Cloud Music Inc.
Cloud Music Inc. Fundamental Analysis
Cloud Music Inc. (9899.HK) shows moderate financial fundamentals with a PE ratio of 10.69, profit margin of 39.21%, and ROE of 19.72%. The company generates $5.7B in annual revenue with N/A year-over-year growth of N/A.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 86.1/100 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 9899.HK's fundamental strength across five key dimensions:
Efficiency Score
Excellent9899.HK demonstrates superior asset utilization.
Valuation Score
Excellent9899.HK trades at attractive valuation levels.
Growth Score
Moderate9899.HK shows steady but slowing expansion.
Financial Health Score
Excellent9899.HK maintains a strong and stable balance sheet.
Profitability Score
Excellent9899.HK achieves industry-leading margins.
Key Financial Metrics
Is 9899.HK Expensive or Cheap?
P/E Ratio
9899.HK trades at 10.69 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, 9899.HK's PEG of 0.47 indicates potential undervaluation.
Price to Book
The market values Cloud Music Inc. at 1.99 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 23.15 times EBITDA. This signals the market has high growth expectations.
How Well Does 9899.HK Make Money?
Net Profit Margin
For every $100 in sales, Cloud Music Inc. keeps $39.21 as profit after all expenses.
Operating Margin
Core operations generate 19.59 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $19.72 in profit for every $100 of shareholder equity.
ROA
Cloud Music Inc. generates $14.79 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Cloud Music Inc. produces operating cash flow of $591.73M, showing steady but balanced cash generation.
Free Cash Flow
Cloud Music Inc. generates strong free cash flow of $591.20M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $2.80 in free cash annually.
FCF Yield
9899.HK converts 2.48% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
10.69
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.47
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.99
vs 25 benchmark
P/S Ratio
Price to sales ratio
4.16
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.00
vs 25 benchmark
Current Ratio
Current assets to current liabilities
4.17
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.20
vs 25 benchmark
ROA
Return on assets percentage
0.15
vs 25 benchmark
ROCE
Return on capital employed
0.09
vs 25 benchmark
How 9899.HK Stacks Against Its Sector Peers
| Metric | 9899.HK Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 10.69 | 33.61 | Better (Cheaper) |
| ROE | 19.72% | 1020.00% | Weak |
| Net Margin | 39.21% | -56528.00% (disorted) | Strong |
| Debt/Equity | 0.00 | 0.45 | Strong (Low Leverage) |
| Current Ratio | 4.17 | 5.65 | Strong Liquidity |
| ROA | 14.79% | -291484.00% (disorted) | Strong |
9899.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 Cloud Music Inc.'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