Advertisement

Ads Placeholder
Loading...

Putian Communication Group Limited

1720.HKHKSE
Technology
Communication Equipment
HK$0.55
HK$0.01(1.85%)
Hong Kong Market opens in 63h 55m

Putian Communication Group Limited Fundamental Analysis

Putian Communication Group Limited (1720.HK) shows weak financial fundamentals with a PE ratio of 25.08, profit margin of 3.11%, and ROE of 3.54%. The company generates $0.7B in annual revenue with N/A year-over-year growth of N/A.

Key Strengths

Current Ratio1.70

Areas of Concern

ROE3.54%
Operating Margin0.92%
We analyze 1720.HK's fundamental strength across five key dimensions.

The stock receives a Fundamental Health Score of 35.6/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.

Fundamental Health Score

F
35.6/100

We analyze 1720.HK's fundamental strength across five key dimensions:

Efficiency Score

Weak

1720.HK struggles to generate sufficient returns from assets.

ROA > 10%
1.80%

Valuation Score

Moderate

1720.HK shows balanced valuation metrics.

PE < 25
25.08
PEG Ratio < 2
2.00

Growth Score

Moderate

1720.HK shows steady but slowing expansion.

Revenue Growth > 5%
N/A
EPS Growth > 10%
N/A

Financial Health Score

Excellent

1720.HK maintains a strong and stable balance sheet.

Debt/Equity < 1
0.60
Current Ratio > 1
1.70

Profitability Score

Weak

1720.HK struggles to sustain strong margins.

ROE > 15%
3.54%
Net Margin ≥ 15%
3.11%
Positive Free Cash Flow
Yes

Key Financial Metrics

Is 1720.HK Expensive or Cheap?

P/E Ratio

1720.HK trades at 25.08 times earnings. This indicates a fair valuation.

25.08

PEG Ratio

When adjusting for growth, 1720.HK's PEG of 2.00 indicates fair valuation.

2.00

Price to Book

The market values Putian Communication Group Limited at 0.88 times its book value. This may indicate undervaluation.

0.88

EV/EBITDA

Enterprise value stands at 2.71 times EBITDA. This is generally considered low.

2.71

How Well Does 1720.HK Make Money?

Net Profit Margin

For every $100 in sales, Putian Communication Group Limited keeps $3.11 as profit after all expenses.

3.11%

Operating Margin

Core operations generate 0.92 in profit for every $100 in revenue, before interest and taxes.

0.92%

ROE

Management delivers $3.54 in profit for every $100 of shareholder equity.

3.54%

ROA

Putian Communication Group Limited generates $1.80 in profit for every $100 in assets, demonstrating efficient asset deployment.

1.80%

Following the Money - Real Cash Generation

Operating Cash Flow

Putian Communication Group Limited generates limited operating cash flow of $45.92M, signaling weaker underlying cash strength.

$45.92M

Free Cash Flow

Putian Communication Group Limited produces free cash flow of $53.14M, offering steady but limited capital for shareholder returns and expansion.

$53.14M

FCF Per Share

Each share generates $0.05 in free cash annually.

$0.05

FCF Yield

1720.HK converts 10.01% of its market value into free cash.

10.01%

Financial Ratios Analysis

Valuation Ratios

P/E Ratio

Price to earnings ratio

25.08

vs 25 benchmark

PEG Ratio

Price/earnings to growth ratio

2.00

vs 25 benchmark

P/B Ratio

Price to book value ratio

0.88

vs 25 benchmark

P/S Ratio

Price to sales ratio

0.78

vs 25 benchmark

Financial Health

Debt/Equity

Total debt to shareholders' equity

0.60

vs 25 benchmark

Current Ratio

Current assets to current liabilities

1.70

vs 25 benchmark

Efficiency Ratios

ROE

Return on equity percentage

0.04

vs 25 benchmark

ROA

Return on assets percentage

0.02

vs 25 benchmark

ROCE

Return on capital employed

0.009

vs 25 benchmark

How 1720.HK Stacks Against Its Sector Peers

Metric1720.HK ValueSector AveragePerformance
P/E Ratio25.0834.22 Better (Cheaper)
ROE3.54%1033.00% Weak
Net Margin3.11%-48141.00% (disorted) Weak
Debt/Equity0.600.44 Weak (High Leverage)
Current Ratio1.705.66 Neutral
ROA1.80%-288982.00% (disorted) Weak

1720.HK outperforms its industry in 1 out of 6 key metrics, but lagging in ROE.

Historical Growth Performance

5-Year Growth Trajectory

This section reviews Putian Communication Group 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: Growth, Innovation, High Beta

EPS CAGR

N/A

Industry Style: Growth, Innovation, High Beta

FCF CAGR

N/A

Industry Style: Growth, Innovation, High Beta

Fundamental Analysis FAQ