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Beijing Enterprises Water Group

BST:HUN2
Snowflake Description

Very undervalued average dividend payer.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
HUN2
BST
HK$38B
Market Cap
  1. Home
  2. DE
  3. Utilities
Company description

Beijing Enterprises Water Group Limited, together with its subsidiaries, provides water services and environmental protection services. The last earnings update was 50 days ago. More info.


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HUN2 Share Price and Events
7 Day Returns
-5.5%
BST:HUN2
3.9%
Europe Water Utilities
-1%
DE Market
1 Year Returns
-7.1%
BST:HUN2
24.3%
Europe Water Utilities
9.1%
DE Market
HUN2 Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Beijing Enterprises Water Group (HUN2) -5.5% - - -7.1% - -
Europe Water Utilities 3.9% 1.6% 14.5% 24.3% 4.4% 4.3%
DE Market -1% 4.4% 13% 9.1% 13.8% 20.2%
1 Year Return vs Industry and Market
  • HUN2 underperformed the Water Utilities industry which returned 24.3% over the past year.
  • HUN2 underperformed the Market in Germany which returned 9.1% over the past year.
Price Volatility
HUN2
Industry
5yr Volatility vs Market

HUN2 Value

 Is Beijing Enterprises Water Group undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Beijing Enterprises Water Group to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Beijing Enterprises Water Group.

BST:HUN2 Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 16 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 5.5%
Perpetual Growth Rate 10-Year DE Government Bond Rate 0.2%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for BST:HUN2
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year DE Govt Bond Rate 0.2%
Equity Risk Premium S&P Global 6.7%
Water Utilities Unlevered Beta Simply Wall St/ S&P Global 0.3
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.301 (1 + (1- 25%) (152.63%))
0.762
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.8
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 0.23% + (0.8 * 6.65%)
5.55%

Discounted Cash Flow Calculation for BST:HUN2 using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Beijing Enterprises Water Group is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

Note: Free cash flow to equity valuations ignore the company's cash or debt.

BST:HUN2 DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (HKD, Millions) Source Present Value
Discounted (@ 5.55%)
2020 -5,253.00 Analyst x4 -4,976.88
2021 3,131.33 Analyst x3 2,810.80
2022 4,001.00 Analyst x2 3,402.66
2023 6,900.00 Analyst x2 5,559.67
2024 9,269.58 Est @ 34.34% 7,076.36
2025 11,504.25 Est @ 24.11% 8,320.67
2026 13,453.50 Est @ 16.94% 9,219.03
2027 15,058.37 Est @ 11.93% 9,776.38
2028 16,326.09 Est @ 8.42% 10,042.28
2029 17,299.37 Est @ 5.96% 10,081.62
Present value of next 10 years cash flows HK$61,312.00
BST:HUN2 DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= HK$17,299.37 × (1 + 0.23%) ÷ (5.55% – 0.23%)
HK$325,917.60
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= HK$325,917.60 ÷ (1 + 5.55%)10
HK$189,936.20
BST:HUN2 Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= HK$61,312.00 + HK$189,936.20
HK$251,248.20
Equity Value per Share
(HKD)
= Total value / Shares Outstanding
= HK$251,248.20 / 10,021.20
HK$25.07
BST:HUN2 Discount to Share Price
Calculation Result
Non-primary Listing Adjustment Factor 1 share in BST:HUN2 represents 0.11626x of SEHK:371
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
0.11626x
Value per Share
(Listing Adjusted, EUR)
= Value per Share (HKD) x Listing Adjustment Factor
= HK$ 25.07 x 0.11626
€2.91
Value per share (EUR) From above. €2.91
Current discount Discount to share price of €0.44
= -1 x (€0.44 - €2.91) / €2.91
84.8%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Beijing Enterprises Water Group is available for.
Intrinsic value
>50%
Share price is €0.44 vs Future cash flow value of €2.91
Current Discount Checks
For Beijing Enterprises Water Group to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Beijing Enterprises Water Group's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Beijing Enterprises Water Group's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Beijing Enterprises Water Group's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Beijing Enterprises Water Group's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
BST:HUN2 PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-06-30) in HKD HK$0.51
SEHK:371 Share Price ** SEHK (2019-11-13) in HKD HK$3.82
Europe Water Utilities Industry PE Ratio Median Figure of 10 Publicly-Listed Water Utilities Companies 17.29x
Germany Market PE Ratio Median Figure of 399 Publicly-Listed Companies 19.41x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Beijing Enterprises Water Group.

