Pinning Down Guangdong Investment Limited's (HKG:270) P/E Is Difficult Right Now

Simply Wall St.09-24

There wouldn't be many who think Guangdong Investment Limited's (HKG:270) price-to-earnings (or "P/E") ratio of 10.2x is worth a mention when the median P/E in Hong Kong is similar at about 9x. While...

Source Link

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap

Leave a comment

{"i18n":{"language":"en_US"},"isChannel":false,"data":{"share":"https://ttm.financial/m/news/2469285463?lang=en_US&edition=fundamental","thumbnail":"https://images.simplywall.st/asset/industry/9551000-choice2-main-header/1585187012384","is_english":true,"pubTime":"2024-09-24 13:39","share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","id":"2469285463","market":"us","top_or_hot":-1,"title":"Pinning Down Guangdong Investment Limited's (HKG:270) P/E Is Difficult Right Now","media":"Simply Wall St.","content":"<div>\n<p>There wouldn't be many who think Guangdong Investment Limited's (HKG:270) price-to-earnings (or \"P/E\") ratio of 10.2x is worth a mention when the median P/E in Hong Kong is similar at about 9x.  While...</p>\n\n<a href=\"https://simplywall.st/stocks/hk/utilities/hkg-270/guangdong-investment-shares/news/pinning-down-guangdong-investment-limiteds-hkg270-pe-is-diff\">Source Link</a>\n\n</div>\n","source":"simplywall_highlight","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Pinning Down Guangdong Investment Limited's (HKG:270) P/E Is Difficult Right Now</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nPinning Down Guangdong Investment Limited's (HKG:270) P/E Is Difficult Right Now\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-09-24 13:39 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://simplywall.st/stocks/hk/utilities/hkg-270/guangdong-investment-shares/news/pinning-down-guangdong-investment-limiteds-hkg270-pe-is-diff><strong>Simply Wall St.</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>There wouldn't be many who think Guangdong Investment Limited's (HKG:270) price-to-earnings (or \"P/E\") ratio of 10.2x is worth a mention when the median P/E in Hong Kong is similar at about 9x.  While...</p>\n\n<a href=\"https://simplywall.st/stocks/hk/utilities/hkg-270/guangdong-investment-shares/news/pinning-down-guangdong-investment-limiteds-hkg270-pe-is-diff\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"IE00BHRH8C09.USD","symbol_name":"LM MARTIN CURRIE ASIA PACIFIC EX JAPAN REAL INC \"A\" (USD) INC","start_time":0,"source_url":"https://simplywall.st/stocks/hk/utilities/hkg-270/guangdong-investment-shares/news/pinning-down-guangdong-investment-limiteds-hkg270-pe-is-diff","article_id":"2469285463","we_media_id":null,"thumbnails":["https://images.simplywall.st/asset/industry/9551000-choice2-main-header/1585187012384"],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=2469285463","pubTimestamp":1727156349,"sourceInfo":{"source_id":"simplywall_highlight","name":"Simply Wall St."},"weMediaInfo":null,"summary":"There wouldn't be many who think Guangdong Investment Limited's ( HKG:270 ) price-to-earnings (or \"P/E\") ratio of 10.2x...","collect":0,"end_time":0,"defaultTopTitle":"simplywall.st","property":[],"viewcount":null,"language":"en","relate_stocks":{"IE00BHRH8C09.USD":"LM MARTIN CURRIE ASIA PACIFIC EX JAPAN REAL INC \"A\" (USD) INC","IE00BHRH8D16.HKD":"FTGF MARTIN CURRIE ASIA PACIFIC URBAN TRENDS INCOME \"A\" (HKD) INC","BK1552":"水务股","BK1589":"北水核心资产","00270":"粤海投资","IE00BG0RBZ43.SGD":"Legg Mason Martin Currie - Asia Pacific Ex Japan Real Income A Mdis SGD Plus","BK1194":"水公用事业"},"translate_title":"目前很难确定粤海投资有限公司（HKG：270）的市盈率","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"00270":1},"content_text":"There wouldn't be many who think Guangdong Investment Limited's (HKG:270) price-to-earnings (or \"P/E\") ratio of 10.2x is worth a mention when the median P/E in Hong Kong is similar at about 9x.  While this might not raise any eyebrows, if the P/E ratio is not justified investors could be missing out on a potential opportunity or ignoring looming disappointment.     