Swire Properties Limited Fundamental Analysis (HKSE: 1972.HK)
Swire Properties Limited Fundamental Analysis (HKSE: 1972.HK)
Swire Properties Limited (HKSE: 1972.HK) shows moderate financial fundamentals with a PE ratio of 41.98, profit margin of 19.56%, and ROE of 1.22%. The company generates $16.9B in annual revenue with strong year-over-year growth of 11.18%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 57.0/100 based on profitability, valuation, growth, and balance sheet metrics. The C grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze 1972.HK's fundamental strength across five key dimensions:
Efficiency Score
Weak1972.HK struggles to generate sufficient returns from assets.
Valuation Score
Moderate1972.HK shows balanced valuation metrics.
Growth Score
Moderate1972.HK shows steady but slowing expansion.
Financial Health Score
Excellent1972.HK maintains a strong and stable balance sheet.
Profitability Score
Excellent1972.HK achieves industry-leading margins.
Key Financial Metrics
Is 1972.HK Expensive or Cheap?
P/E Ratio
1972.HK trades at 41.98 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, 1972.HK's PEG of 0.08 indicates potential undervaluation.
Price to Book
The market values Swire Properties Limited at 0.51 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 13.92 times EBITDA. This signals the market has high growth expectations.
How Well Does 1972.HK Make Money?
Net Profit Margin
For every $100 in sales, Swire Properties Limited keeps $19.56 as profit after all expenses.
Operating Margin
Core operations generate 49.00 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $1.22 in profit for every $100 of shareholder equity.
ROA
Swire Properties Limited generates $0.92 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Swire Properties Limited generates strong operating cash flow of $7.82B, reflecting robust business health.
Free Cash Flow
Swire Properties Limited generates strong free cash flow of $7.63B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $1.33 in free cash annually.
FCF Yield
1972.HK converts 5.51% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
41.98
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.08
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.51
vs 25 benchmark
P/S Ratio
Price to sales ratio
8.20
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.20
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.56
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.01
vs 25 benchmark
ROA
Return on assets percentage
0.009
vs 25 benchmark
ROCE
Return on capital employed
0.02
vs 25 benchmark
How 1972.HK Stacks Against Its Sector Peers
| Metric | 1972.HK Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 41.98 | 23.58 | Worse (Expensive) |
| ROE | 1.22% | 758.00% | Weak |
| Net Margin | 19.56% | 2534.00% | Weak |
| Debt/Equity | 0.20 | -36.79 (disorted) | Distorted |
| Current Ratio | 2.56 | 33.94 | Strong Liquidity |
| ROA | 0.92% | 257.00% | Weak |
1972.HK outperforms its industry in 1 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Swire Properties Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
21.80%
Industry Style: Income, Inflation Hedge, REIT
High GrowthEPS CAGR
-137.95%
Industry Style: Income, Inflation Hedge, REIT
DecliningFCF CAGR
38.53%
Industry Style: Income, Inflation Hedge, REIT
High Growth