BST:HUN2 PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= SEHK:371 Share Price ÷ EPS (both in HKD)

= 3.82 ÷ 0.51

7.47x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Beijing Enterprises Water Group is good value based on earnings compared to the Europe Water Utilities industry average.
  • Beijing Enterprises Water Group is good value based on earnings compared to the Germany market.
Price based on expected Growth
Does Beijing Enterprises Water Group's expected growth come at a high price?
Raw Data
BST:HUN2 PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 7.47x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 16 Analysts
14.1%per year
Global Water Utilities Industry PEG Ratio Median Figure of 36 Publicly-Listed Water Utilities Companies 1.16x
Germany Market PEG Ratio Median Figure of 253 Publicly-Listed Companies 1.36x

*Line of best fit is calculated by linear regression .

BST:HUN2 PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 7.47x ÷ 14.1%

0.53x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Beijing Enterprises Water Group is good value based on expected growth next year.
Price based on value of assets
What value do investors place on Beijing Enterprises Water Group's assets?
Raw Data
BST:HUN2 PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-06-30) in HKD HK$2.97
SEHK:371 Share Price * SEHK (2019-11-13) in HKD HK$3.82
Europe Water Utilities Industry PB Ratio Median Figure of 10 Publicly-Listed Water Utilities Companies 1.67x
Germany Market PB Ratio Median Figure of 573 Publicly-Listed Companies 1.85x
BST:HUN2 PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= SEHK:371 Share Price ÷ Book Value per Share (both in HKD)

= 3.82 ÷ 2.97

1.28x

* Primary Listing of Beijing Enterprises Water Group.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Beijing Enterprises Water Group is good value based on assets compared to the Europe Water Utilities industry average.
X
Value checks
We assess Beijing Enterprises Water Group's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Water Utilities industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Water Utilities industry average (and greater than 0)? (1 check)
  5. Beijing Enterprises Water Group has a total score of 6/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

HUN2 Future Performance

 How is Beijing Enterprises Water Group expected to perform in the next 1 to 3 years based on estimates from 16 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
14.1%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Beijing Enterprises Water Group expected to grow at an attractive rate?
  • Beijing Enterprises Water Group's earnings growth is expected to exceed the low risk savings rate of 0.2%.
Growth vs Market Checks
  • Beijing Enterprises Water Group's earnings growth is expected to exceed the Germany market average.
  • Beijing Enterprises Water Group's revenue growth is expected to exceed the Germany market average.
Annual Growth Rates Comparison
Raw Data
BST:HUN2 Future Growth Rates Data Sources
Data Point Source Value (per year)
BST:HUN2 Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 16 Analysts 14.1%
BST:HUN2 Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 16 Analysts 9.2%
Europe Water Utilities Industry Earnings Growth Rate Market Cap Weighted Average -0.6%
Europe Water Utilities Industry Revenue Growth Rate Market Cap Weighted Average 0.5%
Germany Market Earnings Growth Rate Market Cap Weighted Average 12.6%
Germany Market Revenue Growth Rate Market Cap Weighted Average 4.9%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
BST:HUN2 Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (4 months ago) See Below
Future Estimates Average of up to 16 Analyst Estimates (S&P Global) See Below
All numbers in HKD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
BST:HUN2 Future Estimates Data
Date (Data in HKD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2023-12-31 7,774
2022-12-31 4,225
2021-12-31 33,887 295 7,002 14
2020-12-31 30,709 -1,628 6,210 16
2019-12-31 28,309 -4,586 5,363 13
2019-11-15
BST:HUN2 Past Financials Data
Date (Data in HKD Millions) Revenue Cash Flow Net Income *
2019-06-30 27,417 -9,370 4,875
2019-03-31 26,007 -7,471 4,673
2018-12-31 24,597 -5,573 4,471
2018-09-30 23,336 -5,289 4,320
2018-06-30 22,075 -5,006 4,169
2018-03-31 21,634 -5,860 3,943
2017-12-31 21,192 -6,714 3,717
2017-09-30 19,911 -4,636 3,642
2017-06-30 18,629 -2,557 3,567
2017-03-31 17,992 -2,529 3,397
2016-12-31 17,355 -2,500 3,227
2016-09-30 16,473 -3,172 3,048

