MONEY MASTER

China Southern Airlines (HKG:1055) shares have gained  29% over the past 12 months , a solid return but still trailing the broader market. Longer-term holders have seen less upside, with the stock down  11% over three years . Revenue Growth: The airline’s revenue rose just  1.5% last year , a modest figure given it is still loss-making. Investors may be betting on future profitability, with revenue growth often seen as a leading indicator for earnings potential. Market Perspective: The  29% one-year return  outperforms the company’s  five-year average annual return of 0.3% , suggesting improving sentiment. Analysts continue to cover the stock closely, signaling some confidence in its recovery trajectory. Summary:  China Southern Airlines has rewarded investors with a strong one-year gain despite limited revenue growth, but its long-term performance still lags. The next step will depend on whether the airline can convert revenue gains into consistent pr...

Bank of Tianjin Co., Ltd. (HKG:1578) delivered a  42% share price gain  over the past year, significantly outperforming its earnings per share (EPS) growth of just  1.2% . The total shareholder return (TSR), which includes dividends, was even higher at  54% , suggesting strong investor sentiment despite modest underlying profit growth. Market Sentiment Boost The sharp rise in the stock compared to earnings growth indicates the market now places a higher value on the company than a year ago. Over three years, the share price is up  20% , showing steady but slower long-term performance. Dividends Matter TSR outpacing share price return highlights the role of dividends in boosting investor gains. Bank of Tianjin’s consistent payouts contributed significantly to the overall return. CEO Pay and Fundamentals The company’s CEO earns less than peers at similar-sized banks, which some investors view positively. However, the key question remains whether the bank can accel...

China Suntien Green Energy has been a  five-year stock market darling , returning a stunning  +189%  to long-term shareholders. But behind the impressive share price rally, a key metric is raising red flags. Return on Capital Employed (ROCE): A Closer Look ROCE is a valuable measure that tells us  how effectively a company reinvests its profits . Ideally, we want to see companies not only reinvesting — but doing so at  increasing rates of return . Unfortunately,  that’s not what’s happening here . ROCE = 6.0% , based on EBIT of CN¥3.8B and capital employed of CN¥64B. Down from 7.8% five years ago. That’s a  declining trend , and while 6% is close to the industry average, it’s  not compelling  — especially in the high-growth world of green energy. Capital Is Going In, But Not Much Is Coming Out Suntien  is  increasing its capital base — but  sales have barely budged  over the past 12 months. This might mean: Management is i...

While many HK construction stocks are trading at rock-bottom valuations,  Central New Energy Holding Group (HKG:1735)  is going the other way — and investors are  still  buying.   P/S Ratio: 5.8x That’s nearly  20x higher  than the sector median. Insane? Not if you’re buying  future growth. What's the Hype? +50% YoY revenue growth +110% revenue forecast  for next year — vs just 16% industry average 3-year compound growth? Incredible. This isn’t a turnaround story. It’s a  momentum machine.  And if the lone analyst covering the stock is right, that momentum is just getting started. So What’s Priced In? Yes, the stock  looks  expensive — but  high P/S doesn’t always mean overvalued.  In this case, the market is betting: This company isn’t just  riding  the clean energy wave — it’s  steering it Revenue is sticky and scalable The risks of reversal are low (for now) The high multiple  only makes se...