Sunny Optical Technology (Group) Company Limited Fundamental Analysis
Sunny Optical Technology (Group) Company Limited Fundamental Analysis
Sunny Optical Technology (Group) Company Limited (SOTGY) shows moderate financial fundamentals with a PE ratio of 15.97, profit margin of 10.71%, and ROE of 16.61%. The company generates $42.6B in annual revenue with strong year-over-year growth of 20.87%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 82.3/100 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 SOTGY's fundamental strength across five key dimensions:
Efficiency Score
WeakSOTGY struggles to generate sufficient returns from assets.
Valuation Score
ExcellentSOTGY trades at attractive valuation levels.
Growth Score
ModerateSOTGY shows steady but slowing expansion.
Financial Health Score
ExcellentSOTGY maintains a strong and stable balance sheet.
Profitability Score
ModerateSOTGY maintains healthy but balanced margins.
Key Financial Metrics
Is SOTGY Expensive or Cheap?
P/E Ratio
SOTGY trades at 15.97 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, SOTGY's PEG of 0.03 indicates potential undervaluation.
Price to Book
The market values Sunny Optical Technology (Group) Company Limited at 2.51 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 11.33 times EBITDA. This signals the market has high growth expectations.
How Well Does SOTGY Make Money?
Net Profit Margin
For every $100 in sales, Sunny Optical Technology (Group) Company Limited keeps $10.71 as profit after all expenses.
Operating Margin
Core operations generate 8.06 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $16.61 in profit for every $100 of shareholder equity.
ROA
Sunny Optical Technology (Group) Company Limited generates $7.74 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Sunny Optical Technology (Group) Company Limited produces operating cash flow of $5.61B, showing steady but balanced cash generation.
Free Cash Flow
Sunny Optical Technology (Group) Company Limited produces free cash flow of $2.73B, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $25.06 in free cash annually.
FCF Yield
SOTGY converts 3.76% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
15.97
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.03
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.51
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.70
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.51
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.57
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.17
vs 25 benchmark
ROA
Return on assets percentage
0.08
vs 25 benchmark
ROCE
Return on capital employed
0.11
vs 25 benchmark
How SOTGY Stacks Against Its Sector Peers
| Metric | SOTGY Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 15.97 | 37.08 | Better (Cheaper) |
| ROE | 16.61% | 950.00% | Weak |
| Net Margin | 10.71% | 5908780585.00% | Weak |
| Debt/Equity | 0.51 | 0.43 | Neutral |
| Current Ratio | 1.57 | 4.96 | Neutral |
| ROA | 7.74% | -295559.00% (disorted) | Weak |
SOTGY outperforms its industry in 1 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Sunny Optical Technology (Group) Company Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
1.66%
Industry Style: Growth, Innovation, High Beta
GrowingEPS CAGR
-32.05%
Industry Style: Growth, Innovation, High Beta
DecliningFCF CAGR
-25.52%
Industry Style: Growth, Innovation, High Beta
Declining