Nongfu Spring Co., Ltd.
Nongfu Spring Co., Ltd. Fundamental Analysis
Nongfu Spring Co., Ltd. (NNFSF) shows moderate financial fundamentals with a PE ratio of 31.44, profit margin of 30.19%, and ROE of 44.40%. The company generates $52.1B in annual revenue with weak year-over-year growth of 0.54%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 60.8/100 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 NNFSF's fundamental strength across five key dimensions:
Efficiency Score
ExcellentNNFSF demonstrates superior asset utilization.
Valuation Score
ModerateNNFSF shows balanced valuation metrics.
Growth Score
WeakNNFSF faces weak or negative growth trends.
Financial Health Score
ExcellentNNFSF maintains a strong and stable balance sheet.
Profitability Score
ExcellentNNFSF achieves industry-leading margins.
Key Financial Metrics
Is NNFSF Expensive or Cheap?
P/E Ratio
NNFSF trades at 31.44 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, NNFSF's PEG of 0.10 indicates potential undervaluation.
Price to Book
The market values Nongfu Spring Co., Ltd. at 12.52 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 22.10 times EBITDA. This signals the market has high growth expectations.
How Well Does NNFSF Make Money?
Net Profit Margin
For every $100 in sales, Nongfu Spring Co., Ltd. keeps $30.19 as profit after all expenses.
Operating Margin
Core operations generate 36.98 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $44.40 in profit for every $100 of shareholder equity.
ROA
Nongfu Spring Co., Ltd. generates $24.13 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Nongfu Spring Co., Ltd. generates strong operating cash flow of $13.15B, reflecting robust business health.
Free Cash Flow
Nongfu Spring Co., Ltd. generates strong free cash flow of $8.14B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $0.72 in free cash annually.
FCF Yield
NNFSF converts 1.65% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
31.44
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.10
vs 25 benchmark
P/B Ratio
Price to book value ratio
12.52
vs 25 benchmark
P/S Ratio
Price to sales ratio
9.49
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.11
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.07
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.44
vs 25 benchmark
ROA
Return on assets percentage
0.24
vs 25 benchmark
ROCE
Return on capital employed
0.48
vs 25 benchmark
How NNFSF Stacks Against Its Sector Peers
| Metric | NNFSF Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 31.44 | 22.46 | Worse (Expensive) |
| ROE | 44.40% | 1263.00% | Weak |
| Net Margin | 30.19% | -5460.00% (disorted) | Strong |
| Debt/Equity | 0.11 | 1.24 | Strong (Low Leverage) |
| Current Ratio | 1.07 | 2.47 | Neutral |
| ROA | 24.13% | -192347.00% (disorted) | Strong |
NNFSF outperforms its industry in 3 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 Nongfu Spring Co., Ltd.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
71.50%
Industry Style: Defensive, Dividend, Low Volatility
High GrowthEPS CAGR
135.27%
Industry Style: Defensive, Dividend, Low Volatility
High GrowthFCF CAGR
41.67%
Industry Style: Defensive, Dividend, Low Volatility
High Growth