China Renewable Energy Investment Limited Fundamental Analysis
China Renewable Energy Investment Limited Fundamental Analysis
China Renewable Energy Investment Limited (0987.HK) shows weak financial fundamentals with a PE ratio of 140.77, profit margin of 2.60%, and ROE of 0.17%. The company generates $0.1B in annual revenue with N/A year-over-year growth of N/A.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 39.0/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze 0987.HK's fundamental strength across five key dimensions:
Efficiency Score
Weak0987.HK struggles to generate sufficient returns from assets.
Valuation Score
Moderate0987.HK shows balanced valuation metrics.
Growth Score
Moderate0987.HK shows steady but slowing expansion.
Financial Health Score
Excellent0987.HK maintains a strong and stable balance sheet.
Profitability Score
Moderate0987.HK maintains healthy but balanced margins.
Key Financial Metrics
Is 0987.HK Expensive or Cheap?
P/E Ratio
0987.HK trades at 140.77 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, 0987.HK's PEG of -1.75 indicates potential undervaluation.
Price to Book
The market values China Renewable Energy Investment Limited at 0.24 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 9.12 times EBITDA. This is generally considered low.
How Well Does 0987.HK Make Money?
Net Profit Margin
For every $100 in sales, China Renewable Energy Investment Limited keeps $2.60 as profit after all expenses.
Operating Margin
Core operations generate 0.26 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $0.17 in profit for every $100 of shareholder equity.
ROA
China Renewable Energy Investment Limited generates $0.15 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
China Renewable Energy Investment Limited generates strong operating cash flow of $201.73M, reflecting robust business health.
Free Cash Flow
China Renewable Energy Investment Limited generates strong free cash flow of $197.04M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $0.08 in free cash annually.
FCF Yield
0987.HK converts 42.80% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
140.77
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-1.75
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.24
vs 25 benchmark
P/S Ratio
Price to sales ratio
3.67
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.11
vs 25 benchmark
Current Ratio
Current assets to current liabilities
8.80
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.002
vs 25 benchmark
ROA
Return on assets percentage
0.001
vs 25 benchmark
ROCE
Return on capital employed
0.00
vs 25 benchmark
How 0987.HK Stacks Against Its Sector Peers
| Metric | 0987.HK Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 140.77 | 20.78 | Worse (Expensive) |
| ROE | 0.17% | 927.00% | Weak |
| Net Margin | 2.60% | 838.00% | Weak |
| Debt/Equity | 0.11 | 1.52 | Strong (Low Leverage) |
| Current Ratio | 8.80 | 1.62 | Strong Liquidity |
| ROA | 0.15% | 2238.00% | Weak |
0987.HK outperforms its industry in 2 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews China Renewable Energy Investment Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
N/A
Industry Style: Defensive, Dividend, Income
EPS CAGR
N/A
Industry Style: Defensive, Dividend, Income
FCF CAGR
N/A
Industry Style: Defensive, Dividend, Income