China Science and Education Industry Group Limited
China Science and Education Industry Group Limited Fundamental Analysis
China Science and Education Industry Group Limited (1756.HK) shows strong financial fundamentals with a PE ratio of 1.34, profit margin of 31.71%, and ROE of 10.92%. The company generates $1.4B in annual revenue with strong year-over-year growth of 17.10%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 61.7/100 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 1756.HK's fundamental strength across five key dimensions:
Efficiency Score
Weak1756.HK struggles to generate sufficient returns from assets.
Valuation Score
Excellent1756.HK trades at attractive valuation levels.
Growth Score
Excellent1756.HK delivers strong and consistent growth momentum.
Financial Health Score
Moderate1756.HK shows balanced financial health with some risks.
Profitability Score
Moderate1756.HK maintains healthy but balanced margins.
Key Financial Metrics
Is 1756.HK Expensive or Cheap?
P/E Ratio
1756.HK trades at 1.34 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, 1756.HK's PEG of -0.60 indicates potential undervaluation.
Price to Book
The market values China Science and Education Industry Group Limited at 0.14 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at -0.59 times EBITDA. This is generally considered low.
How Well Does 1756.HK Make Money?
Net Profit Margin
For every $100 in sales, China Science and Education Industry Group Limited keeps $31.71 as profit after all expenses.
Operating Margin
Core operations generate 36.30 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $10.92 in profit for every $100 of shareholder equity.
ROA
China Science and Education Industry Group Limited generates $5.73 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
China Science and Education Industry Group Limited generates strong operating cash flow of $776.19M, reflecting robust business health.
Free Cash Flow
China Science and Education Industry Group Limited generates strong free cash flow of $322.28M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $0.27 in free cash annually.
FCF Yield
1756.HK converts 52.76% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
1.34
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.60
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.14
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.42
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.48
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.62
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.11
vs 25 benchmark
ROA
Return on assets percentage
0.06
vs 25 benchmark
ROCE
Return on capital employed
0.08
vs 25 benchmark
How 1756.HK Stacks Against Its Sector Peers
| Metric | 1756.HK Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 1.34 | 22.36 | Better (Cheaper) |
| ROE | 10.92% | 1238.00% | Weak |
| Net Margin | 31.71% | -5096.00% (disorted) | Strong |
| Debt/Equity | 0.48 | 1.23 | Strong (Low Leverage) |
| Current Ratio | 0.62 | 2.47 | Weak Liquidity |
| ROA | 5.73% | -191998.00% (disorted) | Weak |
1756.HK outperforms its industry in 3 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews China Science and Education Industry Group Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
87.99%
Industry Style: Defensive, Dividend, Low Volatility
High GrowthEPS CAGR
102.22%
Industry Style: Defensive, Dividend, Low Volatility
High GrowthFCF CAGR
52.26%
Industry Style: Defensive, Dividend, Low Volatility
High Growth