Estate Group's financial position?


Financial Position Analysis

Short Term Liabilities: SRRE's short term assets ($148.0M) exceed its short term liabilities ($58.4M).

Long Term Liabilities: SRRE's short term assets ($148.0M) exceed its long term liabilities ($8.1M).


Debt to Equity History and Analysis

Debt Level: SRRE's debt to equity ratio (2.7%) is considered satisfactory.

Reducing Debt: SRRE had negative shareholder equity 5 years ago, but is now positive and has therefore improved.

Debt Coverage: SRRE's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: Insufficient data to determine if SRRE's interest payments on its debt are well covered by EBIT.


Balance Sheet

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

Debt Coverage by Assets: SRRE's debt is covered by short term assets (assets are 45.9x debt).


Next Steps

Dividend

What is Sunrise Real Estate Group's current dividend yield, its reliability and sustainability?

22.22%

Current Dividend Yield


Dividend Yield vs Market

company22.2%marketbottom25%1.5%markettop25%4.0%industryaverage2.4%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: SRRE's dividend (22.22%) is higher than the bottom 25% of dividend payers in the US market (1.52%).

High Dividend: SRRE's dividend (22.22%) is in the top 25% of dividend payers in the US market (3.9%)


Stability and Growth of Payments

Stable Dividend: Too early to tell whether SRRE's dividend payments have been stable as they only just started paying a dividend.

Growing Dividend: Too early to tell if SRRE's dividend payments are increasing as they only just started paying a dividend.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (14.7%), SRRE's dividend payments are thoroughly 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?

4.3yrs

Average management tenure


CEO

Jian Zhang 0

0.3yrs

Tenure

0

Mr. Jian Zhang has been Chief Executive Officer of Sunrise Real Estate Group, Inc. since November 8, 2019. Mr. Zhang years of experiences in the business sector. Since 2017, Mr. Zhang has been a senior con ...


Leadership Team

NamePositionTenureCompensationOwnership
Hsin-Hung Lin
Chairman1.3yrsUS$18.07kno data
Yong Jun Mi
Chief Financial Officer6.7yrsUS$24.80kno data
Bryan Lin
Chief Operating Officer1.8yrsUS$31.83k0.036% $11.2k
Jian Zhang
Chief Executive Officer0.3yrsno datano data
Jun-Li Wang
Secretary0yrsno datano data
Wen Hua Wang
Senior Comptroller7.8yrsUS$30.68kno data

4.3yrs

Average Tenure

49yo

Average Age

Experienced Management: SRRE's management team is considered experienced (4.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Hsin-Hung Lin
Chairman1.3yrsUS$18.07kno data
Chi-Jung Lin
Director16.3yrsUS$77.47k64.8% $20.0m
Xiao-Gang Li
Independent Director15.3yrsUS$6.97kno data
Xuan-Jie Fu
Independent Director15.3yrsUS$6.97kno data
Ren Chen
Independent Director15.3yrsUS$6.97kno data
Chao-Chin Lin
Director14.8yrsno data2.2% $680.1k
Yu-Jen Pan
Director2.1yrsno datano data

15.3yrs

Average Tenure

64yo

Average Age

Experienced Board: SRRE's board of directors are seasoned and experienced ( 15.3 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

Sunrise Real Estate Group, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Sunrise Real Estate Group, Inc.
  • Ticker: SRRE
  • Exchange: OTCPK
  • Founded: 1996
  • Industry: Real Estate Services
  • Sector: Real Estate
  • Market Cap: US$30.911m
  • Shares outstanding: 68.69m
  • Website: https://www.sunrise.sh

Number of Employees


Location

  • Sunrise Real Estate Group, Inc.
  • Building A
  • 5A11 Floor
  • Shanghai
  • 200070
  • China

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SRREOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDOct 2004

Biography

Sunrise Real Estate Group, Inc., together with its subsidiaries, provides real estate development and property brokerage services in the People’s Republic of China. It offers real estate marketing, property leasing, and property management and rental services. The company also engages in the sales and marketing agency work for newly built property units; import and export trading; and real estate investment activities. In addition, it provides integrated marketing planning; advertising and sales planning and execution; fund management; and financial and equity management, and consultancy services. The company was formerly known as Sunrise Real Estate Development Group, Inc. and changed its name to Sunrise Real Estate Group, Inc. in May 2006. Sunrise Real Estate Group, Inc. was founded in 1996 and is headquartered in Shanghai, the People’s Republic of China. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/27 00:16
End of Day Share Price2020/02/19 00:00
Earnings2018/12/31
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.