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Beijing Enterprises Water Group's earnings are expected to grow by 14.1% yearly, however this is not considered high growth (20% yearly).
  • Beijing Enterprises Water Group's revenue is expected to grow by 9.2% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
BST:HUN2 Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (4 months ago) See Below
Future Estimates Average of up to 16 Analyst Estimates (S&P Global) See Below

All data from Beijing Enterprises Water Group Company Filings, last reported 4 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

BST:HUN2 Future Estimates Data
Date (Data in HKD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2023-12-31 0.86 0.86 0.86 1.00
2022-12-31 0.77 0.77 0.77 1.00
2021-12-31 0.69 0.83 0.55 14.00
2020-12-31 0.61 0.68 0.56 16.00
2019-12-31 0.54 0.58 0.52 16.00
2019-11-15
BST:HUN2 Past Financials Data
Date (Data in HKD Millions) EPS *
2019-06-30 0.51
2019-03-31 0.50
2018-12-31 0.48
2018-09-30 0.47
2018-06-30 0.46
2018-03-31 0.44
2017-12-31 0.42
2017-09-30 0.42
2017-06-30 0.41
2017-03-31 0.39
2016-12-31 0.37
2016-09-30 0.35

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Beijing Enterprises Water Group is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Beijing Enterprises Water Group's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Europe market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Europe market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Beijing Enterprises Water Group has a total score of 3/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

HUN2 Past Performance

  How has Beijing Enterprises Water Group performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Beijing Enterprises Water Group's growth in the last year to its industry (Water Utilities).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Beijing Enterprises Water Group has delivered over 20% year on year earnings growth in the past 5 years.
  • Beijing Enterprises Water Group's 1-year earnings growth is less than its 5-year average (16.9% vs 21.6%)
  • Beijing Enterprises Water Group's earnings growth has exceeded the Europe Water Utilities industry average in the past year (16.9% vs 6.8%).
Earnings and Revenue History
Beijing Enterprises Water Group's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Beijing Enterprises Water Group Company Filings, last reported 4 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

BST:HUN2 Past Revenue, Cash Flow and Net Income Data
Date (Data in HKD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-06-30 27,417.22 4,875.01 2,280.07
2019-03-31 26,007.04 4,673.14 2,243.22
2018-12-31 24,596.86 4,471.27 2,206.38
2018-09-30 23,335.98 4,320.24 2,044.38
2018-06-30 22,075.11 4,169.22 1,882.39
2018-03-31 21,633.74 3,943.22 1,817.81
2017-12-31 21,192.37 3,717.23 1,753.22
2017-09-30 19,910.83 3,642.23 1,727.07
2017-06-30 18,629.29 3,567.22 1,700.92
2017-03-31 17,992.06 3,397.12 1,619.34
2016-12-31 17,354.83 3,227.01 1,537.75
2016-09-30 16,472.85 3,047.96 1,437.43
2016-06-30 15,590.86 2,868.91 1,337.11
2016-03-31 14,546.91 2,662.14 1,281.42
2015-12-31 13,502.96 2,455.37 1,225.73
2015-09-30 12,188.52 2,348.08 1,146.24
2015-06-30 10,874.09 2,240.78 1,066.75
2015-03-31 9,900.02 2,017.60 1,066.28
2014-12-31 8,925.94 1,794.41 1,065.81
2014-09-30 8,192.11 1,539.19 1,024.96
2014-06-30 7,458.27 1,283.96 984.10
2014-03-31 6,932.36 1,184.11 879.34
2013-12-31 6,406.46 1,084.26 774.58
2013-09-30 5,748.01 981.22 667.56
2013-06-30 5,089.57 878.18 560.55
2013-03-31 4,408.47 814.33 500.06
2012-12-31 3,727.38 750.47 439.58

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Beijing Enterprises Water Group has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Beijing Enterprises Water Group used its assets more efficiently than the Europe Water Utilities industry average last year based on Return on Assets.
  • Beijing Enterprises Water Group's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Beijing Enterprises Water Group's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Water Utilities industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Beijing Enterprises Water Group has a total score of 3/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

HUN2 Health

 How is Beijing Enterprises Water Group's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Beijing Enterprises Water Group's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Beijing Enterprises Water Group's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • Beijing Enterprises Water Group's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Beijing Enterprises Water Group's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Debt is not covered by short term assets, assets are 0.6x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Beijing Enterprises Water Group Company Filings, last reported 4 months ago.

