Tsingtao Brewery Company Limited
Tsingtao Brewery Company Limited Fundamental Analysis
Tsingtao Brewery Company Limited (TSGTY) shows moderate financial fundamentals with a PE ratio of 12.54, profit margin of 14.18%, and ROE of 14.96%. The company generates $38.5B in annual revenue with weak year-over-year growth of -5.30%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 62.2/100 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 TSGTY's fundamental strength across five key dimensions:
Efficiency Score
WeakTSGTY struggles to generate sufficient returns from assets.
Valuation Score
ExcellentTSGTY trades at attractive valuation levels.
Growth Score
ModerateTSGTY shows steady but slowing expansion.
Financial Health Score
ExcellentTSGTY maintains a strong and stable balance sheet.
Profitability Score
WeakTSGTY struggles to sustain strong margins.
Key Financial Metrics
Is TSGTY Expensive or Cheap?
P/E Ratio
TSGTY trades at 12.54 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, TSGTY's PEG of -0.24 indicates potential undervaluation.
Price to Book
The market values Tsingtao Brewery Company Limited at 1.88 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 12.81 times EBITDA. This signals the market has high growth expectations.
How Well Does TSGTY Make Money?
Net Profit Margin
For every $100 in sales, Tsingtao Brewery Company Limited keeps $14.18 as profit after all expenses.
Operating Margin
Core operations generate 17.79 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $14.96 in profit for every $100 of shareholder equity.
ROA
Tsingtao Brewery Company Limited generates $8.81 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Tsingtao Brewery Company Limited produces operating cash flow of $5.82B, showing steady but balanced cash generation.
Free Cash Flow
Tsingtao Brewery Company Limited produces free cash flow of $3.17B, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $9.78 in free cash annually.
FCF Yield
TSGTY converts 3.90% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
12.54
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.24
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.88
vs 25 benchmark
P/S Ratio
Price to sales ratio
2.11
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.008
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.46
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.15
vs 25 benchmark
ROA
Return on assets percentage
0.09
vs 25 benchmark
ROCE
Return on capital employed
0.16
vs 25 benchmark
How TSGTY Stacks Against Its Sector Peers
| Metric | TSGTY Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 12.54 | 22.84 | Better (Cheaper) |
| ROE | 14.96% | 1207.00% | Weak |
| Net Margin | 14.18% | -5556.00% (disorted) | Strong |
| Debt/Equity | 0.01 | 0.80 | Strong (Low Leverage) |
| Current Ratio | 1.46 | 2.50 | Neutral |
| ROA | 8.81% | -193136.00% (disorted) | Weak |
TSGTY outperforms its industry in 3 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Tsingtao Brewery Company Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-34.58%
Industry Style: Defensive, Dividend, Low Volatility
DecliningEPS CAGR
33.64%
Industry Style: Defensive, Dividend, Low Volatility
High GrowthFCF CAGR
-26.89%
Industry Style: Defensive, Dividend, Low Volatility
Declining