Semiconductor Manufacturing International Corporation Fundamental Analysis (HKSE: 0981.HK)
Semiconductor Manufacturing International Corporation Fundamental Analysis (HKSE: 0981.HK)
Semiconductor Manufacturing International Corporation (HKSE: 0981.HK) shows moderate financial fundamentals with a PE ratio of 66.62, profit margin of 10.14%, and ROE of 4.73%. The company generates $13.1B in annual revenue with strong year-over-year growth of 16.15%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 51.9/100 based on profitability, valuation, growth, and balance sheet metrics. The C grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze 0981.HK's fundamental strength across five key dimensions:
Efficiency Score
Weak0981.HK struggles to generate sufficient returns from assets.
Valuation Score
Weak0981.HK trades at a premium to fair value.
Growth Score
Excellent0981.HK delivers strong and consistent growth momentum.
Financial Health Score
Excellent0981.HK maintains a strong and stable balance sheet.
Profitability Score
Weak0981.HK struggles to sustain strong margins.
Key Financial Metrics
Is 0981.HK Expensive or Cheap?
P/E Ratio
0981.HK trades at 66.62 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, 0981.HK's PEG of 5.87 indicates potential overvaluation.
Price to Book
The market values Semiconductor Manufacturing International Corporation at 2.81 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 17.80 times EBITDA. This signals the market has high growth expectations.
How Well Does 0981.HK Make Money?
Net Profit Margin
For every $100 in sales, Semiconductor Manufacturing International Corporation keeps $10.14 as profit after all expenses.
Operating Margin
Core operations generate 10.32 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $4.73 in profit for every $100 of shareholder equity.
ROA
Semiconductor Manufacturing International Corporation generates $1.85 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Semiconductor Manufacturing International Corporation generates strong operating cash flow of $7.15B, reflecting robust business health.
Free Cash Flow
Semiconductor Manufacturing International Corporation generates weak or negative free cash flow of $-2.78B, restricting financial flexibility.
FCF Per Share
Each share generates $-0.28 in free cash annually.
FCF Yield
0981.HK converts -2.49% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
66.62
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
5.87
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.81
vs 25 benchmark
P/S Ratio
Price to sales ratio
8.49
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.56
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.87
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.05
vs 25 benchmark
ROA
Return on assets percentage
0.02
vs 25 benchmark
ROCE
Return on capital employed
0.02
vs 25 benchmark
How 0981.HK Stacks Against Its Sector Peers
| Metric | 0981.HK Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 66.62 | 34.60 | Worse (Expensive) |
| ROE | 4.73% | 758.00% | Weak |
| Net Margin | 10.14% | -3155.00% (disorted) | Strong |
| Debt/Equity | 0.56 | 0.59 | Neutral |
| Current Ratio | 1.87 | 6.17 | Neutral |
| ROA | 1.85% | 316.00% | Weak |
0981.HK outperforms its industry in 1 out of 6 key metrics, particularly excelling in Net Margin, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Semiconductor Manufacturing International Corporation's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
102.41%
Industry Style: Growth, Innovation, High Beta
High GrowthEPS CAGR
-18.82%
Industry Style: Growth, Innovation, High Beta
DecliningFCF CAGR
77.82%
Industry Style: Growth, Innovation, High Beta
High Growth