BST:HUN2 Past Debt and Equity Data
Date (Data in HKD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-06-30 43,692.19 57,912.93 10,003.88
2019-03-31 43,692.19 57,912.93 10,003.88
2018-12-31 37,812.14 55,797.30 12,937.65
2018-09-30 37,812.14 55,797.30 12,937.65
2018-06-30 38,477.44 48,935.21 12,984.77
2018-03-31 38,477.44 48,935.21 12,984.77
2017-12-31 33,041.32 43,629.83 9,938.83
2017-09-30 33,041.32 43,629.83 9,938.83
2017-06-30 29,556.74 37,529.54 7,536.95
2017-03-31 29,556.74 37,529.54 7,536.95
2016-12-31 26,767.34 36,077.85 10,921.04
2016-09-30 26,767.34 36,077.85 10,921.04
2016-06-30 21,109.83 35,960.77 5,540.24
2016-03-31 21,109.83 35,960.77 5,540.24
2015-12-31 20,290.42 30,932.67 6,373.83
2015-09-30 20,290.42 30,932.67 6,373.83
2015-06-30 20,336.66 27,680.62 4,561.71
2015-03-31 20,336.66 27,680.62 4,561.71
2014-12-31 19,088.74 23,490.44 6,090.88
2014-09-30 19,088.74 23,490.44 6,090.88
2014-06-30 17,520.87 21,156.80 4,791.79
2014-03-31 17,520.87 21,156.80 4,791.79
2013-12-31 15,924.44 19,283.06 5,513.04
2013-09-30 15,924.44 19,283.06 5,513.04
2013-06-30 12,771.29 17,381.58 4,878.02
2013-03-31 12,771.29 17,381.58 4,878.02
2012-12-31 10,731.49 13,274.83 4,290.87
  • Beijing Enterprises Water Group's level of debt (132.3%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (120.8% vs 132.3% today).
  • Operating cash flow is negative therefore debt is not well covered.
  • Interest payments on debt are well covered by earnings (EBIT is 4.2x coverage).
X
Financial health checks
We assess Beijing Enterprises Water Group's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Beijing Enterprises Water Group has a total score of 1/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

HUN2 Dividends

 What is Beijing Enterprises Water Group's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
4.66%
Current annual income from Beijing Enterprises Water Group dividends. Estimated to be 6.01% next year.
If you bought €2,000 of Beijing Enterprises Water Group shares you are expected to receive €93 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Beijing Enterprises Water Group's pays a higher dividend yield than the bottom 25% of dividend payers in Germany (1.38%).
  • Beijing Enterprises Water Group's dividend is above the markets top 25% of dividend payers in Germany (3.67%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
BST:HUN2 Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 16 Analyst Estimates (S&P Global) See Below
Europe Water Utilities Industry Average Dividend Yield Market Cap Weighted Average of 11 Stocks 4.4%
Germany Market Average Dividend Yield Market Cap Weighted Average of 333 Stocks 3%
Germany Minimum Threshold Dividend Yield 10th Percentile 0.7%
Germany Bottom 25% Dividend Yield 25th Percentile 1.4%
Germany Top 25% Dividend Yield 75th Percentile 3.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

BST:HUN2 Future Dividends Estimate Data
Date (Data in HK$) Dividend per Share (annual) Avg. No. Analysts
2023-12-31
2022-12-31
2021-12-31 0.26 14.00
2020-12-31 0.23 16.00
2019-12-31 0.20 15.00
2019-11-15
BST:HUN2 Past Annualized Dividends Data
Date (Data in HK$) Dividend per share (annual) Avg. Yield (%)
2019-04-26 0.178 4.190
2018-08-29 0.170 3.899
2018-03-28 0.155 3.561
2017-09-27 0.160 2.736
2017-08-30 0.160 2.500
2017-04-26 0.120 1.937
2017-03-30 0.120 1.975
2016-04-22 0.095 1.845
2015-04-20 0.096 1.767
2015-03-30 0.096 1.587
2014-09-18 0.060 1.175
2014-08-28 0.060 1.103
2014-04-17 0.054 1.067
2014-03-27 0.054 1.034
2013-09-23 0.050 1.181
2013-08-29 0.050 1.556
2013-04-11 0.040 1.426
2012-08-30 0.040 2.053
2012-03-29 0.030 1.901

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Whilst dividend payments have been stable, Beijing Enterprises Water Group has been paying a dividend for less than 10 years.
  • Dividend payments have increased, but Beijing Enterprises Water Group only paid a dividend in the past 8 years.
Current Payout to shareholders
What portion of Beijing Enterprises Water Group's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (2.7x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (3x coverage).
X
Income/ dividend checks
We assess Beijing Enterprises Water Group's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.7%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Beijing Enterprises Water Group afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Beijing Enterprises Water Group has a total score of 4/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

