CSPC Pharmaceutical Group Limited Fundamental Analysis
CSPC Pharmaceutical Group Limited Fundamental Analysis
CSPC Pharmaceutical Group Limited (CSPCY) shows weak financial fundamentals with a PE ratio of 45.25, profit margin of 11.51%, and ROE of 4.91%. The company generates $14.0B in annual revenue with weak year-over-year growth of -14.24%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 30.3/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze CSPCY's fundamental strength across five key dimensions:
Efficiency Score
WeakCSPCY struggles to generate sufficient returns from assets.
Valuation Score
ModerateCSPCY shows balanced valuation metrics.
Growth Score
WeakCSPCY faces weak or negative growth trends.
Financial Health Score
ExcellentCSPCY maintains a strong and stable balance sheet.
Profitability Score
WeakCSPCY struggles to sustain strong margins.
Key Financial Metrics
Is CSPCY Expensive or Cheap?
P/E Ratio
CSPCY trades at 45.25 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, CSPCY's PEG of -0.11 indicates potential undervaluation.
Price to Book
The market values CSPC Pharmaceutical Group Limited at 2.22 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 14.91 times EBITDA. This signals the market has high growth expectations.
How Well Does CSPCY Make Money?
Net Profit Margin
For every $100 in sales, CSPC Pharmaceutical Group Limited keeps $11.51 as profit after all expenses.
Operating Margin
Core operations generate 27.91 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $4.91 in profit for every $100 of shareholder equity.
ROA
CSPC Pharmaceutical Group Limited generates $3.49 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
CSPC Pharmaceutical Group Limited produces operating cash flow of $3.14B, showing steady but balanced cash generation.
Free Cash Flow
CSPC Pharmaceutical Group Limited generates strong free cash flow of $2.23B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $0.78 in free cash annually.
FCF Yield
CSPCY converts 3.09% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
45.25
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.11
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.22
vs 25 benchmark
P/S Ratio
Price to sales ratio
5.15
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.02
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.19
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.05
vs 25 benchmark
ROA
Return on assets percentage
0.03
vs 25 benchmark
ROCE
Return on capital employed
0.11
vs 25 benchmark
How CSPCY Stacks Against Its Sector Peers
| Metric | CSPCY Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 45.25 | 29.20 | Worse (Expensive) |
| ROE | 4.91% | 729.00% | Weak |
| Net Margin | 11.51% | -52856.00% (disorted) | Strong |
| Debt/Equity | 0.02 | 0.49 | Strong (Low Leverage) |
| Current Ratio | 2.19 | 4.43 | Strong Liquidity |
| ROA | 3.49% | -20711.00% (disorted) | Weak |
CSPCY 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 CSPC Pharmaceutical Group Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
12.42%
Industry Style: Defensive, Growth, Innovation
High GrowthEPS CAGR
-18.87%
Industry Style: Defensive, Growth, Innovation
DecliningFCF CAGR
-19.58%
Industry Style: Defensive, Growth, Innovation
Declining