Central China Securities Co., Ltd.
Central China Securities Co., Ltd. Fundamental Analysis
Central China Securities Co., Ltd. (1375.HK) shows moderate financial fundamentals with a PE ratio of 16.28, profit margin of 18.45%, and ROE of 3.19%. The company generates $4.7B in annual revenue with strong year-over-year growth of 26.08%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 50.8/100 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 1375.HK's fundamental strength across five key dimensions:
Efficiency Score
Weak1375.HK struggles to generate sufficient returns from assets.
Valuation Score
Excellent1375.HK trades at attractive valuation levels.
Growth Score
Excellent1375.HK delivers strong and consistent growth momentum.
Financial Health Score
Moderate1375.HK shows balanced financial health with some risks.
Profitability Score
Moderate1375.HK maintains healthy but balanced margins.
Key Financial Metrics
Is 1375.HK Expensive or Cheap?
P/E Ratio
1375.HK trades at 16.28 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, 1375.HK's PEG of -9.29 indicates potential undervaluation.
Price to Book
The market values Central China Securities Co., Ltd. at 0.51 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at -7.63 times EBITDA. This is generally considered low.
How Well Does 1375.HK Make Money?
Net Profit Margin
For every $100 in sales, Central China Securities Co., Ltd. keeps $18.45 as profit after all expenses.
Operating Margin
Core operations generate 24.46 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $3.19 in profit for every $100 of shareholder equity.
ROA
Central China Securities Co., Ltd. generates $0.78 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Central China Securities Co., Ltd. generates strong operating cash flow of $14.13B, reflecting robust business health.
Free Cash Flow
Central China Securities Co., Ltd. generates strong free cash flow of $13.79B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $1.56 in free cash annually.
FCF Yield
1375.HK converts 51.11% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
16.28
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-9.29
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.51
vs 25 benchmark
P/S Ratio
Price to sales ratio
5.74
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
1.39
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.08
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.03
vs 25 benchmark
ROA
Return on assets percentage
0.008
vs 25 benchmark
ROCE
Return on capital employed
0.01
vs 25 benchmark
How 1375.HK Stacks Against Its Sector Peers
| Metric | 1375.HK Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 16.28 | 18.56 | Better (Cheaper) |
| ROE | 3.19% | 828.00% | Weak |
| Net Margin | 18.45% | -175.00% (disorted) | Strong |
| Debt/Equity | 1.39 | 1.00 | Weak (High Leverage) |
| Current Ratio | 1.08 | 663.54 | Neutral |
| ROA | 0.78% | -21308.00% (disorted) | Weak |
1375.HK outperforms its industry in 2 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Central China Securities Co., Ltd.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-11.30%
Industry Style: Value, Dividend, Cyclical
DecliningEPS CAGR
252.20%
Industry Style: Value, Dividend, Cyclical
High GrowthFCF CAGR
-0.33%
Industry Style: Value, Dividend, Cyclical
Declining