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What Makes Shimao Property Holdings Limited (HKG:813) An Attractive Investment?

In This Article:

Shimao Property Holdings Limited (HKG:813) is a company with exceptional fundamental characteristics. Upon building up an investment case for a stock, we should look at various aspects. In the case of 813, it is a dependable dividend-paying company with a excellent growth outlook, not yet priced into the stock. In the following section, I expand a bit more on these key aspects. If you’re interested in understanding beyond my high-level commentary, read the full report on Shimao Property Holdings here.

High growth potential, good value and pays a dividend

813 is currently trading below its true value, which means the market is undervaluing the company’s expected cash flow going forward. According to my intrinsic value of the stock, which is driven by analyst consensus forecast of 813’s earnings, investors now have the opportunity to buy into the stock to reap capital gains. Also, relative to the rest of HK companies with similar levels of earnings, 813’s share price is trading below the group’s average. This supports the theory that 813 is potentially underpriced.

SEHK:813 Future Profit October 1st 18
SEHK:813 Future Profit October 1st 18

Income investors would also be happy to know that 813 is a great dividend company, with a current yield standing at 4.1%. 813 has also been regularly increasing its dividend payments to shareholders over the past decade.

SEHK:813 Historical Dividend Yield October 1st 18
SEHK:813 Historical Dividend Yield October 1st 18

Next Steps:

For Shimao Property Holdings, I’ve compiled three important aspects you should further examine:

  1. Historical Performance: What has 813’s returns been like over the past? Go into more detail in the past track record analysis and take a look at the free visual representations of our analysis for more clarity.

  2. Financial Health: Does it have a healthy balance sheet? Take a look at our free balance sheet analysis with six simple checks on key factors like leverage and risk.

  3. Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of 813? Explore our interactive list of stocks with large potential to get an idea of what else is out there you may be missing!

To help readers see past the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price-sensitive company announcements.

The author is an independent contributor and at the time of publication had no position in the stocks mentioned. For errors that warrant correction please contact the editor at editorial-team@simplywallst.com.