HUN2 Management

 What is the CEO of Beijing Enterprises Water Group's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Min Zhou
COMPENSATION HK$9,114,000
AGE 55
TENURE AS CEO 3.7 years
CEO Bio

Mr. Min Zhou has been the Chief Executive Officer of Beijing Enterprises Water Group Limited since March 30, 2016. Mr. Zhou served as a Vice President of Beijing Enterprises Water Group Limited since August 1, 2008. He served as the Chief Financial Officer of Beijing Zhongkecheng Environment Protection Group Limited from 2004 to 2008. Mr. Zhou served as a Chief Financial Officer of Sichuan Zhongkecheng Environment Protection Stock Co., Ltd. from 2001 to 2004. Mr. Zhou serves as the Chief Financial Officer of Z. K. C. Environmental Group Co. Ltd., and served as the Chief Financial Officer of Sichuan Z. K. C. Environmental Co. Ltd. Mr. Zhou served in the People's Bank of China, Yongkang Branch of Zhejiang Province from 1980 to 1985 and the Industrial and Commercial Bank of China, Yongkang Branch of Zhejiang Province from 1985 to 1989. He served as the Chairman of Beijing Jingsheng Investment Company Ltd. from 1989 to 2001. He serves as Vice Chairman of Mianyang Zhejiang Chamber of Commerce. He has been an Executive Director of Beijing Enterprises Water Group Limited since August 1, 2008. He has been Director at JM WOWO since April 8, 2015. Mr. Zhou serves as the Chairman of BEWG Environmental Group Co., Ltd. He serves as a Director of Z. K. C. Environmental Group Co. Ltd. and served as a Director of Sichuan Z. K. C. Environmental Co. Ltd. Mr. Zhou served as a Director of Beijing Zhongkecheng Environment Protection Group Limited from 2004 to 2008. He served as a Director of Sichuan Zhongkecheng Environment Protection Stock Co., Ltd. from 2001 to 2004. Mr. Zhou graduated with an EMBA from the Tsinghua University.

CEO Compensation
  • Min's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Min's remuneration is lower than average for companies of similar size in Germany.
Management Team Tenure

Average tenure and age of the Beijing Enterprises Water Group management team in years:

10.6
Average Tenure
53.5
Average Age
  • The average tenure for the Beijing Enterprises Water Group management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team

Yongcheng Li

TITLE
Chairman of the Board
COMPENSATION
HK$130K
AGE
57

Min Zhou

TITLE
CEO & Executive Director
COMPENSATION
HK$9M
AGE
55
TENURE
3.7 yrs

Meng E

TITLE
Executive Vice Chairman
COMPENSATION
HK$120K
AGE
60

Eric Tung

TITLE
CFO, Company Secretary & Executive Director
COMPENSATION
HK$236K
AGE
48

Li Li

TITLE
COO & Executive Director
COMPENSATION
HK$5M
AGE
53
TENURE
3.7 yrs

Xinhao Jiang

TITLE
Executive Director
COMPENSATION
HK$120K
AGE
54

Haifeng Li

TITLE
VP & Executive Director
COMPENSATION
HK$4M
AGE
49
TENURE
11.3 yrs

Tiefu Zhang

TITLE
VP & Executive Director
COMPENSATION
HK$3M
AGE
57
TENURE
10.6 yrs

Jian Ke

TITLE
Executive Director
COMPENSATION
HK$120K
AGE
50

Ngai Man Tsang

TITLE
Assistant to the Chairman
AGE
51
TENURE
10.8 yrs
Board of Directors Tenure

Average tenure and age of the Beijing Enterprises Water Group board of directors in years:

8.3
Average Tenure
54.5
Average Age
  • The tenure for the Beijing Enterprises Water Group board of directors is about average.
Board of Directors

Yongcheng Li

TITLE
Chairman of the Board
COMPENSATION
HK$130K
AGE
57
TENURE
5.1 yrs

Min Zhou

TITLE
CEO & Executive Director
COMPENSATION
HK$9M
AGE
55
TENURE
11.3 yrs

Meng E

TITLE
Executive Vice Chairman
COMPENSATION
HK$120K
AGE
60
TENURE
6.6 yrs

Xiaoyong Hu

TITLE
Honorary Chairman
COMPENSATION
HK$4M
AGE
55
TENURE
3.7 yrs

Eric Tung

TITLE
CFO, Company Secretary & Executive Director
COMPENSATION
HK$236K
AGE
48
TENURE
8.3 yrs

