Wanguo Gold Group Limited
Wanguo Gold Group Limited Fundamental Analysis
Wanguo Gold Group Limited (3939.HK) shows strong financial fundamentals with a PE ratio of 9.73, profit margin of 42.90%, and ROE of 32.65%. The company generates $12.6B in annual revenue with strong year-over-year growth of 42.60%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 85.8/100 based on profitability, valuation, growth, and balance sheet metrics. The B+ grade reflects solid fundamentals with room for improvement in valuation or growth.
Fundamental Health Score
We analyze 3939.HK's fundamental strength across five key dimensions:
Efficiency Score
Excellent3939.HK demonstrates superior asset utilization.
Valuation Score
Excellent3939.HK trades at attractive valuation levels.
Growth Score
Excellent3939.HK delivers strong and consistent growth momentum.
Financial Health Score
Excellent3939.HK maintains a strong and stable balance sheet.
Profitability Score
Excellent3939.HK achieves industry-leading margins.
Key Financial Metrics
Is 3939.HK Expensive or Cheap?
P/E Ratio
3939.HK trades at 9.73 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, 3939.HK's PEG of 0.04 indicates potential undervaluation.
Price to Book
The market values Wanguo Gold Group Limited at 2.77 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 25.66 times EBITDA. This signals the market has high growth expectations.
How Well Does 3939.HK Make Money?
Net Profit Margin
For every $100 in sales, Wanguo Gold Group Limited keeps $42.90 as profit after all expenses.
Operating Margin
Core operations generate 62.92 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $32.65 in profit for every $100 of shareholder equity.
ROA
Wanguo Gold Group Limited generates $21.50 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Wanguo Gold Group Limited generates strong operating cash flow of $4.32B, reflecting robust business health.
Free Cash Flow
Wanguo Gold Group Limited generates strong free cash flow of $3.12B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $0.71 in free cash annually.
FCF Yield
3939.HK converts 1.47% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
9.73
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.04
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.77
vs 25 benchmark
P/S Ratio
Price to sales ratio
16.85
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.03
vs 25 benchmark
Current Ratio
Current assets to current liabilities
5.24
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.33
vs 25 benchmark
ROA
Return on assets percentage
0.21
vs 25 benchmark
ROCE
Return on capital employed
0.36
vs 25 benchmark
How 3939.HK Stacks Against Its Sector Peers
| Metric | 3939.HK Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 9.73 | 24.08 | Better (Cheaper) |
| ROE | 32.65% | 921.00% | Weak |
| Net Margin | 42.90% | -113338.00% (disorted) | Strong |
| Debt/Equity | 0.03 | 0.53 | Strong (Low Leverage) |
| Current Ratio | 5.24 | 5.09 | Strong Liquidity |
| ROA | 21.50% | -9816.00% (disorted) | Strong |
3939.HK outperforms its industry in 5 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Wanguo Gold Group Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
395.26%
Industry Style: Cyclical, Commodity, Value
High GrowthEPS CAGR
751.19%
Industry Style: Cyclical, Commodity, Value
High GrowthFCF CAGR
403.55%
Industry Style: Cyclical, Commodity, Value
High Growth