China Feihe Limited
China Feihe Limited Fundamental Analysis
China Feihe Limited (6186.HK) shows moderate financial fundamentals with a PE ratio of 14.37, profit margin of 10.71%, and ROE of 7.69%. The company generates $18.1B in annual revenue with moderate year-over-year growth of 6.23%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 51.8/100 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 6186.HK's fundamental strength across five key dimensions:
Efficiency Score
Weak6186.HK struggles to generate sufficient returns from assets.
Valuation Score
Excellent6186.HK trades at attractive valuation levels.
Growth Score
Excellent6186.HK delivers strong and consistent growth momentum.
Financial Health Score
Excellent6186.HK maintains a strong and stable balance sheet.
Profitability Score
Weak6186.HK struggles to sustain strong margins.
Key Financial Metrics
Is 6186.HK Expensive or Cheap?
P/E Ratio
6186.HK trades at 14.37 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, 6186.HK's PEG of -0.59 indicates potential undervaluation.
Price to Book
The market values China Feihe Limited at 1.13 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 10.25 times EBITDA. This signals the market has high growth expectations.
How Well Does 6186.HK Make Money?
Net Profit Margin
For every $100 in sales, China Feihe Limited keeps $10.71 as profit after all expenses.
Operating Margin
Core operations generate 16.20 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $7.69 in profit for every $100 of shareholder equity.
ROA
China Feihe Limited generates $5.65 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
China Feihe Limited produces operating cash flow of $2.71B, showing steady but balanced cash generation.
Free Cash Flow
China Feihe Limited produces free cash flow of $1.29B, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $0.14 in free cash annually.
FCF Yield
6186.HK converts 4.60% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
14.37
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.59
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.13
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.55
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.04
vs 25 benchmark
Current Ratio
Current assets to current liabilities
3.001
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.08
vs 25 benchmark
ROA
Return on assets percentage
0.06
vs 25 benchmark
ROCE
Return on capital employed
0.11
vs 25 benchmark
How 6186.HK Stacks Against Its Sector Peers
| Metric | 6186.HK Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 14.37 | 22.37 | Better (Cheaper) |
| ROE | 7.69% | 1250.00% | Weak |
| Net Margin | 10.71% | -5215.00% (disorted) | Strong |
| Debt/Equity | 0.04 | 1.23 | Strong (Low Leverage) |
| Current Ratio | 3.00 | 2.47 | Strong Liquidity |
| ROA | 5.65% | -193095.00% (disorted) | Weak |
6186.HK outperforms its industry in 4 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 Feihe Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
36.32%
Industry Style: Defensive, Dividend, Low Volatility
High GrowthEPS CAGR
-18.20%
Industry Style: Defensive, Dividend, Low Volatility
DecliningFCF CAGR
-27.27%
Industry Style: Defensive, Dividend, Low Volatility
Declining