Morgan Stanley China A Share Fund, Inc.
Morgan Stanley China A Share Fund, Inc. Fundamental Analysis
Morgan Stanley China A Share Fund, Inc. (CAF) shows moderate financial fundamentals with a PE ratio of 4.29, profit margin of 5.25%, and ROE of 23.15%. The company generates $0.0B in annual revenue with weak year-over-year growth of 1.16%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 63.9/100 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 CAF's fundamental strength across five key dimensions:
Efficiency Score
ExcellentCAF demonstrates superior asset utilization.
Valuation Score
ExcellentCAF trades at attractive valuation levels.
Growth Score
WeakCAF faces weak or negative growth trends.
Financial Health Score
ModerateCAF shows balanced financial health with some risks.
Profitability Score
WeakCAF struggles to sustain strong margins.
Key Financial Metrics
Is CAF Expensive or Cheap?
P/E Ratio
CAF trades at 4.29 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, CAF's PEG of 0.04 indicates potential undervaluation.
Price to Book
The market values Morgan Stanley China A Share Fund, Inc. at 0.91 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 4.37 times EBITDA. This is generally considered low.
How Well Does CAF Make Money?
Net Profit Margin
For every $100 in sales, Morgan Stanley China A Share Fund, Inc. keeps $5.25 as profit after all expenses.
Operating Margin
Core operations generate 5.22 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $23.15 in profit for every $100 of shareholder equity.
ROA
Morgan Stanley China A Share Fund, Inc. generates $21.23 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Morgan Stanley China A Share Fund, Inc. generates limited operating cash flow of $0.00, signaling weaker underlying cash strength.
Free Cash Flow
Morgan Stanley China A Share Fund, Inc. generates weak or negative free cash flow of $0.00, restricting financial flexibility.
FCF Per Share
Each share generates $0.00 in free cash annually.
FCF Yield
CAF converts 0.00% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
4.29
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.04
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.91
vs 25 benchmark
P/S Ratio
Price to sales ratio
22.59
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.00
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.00
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.23
vs 25 benchmark
ROA
Return on assets percentage
0.21
vs 25 benchmark
ROCE
Return on capital employed
0.21
vs 25 benchmark
How CAF Stacks Against Its Sector Peers
| Metric | CAF Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 4.29 | 18.50 | Better (Cheaper) |
| ROE | 23.15% | 809.00% | Weak |
| Net Margin | 524.73% | 2211.00% | Weak |
| Debt/Equity | 0.00 | 0.90 | Strong (Low Leverage) |
| Current Ratio | 0.00 | 691.82 | Weak Liquidity |
| ROA | 21.23% | -24320.00% (disorted) | Strong |
CAF outperforms its industry in 3 out of 6 key metrics, particularly excelling in ROA, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Morgan Stanley China A Share Fund, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-72.38%
Industry Style: Value, Dividend, Cyclical
DecliningEPS CAGR
48.05%
Industry Style: Value, Dividend, Cyclical
High GrowthFCF CAGR
0.00%
Industry Style: Value, Dividend, Cyclical
Declining