Li Li

TITLE
COO & Executive Director
COMPENSATION
HK$5M
AGE
53
TENURE
5.8 yrs

Xinhao Jiang

TITLE
Executive Director
COMPENSATION
HK$120K
AGE
54
TENURE
11.4 yrs

Haifeng Li

TITLE
VP & Executive Director
COMPENSATION
HK$4M
AGE
49
TENURE
11.3 yrs

Tiefu Zhang

TITLE
VP & Executive Director
COMPENSATION
HK$3M
AGE
57
TENURE
10.6 yrs

Jian Ke

TITLE
Executive Director
COMPENSATION
HK$120K
AGE
50
TENURE
8.4 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month open market individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (€) Value (€)
12. Nov 19 Buy China Three Gorges Corporation Company 11. Nov 19 11. Nov 19 700,000 €0.46 €323,320
12. Nov 19 Buy China Three Gorges Corporation Company 07. Nov 19 07. Nov 19 2,534,000 €0.48 €1,228,265
25. Sep 19 Buy Yangtze Ecology and Environment Co., Ltd. Company 23. Sep 19 23. Sep 19 470,649,436 €0.50 €234,212,296
25. Sep 19 Sell China Three Gorges Corporation Company 23. Sep 19 23. Sep 19 -470,649,436 €0.50 €-234,212,296
28. Aug 19 Buy China Three Gorges Corporation Company 26. Aug 19 26. Aug 19 470,000 €0.45 €212,391
10. Jun 19 Buy China Three Gorges Corporation Company 04. Jun 19 04. Jun 19 532,000 €0.46 €246,275
23. Jan 19 Buy Beijing Enterprises Holdings Limited Company 18. Jan 19 18. Jan 19 127,747,714 €0.48 €61,521,167
X
Management checks
We assess Beijing Enterprises Water Group's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Beijing Enterprises Water Group has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

HUN2 News

Simply Wall St News

HUN2 Company Info

Description

Beijing Enterprises Water Group Limited, together with its subsidiaries, provides water services and environmental protection services. The company offers construction services for water treatment plants and renovation projects, as well as provides sewage and reclaimed water treatment; seawater desalination; and technical and consultancy services. In addition, it distributes and sells piped water; and machineries for sewage treatment, as well as licenses technical know-how related to sewage treatment. The company provides its services in the People’s Republic of China, Malaysia, Australia, Singapore, Portugal, and New Zealand. The company was formerly known as Shang Hua Holdings Ltd. and changed its name to Beijing Enterprises Water Group Limited in March 2008. Beijing Enterprises Water Group Limited was incorporated in 1992 and is headquartered in Wanchai, Hong Kong.

Details
Name: Beijing Enterprises Water Group Limited
HUN2
Exchange: BST
Founded: 1992
HK$4,427,626,393
10,021,195,871
Website: http://www.bewg.net
Address: Beijing Enterprises Water Group Limited
Central Plaza,
Rooms 6706-07, 67th Floor,
Wanchai,
Hong Kong
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
SEHK 371 Ordinary Shares The Stock Exchange of Hong Kong Ltd. HK HKD 12. May 1993
OTCPK BJWT.F Ordinary Shares Pink Sheets LLC US USD 12. May 1993
DB HUN2 Ordinary Shares Deutsche Boerse AG DE EUR 12. May 1993
BST HUN2 Ordinary Shares Boerse-Stuttgart DE EUR 12. May 1993
SHSC 371 Ordinary Shares Stock Exchange of Hong Kong Limited - Shanghai - Hong Kong Stock Connect HK HKD 12. May 1993
SZSC 371 Ordinary Shares The Stock Exchange of Hong Kong - Shenzhen - Hong Kong Stock Connect HK HKD 12. May 1993
OTCPK BJWT.Y ADR Pink Sheets LLC US USD 24. Jul 2013
Number of employees
Current staff
Staff numbers
18,142
Beijing Enterprises Water Group employees.
Industry
Water Utilities
Utilities
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/11/15 21:26
End of day share price update: 2019/11/13 00:00
Last estimates confirmation: 2019/11/05
Last earnings filing: 2019/09/26
Last earnings reported: 2019/06/30
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.