OTCPK:AUHE.F

Stock Analysis Report

Executive Summary

Anhui Expressway Company Limited constructs, operates, manages, and develops toll roads and associated service sections in the Anhui Province, the People's Republic of China.

Snowflake

Fundamentals

Very undervalued with flawless balance sheet and pays a dividend.

Share Price & News

How has Anhui Expressway's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

0%

AUHE.F

0.2%

US Infrastructure

1.3%

US Market


1 Year Return

2.3%

AUHE.F

-41.5%

US Infrastructure

5.9%

US Market

Return vs Industry: AUHE.F exceeded the US Infrastructure industry which returned -41.5% over the past year.

Return vs Market: AUHE.F underperformed the US Market which returned 5.9% over the past year.


Shareholder returns

AUHE.FIndustryMarket
7 Day0%0.2%1.3%
30 Day0%-1.6%-1.9%
90 Dayn/a-16.1%-1.8%
1 Year2.3%2.3%-38.5%-41.5%8.3%5.9%
3 Year-24.5%-24.5%-44.4%-56.3%45.6%36.2%
5 Year0.8%0.8%-15.9%-42.8%66.1%47.9%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is Anhui Expressway undervalued compared to its fair value and its price relative to the market?

42.3%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: AUHE.F ($0.6) is trading below our estimate of fair value ($1.05)

Significantly Undervalued: AUHE.F is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: AUHE.F is good value based on its PE Ratio (6x) compared to the Infrastructure industry average (10.6x).

PE vs Market: AUHE.F is good value based on its PE Ratio (6x) compared to the US market (17.5x).


Price to Earnings Growth Ratio

Low PEG Ratio: AUHE.F is good value based on its PEG Ratio (0.9x)


Price to Book Ratio

PB vs Industry: AUHE.F is good value based on its PB Ratio (0.7x) compared to the US Infrastructure industry average (0.8x).


Next Steps

Future Growth

How is Anhui Expressway forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

6.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: AUHE.F's forecast earnings growth (6.5% per year) is above the savings rate (2.7%).

Earnings vs Market: AUHE.F's earnings (6.5% per year) are forecast to grow slower than the US market (14.4% per year).

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

Revenue vs Market: AUHE.F's revenue (1.1% per year) is forecast to grow slower than the US market (7.3% per year).

High Growth Revenue: AUHE.F's revenue (1.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: AUHE.F's Return on Equity is forecast to be low in 3 years time (9.1%).


Next Steps

Past Performance

How has Anhui Expressway performed over the past 5 years?

6.7%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: AUHE.F's earnings have grown by 6.7% per year over the past 5 years.

Accelerating Growth: AUHE.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: AUHE.F had negative earnings growth (-0.7%) over the past year, making it difficult to compare to the Infrastructure industry average (36.9%).


Return on Equity

High ROE: AUHE.F's Return on Equity (9.9%) is considered low.


Return on Assets

ROA vs Industry: AUHE.F has a higher Return on Assets than the Infrastructure industry average last year.


Return on Capital Employed

ROCE Improving: AUHE.F has improved its Return on Capital Employed over the past 3 years.


Next Steps

Financial Health

How is Anhui Expressway's financial position?


Financial Position Analysis

Short Term Liabilities: AUHE.F's short term assets (CN¥3.0B) exceeds its short term liabilities (CN¥1.9B)

Long Term Liabilities: AUHE.F's short term assets (3.0B) exceeds its long term liabilities (2.3B)


Debt to Equity History and Analysis

Debt Level: AUHE.F's debt to equity ratio (24.9%) is considered satisfactory

Reducing Debt: AUHE.F's debt to equity ratio has reduced from 44.3% to 24.9% over the past 5 years.

Debt Coverage: AUHE.F's debt is well covered by operating cash flow (68.6%).

Interest Coverage: AUHE.F's interest payments on its debt are well covered by EBIT (70.6x coverage).


Balance Sheet

Inventory Level: AUHE.F has a low level of unsold assets or inventory.

Debt Coverage by Assets: AUHE.F's debt is covered by short term assets (assets are 1.089330x debt).


Next Steps

Dividend

What is Anhui Expressway's current dividend yield, its reliability and sustainability?

6.19%

Current Dividend Yield


Dividend Yield vs Market

company6.2%marketbottom25%1.5%markettop25%3.8%industryaverage3.3%forecastin3Years6.0%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: AUHE.F's dividend (6.2%) is higher than the bottom 25% of dividend payers in the US market (1.47%).

High Dividend: AUHE.F's dividend (6.2%) is in the top 25% of dividend payers in the US market (3.77%)

Stable Dividend: AUHE.F's dividends per share have been stable in the past 10 years.

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


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (37.2%), AUHE.F's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: AUHE.F's dividends in 3 years are forecast to be well covered by earnings (37.2% payout ratio).


Next Steps

Management

What is the CEO of Anhui Expressway's salary, the management and board of directors tenure and is there insider trading?