While the market has experienced earnings growth lately, Guangdong Investment's earnings have gone into reverse gear, which is not great.   One possibility is that the P/E is moderate because investors think this poor earnings performance will turn around.  If not, then existing shareholders may be a little nervous about the viability of the share price.     View our latest analysis for Guangdong Investment SEHK:270 Price to Earnings Ratio vs Industry September 24th 2024 Keen to find out how analysts think Guangdong Investment's future stacks up against the industry? In that case, our free report is a great place to start.  Is There Some Growth For Guangdong Investment?   In order to justify its P/E ratio, Guangdong Investment would need to produce growth that's similar to the market.   Retrospectively, the last year delivered a frustrating 31% decrease to the company's bottom line.   This means it has also seen a slide in earnings over the longer-term as EPS is down 39% in total over the last three years.  So unfortunately, we have to acknowledge that the company has not done a great job of growing earnings over that time.     Looking ahead now, EPS is anticipated to climb by 9.0% per year during the coming three years according to the five analysts following the company.  Meanwhile, the rest of the market is forecast to expand by 12% each year, which is noticeably more attractive.  With this information, we find it interesting that Guangdong Investment is trading at a fairly similar P/E to the market.  It seems most investors are ignoring the fairly limited growth expectations and are willing to pay up for exposure to the stock.  Maintaining these prices will be difficult to achieve as this level of earnings growth is likely to weigh down the shares eventually.    The Key Takeaway  While the price-to-earnings ratio shouldn't be the defining factor in whether you buy a stock or not, it's quite a capable barometer of earnings expectations.  Our examination of Guangdong Investment's analyst forecasts revealed that its inferior earnings outlook isn't impacting its P/E as much as we would have predicted.  Right now we are uncomfortable with the P/E as the predicted future earnings aren't likely to support a more positive sentiment for long.  Unless these conditions improve, it's challenging to accept these prices as being reasonable.      Before you settle on your opinion, we've discovered 3 warning signs for Guangdong Investment that you should be aware of.   It's important to make sure you look for a great company, not just the first idea you come across. So take a peek at this free list of interesting companies with strong recent earnings growth (and a low P/E). New: Manage All Your Stock Portfolios in One PlaceWe've created the ultimate portfolio companion for stock investors, and it's free.• Connect an unlimited number of Portfolios and see your total in one currency• Be alerted to new Warning Signs or Risks via email or mobile• Track the Fair Value of your stocksTry a Demo Portfolio for FreeHave feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.","kind":null,"is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"0","news_tag":"","news_rank":0,"symbols":[],"gpt_button":1},"commentList":[],"isCommentEnd":true,"newsSizeData":{"likeSize":0,"commentSize":0,"repostSize":0,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; compatible; ClaudeBot/1.0; +claudebot@anthropic.com)","isDev":false,"isTTM":true,"deviceId":"web-server-community-laohu8-v3","version":"4.29.1","shortVersion":"4.29.1","platform":"web","vendor":"web","appName":"ttm","isIOS":false,"isAndroid":false,"isTiger":false,"isTHS":false,"isWeiXin":false,"isWeiXinMini":false,"isWeiBo":false,"isQQ":false,"isBaiduSwan":false,"isBaiduBox":false,"isDingTalk":false,"isToutiao":false,"isOnePlus":false,"isHuaWei":false,"isXiaomi":false,"isXiaomiWebView":false,"isOppo":false,"isVivo":false,"isSamsung":false,"isMobile":false},"href":"/m/news/2469285463"}