Huatai Securities Co., Ltd.
Huatai Securities Co., Ltd. Fundamental Analysis
Huatai Securities Co., Ltd. (HUATF) shows moderate financial fundamentals with a PE ratio of 8.41, profit margin of 39.59%, and ROE of 7.87%. The company generates $38.8B in annual revenue with moderate year-over-year growth of 4.19%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 45.0/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze HUATF's fundamental strength across five key dimensions:
Efficiency Score
WeakHUATF struggles to generate sufficient returns from assets.
Valuation Score
ExcellentHUATF trades at attractive valuation levels.
Growth Score
WeakHUATF faces weak or negative growth trends.
Financial Health Score
ModerateHUATF shows balanced financial health with some risks.
Profitability Score
ModerateHUATF maintains healthy but balanced margins.
Key Financial Metrics
Is HUATF Expensive or Cheap?
P/E Ratio
HUATF trades at 8.41 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, HUATF's PEG of 0.05 indicates potential undervaluation.
Price to Book
The market values Huatai Securities Co., Ltd. at 0.64 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 21.95 times EBITDA. This signals the market has high growth expectations.
How Well Does HUATF Make Money?
Net Profit Margin
For every $100 in sales, Huatai Securities Co., Ltd. keeps $39.59 as profit after all expenses.
Operating Margin
Core operations generate 45.25 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $7.87 in profit for every $100 of shareholder equity.
ROA
Huatai Securities Co., Ltd. generates $1.31 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Huatai Securities Co., Ltd. generates strong operating cash flow of $19.54B, reflecting robust business health.
Free Cash Flow
Huatai Securities Co., Ltd. generates strong free cash flow of $18.33B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $2.03 in free cash annually.
FCF Yield
HUATF converts 14.81% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
8.41
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.05
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.64
vs 25 benchmark
P/S Ratio
Price to sales ratio
3.19
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
1.51
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.14
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.08
vs 25 benchmark
ROA
Return on assets percentage
0.01
vs 25 benchmark
ROCE
Return on capital employed
0.02
vs 25 benchmark
How HUATF Stacks Against Its Sector Peers
| Metric | HUATF Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 8.41 | 18.83 | Better (Cheaper) |
| ROE | 7.87% | 822.00% | Weak |
| Net Margin | 39.59% | 2005.00% | Weak |
| Debt/Equity | 1.51 | 1.01 | Weak (High Leverage) |
| Current Ratio | 2.14 | 673.11 | Strong Liquidity |
| ROA | 1.31% | -23560.00% (disorted) | Weak |
HUATF outperforms its industry in 2 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Huatai Securities Co., Ltd.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
22.69%
Industry Style: Value, Dividend, Cyclical
High GrowthEPS CAGR
44.30%
Industry Style: Value, Dividend, Cyclical
High GrowthFCF CAGR
-146.09%
Industry Style: Value, Dividend, Cyclical
Declining