3.8yrs

Average management tenure


CEO

Zhen Xu (55yo)

4.6yrs

Tenure

CN¥564,000

Compensation

Mr. Zhen Xu has been the Chief Executive Officer and General Manager of Anhui Expressway Company Limited since March 27, 2015 and as its Executive Director since May 20, 2016. 


CEO Compensation Analysis

Compensation vs. Market: Zhen's total compensation ($USD79.82K) is about average for companies of similar size in the US market ($USD4.07M).

Compensation vs Earnings: Zhen's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.


Management Age and Tenure

3.8yrs

Average Tenure

55yo

Average Age

Experienced Management: AUHE.F's management team is considered experienced (3.8 years average tenure).


Board Age and Tenure

3.4yrs

Average Tenure

50yo

Average Age

Experienced Board: AUHE.F's board of directors are considered experienced (3.4 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown


Management Team

  • Xinyu Xie (52yo)

    Deputy GM

    • Tenure: 5.2yrs
    • Compensation: CN¥486.00k
  • Dafeng Chen (56yo)

    Executive Director

    • Tenure: 5.2yrs
  • Guangzhuo Xiao

    Manager of the Financial Department

    • Tenure: 0yrs
  • Zhen Xu (55yo)

    CEO, GM & Executive Director

    • Tenure: 4.6yrs
    • Compensation: CN¥564.00k
  • Chuanfu Qiao (60yo)

    Chairman

    • Tenure: 3.4yrs
  • Huimin Li (55yo)

    Deputy General Manager

    • Tenure: 3.8yrs
    • Compensation: CN¥486.00k
  • Jiping Chen (48yo)

    Deputy General Manager

    • Tenure: 3.2yrs
    • Compensation: CN¥486.00k
  • Huihui Dong (51yo)

    Secretary to the Board

    • Tenure: 2.6yrs
    • Compensation: CN¥453.00k

Board Members

  • Xinyu Xie (52yo)

    Deputy GM

    • Tenure: 5.2yrs
    • Compensation: CN¥486.00k
  • Dafeng Chen (56yo)

    Executive Director

    • Tenure: 5.2yrs
  • Yat Fan Kong (47yo)

    Independent Non-Executive Director

    • Tenure: 5.2yrs
    • Compensation: CN¥120.00k
  • Zhen Xu (55yo)

    CEO, GM & Executive Director

    • Tenure: 4.6yrs
    • Compensation: CN¥564.00k
  • Chuanfu Qiao (60yo)

    Chairman

    • Tenure: 3.4yrs
  • Jian Du (48yo)

    Non-Executive Director

    • Tenure: 3.4yrs
  • Jun Jiang (46yo)

    Independent Non-Executive Director

    • Tenure: 3yrs
    • Compensation: CN¥80.00k
  • Xudong Yang (46yo)

    Non-Executive Director

    • Tenure: 2.2yrs
  • Hao Liu (41yo)

    Independent Non-Executive Director

    • Tenure: 2.2yrs
    • Compensation: CN¥80.00k
  • Yuping Chen (56yo)

    Chairman of Supervisory Board

    • Tenure: 2.2yrs

Company Information

Anhui Expressway Company Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Anhui Expressway Company Limited
  • Ticker: AUHE.F
  • Exchange: OTCPK
  • Founded: 1996
  • Industry: Highways and Railtracks
  • Sector: Transportation
  • Market Cap: HK$9.456b
  • Listing Market Cap: HK$1.205b
  • Shares outstanding: 1.66b
  • Website: https://www.anhui-expressway.net

Number of Employees


Location

  • Anhui Expressway Company Limited
  • 520 Wangjiang West Road
  • Hefei
  • Anhui Province
  • 230088
  • China

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
AUHE.FOTCPK (Pink Sheets LLC)YesForeign Shares-Foreign ListedUSUSDNov 1996
995SEHK (The Stock Exchange of Hong Kong Ltd.)YesForeign Shares-Foreign ListedHKHKDNov 1996
HU7DB (Deutsche Boerse AG)YesForeign Shares-Foreign ListedDEEURNov 1996
995SHSC (Stock Exchange of Hong Kong Limited - Shanghai - Hong Kong Stock Connect)YesForeign Shares-Foreign ListedHKHKDNov 1996
995SZSC (The Stock Exchange of Hong Kong - Shenzhen - Hong Kong Stock Connect)YesForeign Shares-Foreign ListedHKHKDNov 1996
600012SHSE (Shanghai Stock Exchange)Domestic SharesCNCNYJan 2003
600012XSSC (Shanghai Stock Exchange - Shanghai - Hong Kong Stock Connect)Domestic SharesCNCNYJan 2003

Biography

Anhui Expressway Company Limited constructs, operates, manages, and develops toll roads and associated service sections in the Anhui Province, the People's Republic of China. The company owns interests in  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/14 23:45
End of Day Share Price2019/07/30 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.