China Resources Beer (Holdings) Company Limited
China Resources Beer (Holdings) Company Limited Fundamental Analysis
China Resources Beer (Holdings) Company Limited (CRHKY) shows weak financial fundamentals with a PE ratio of 24.96, profit margin of 10.90%, and ROE of 8.63%. The company generates $26.9B in annual revenue with weak year-over-year growth of -0.76%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 42.0/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze CRHKY's fundamental strength across five key dimensions:
Efficiency Score
WeakCRHKY struggles to generate sufficient returns from assets.
Valuation Score
ExcellentCRHKY trades at attractive valuation levels.
Growth Score
WeakCRHKY faces weak or negative growth trends.
Financial Health Score
ModerateCRHKY shows balanced financial health with some risks.
Profitability Score
WeakCRHKY struggles to sustain strong margins.
Key Financial Metrics
Is CRHKY Expensive or Cheap?
P/E Ratio
CRHKY trades at 24.96 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, CRHKY's PEG of -0.09 indicates potential undervaluation.
Price to Book
The market values China Resources Beer (Holdings) Company Limited at 2.02 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 12.94 times EBITDA. This signals the market has high growth expectations.
How Well Does CRHKY Make Money?
Net Profit Margin
For every $100 in sales, China Resources Beer (Holdings) Company Limited keeps $10.90 as profit after all expenses.
Operating Margin
Core operations generate 11.53 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $8.63 in profit for every $100 of shareholder equity.
ROA
China Resources Beer (Holdings) Company Limited generates $4.11 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
China Resources Beer (Holdings) Company Limited produces operating cash flow of $4.10B, showing steady but balanced cash generation.
Free Cash Flow
China Resources Beer (Holdings) Company Limited produces free cash flow of $2.28B, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $1.41 in free cash annually.
FCF Yield
CRHKY converts 3.12% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
24.96
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.09
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.02
vs 25 benchmark
P/S Ratio
Price to sales ratio
2.72
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.03
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.83
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.09
vs 25 benchmark
ROA
Return on assets percentage
0.04
vs 25 benchmark
ROCE
Return on capital employed
0.07
vs 25 benchmark
How CRHKY Stacks Against Its Sector Peers
| Metric | CRHKY Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 24.96 | 22.56 | Worse (Expensive) |
| ROE | 8.63% | 1288.00% | Weak |
| Net Margin | 10.90% | -5952.00% (disorted) | Strong |
| Debt/Equity | 0.03 | 0.81 | Strong (Low Leverage) |
| Current Ratio | 0.83 | 2.41 | Weak Liquidity |
| ROA | 4.11% | -197304.00% (disorted) | Weak |
CRHKY outperforms its industry in 2 out of 6 key metrics, particularly excelling in Net Margin, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews China Resources Beer (Holdings) Company Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
16.41%
Industry Style: Defensive, Dividend, Low Volatility
High GrowthEPS CAGR
261.20%
Industry Style: Defensive, Dividend, Low Volatility
High GrowthFCF CAGR
51.06%
Industry Style: Defensive, Dividend, Low Volatility
High Growth