Hopson Development Holdings Ltd
HKEX:754

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Hopson Development Holdings Ltd
HKEX:754
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Price: 2.64 HKD Market Closed
Market Cap: HK$10B

P/OCF

1.1
Current
12%
Cheaper
vs 3-y average of 1.3

Price to Operating Cash Flow (P/OCF) ratio compares a company`s market value to the cash it generates from its core operations.

P/OCF
1.1
=
Market Cap
HK$12.7B
/
Operating Cash Flow
HK$8.8B

Price to Operating Cash Flow (P/OCF) ratio compares a company`s market value to the cash it generates from its core operations.

P/OCF
1.1
=
Market Cap
HK$12.7B
/
Operating Cash Flow
HK$8.8B

Valuation Scenarios

Hopson Development Holdings Ltd is trading below its 3-year average

If P/OCF returns to its 3-Year Average (1.3), the stock would be worth HK$3 (14% upside from current price).

Statistics
Positive Scenarios
4/4
Maximum Downside
No Downside Scenarios
Maximum Upside
+489%
Average Upside
251%
Scenario P/OCF Value Implied Price Upside/Downside
Current Multiple 1.1 HK$2.64
0%
3-Year Average 1.3 HK$3
+14%
5-Year Average 1.4 HK$3.14
+19%
Industry Average 6.7 HK$15.43
+484%
Country Average 6.7 HK$15.54
+489%

Forward P/OCF
Today’s price vs future operating cash flow

Not enough data available to calculate forward P/OCF

Peer Comparison

All Multiples
P/OCF
P/E
All Countries
Close

Market Distribution

Lower than 94% of companies in Hong Kong
Percentile
6th
Based on 1 349 companies
6th percentile
1.1
Low
0.2 — 3.7
Typical Range
3.7 — 11
High
11 —
Distribution Statistics
Hong Kong
Min 0.2
30th Percentile 3.7
Median 6.7
70th Percentile 11
Max 20 303.7

Hopson Development Holdings Ltd
Glance View

Market Cap
10B HKD
Industry
Real Estate

Hopson Development Holdings Ltd., founded in 1992 and based in Guangzhou, China, stands as a formidable entity in the real estate landscape of the country. As an integrated property developer, its primary business involves the development of residential properties, commercial properties, and hotels. With a strategic focus on major urban centers including Beijing, Shanghai, Guangzhou, and Shenzhen, Hopson capitalizes on the urbanization trend sweeping across China. It primarily derives its revenue through the sale of residential units, which are meticulously developed to meet the demands of a burgeoning middle class seeking urban living spaces. This focus allows Hopson to tap into one of the fastest-growing real estate markets globally, coupling geographical advantage with an intricate understanding of local market needs. Beyond residential properties, Hopson's financial ecosystem is diversified due to its involvement in property investment and management services. The company owns and operates numerous commercial properties, such as shopping malls and office buildings, which generate steady streams of rental income and contribute to its cash flow stability. Furthermore, the hospitality segment, encompassing hotel operations, complements its development activities, offering an additional revenue source. The integration of these services allows Hopson to mitigate risks associated with market fluctuations, ensuring sustained profitability amidst a competitive and often volatile real estate market. By maintaining an expansive portfolio of diverse real estate interests, Hopson Development Holdings Ltd. continues to navigate and leverage the complex dynamics of China’s urban development.

Intrinsic Value
19.86 HKD
Undervaluation 87%
Intrinsic Value
Price HK$2.64
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