CNFINANCE HOLDINGS LTD (CNF) Stock Fundamental Analysis
NYSE:CNF - New York Stock Exchange, Inc. - US18979T1051 - ADR - Currency: USD
We assign a fundamental rating of 2 out of 10 to CNF. CNF was compared to 101 industry peers in the Financial Services industry. CNF may be in some trouble as it scores bad on both profitability and health. CNF is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year CNF was profitable.
CNF had a positive operating cash flow in the past year.
In the past 5 years CNF has always been profitable.
CNF had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of CNF (0.25%) is worse than 67.33% of its industry peers.
CNF has a worse Return On Equity (0.94%) than 70.30% of its industry peers.
CNF has a worse Return On Invested Capital (0.25%) than 68.32% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for CNF is significantly below the industry average of 7.77%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.25% | ||
| ROE | 0.94% | ||
| ROIC | 0.25% |
ROA(3y)0.74%
ROA(5y)0.71%
ROE(3y)2.87%
ROE(5y)2.64%
ROIC(3y)0.74%
ROIC(5y)0.79%
1.3 Margins
With a Profit Margin value of 2.37%, CNF is not doing good in the industry: 69.31% of the companies in the same industry are doing better.
In the last couple of years the Profit Margin of CNF has declined.
The Operating Margin of CNF (3.00%) is worse than 70.30% of its industry peers.
CNF's Operating Margin has declined in the last couple of years.
The Gross Margin of CNF (34.60%) is comparable to the rest of the industry.
CNF's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3% | ||
| PM (TTM) | 2.37% | ||
| GM | 34.6% |
OM growth 3Y-26.58%
OM growth 5Y-34.1%
PM growth 3Y-20.14%
PM growth 5Y-32.75%
GM growth 3Y34.97%
GM growth 5Y-7.86%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), CNF is destroying value.
Compared to 1 year ago, CNF has about the same amount of shares outstanding.
Compared to 5 years ago, CNF has about the same amount of shares outstanding.
Compared to 1 year ago, CNF has an improved debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.37, we must say that CNF is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 0.37, CNF perfoms like the industry average, outperforming 49.51% of the companies in the same industry.
The Debt to FCF ratio of CNF is 10.15, which is on the high side as it means it would take CNF, 10.15 years of fcf income to pay off all of its debts.
CNF has a Debt to FCF ratio of 10.15. This is comparable to the rest of the industry: CNF outperforms 54.46% of its industry peers.
A Debt/Equity ratio of 1.87 is on the high side and indicates that CNF has dependencies on debt financing.
CNF has a worse Debt to Equity ratio (1.87) than 62.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.87 | ||
| Debt/FCF | 10.15 | ||
| Altman-Z | 0.37 |
ROIC/WACC0.03
WACC7.43%
2.3 Liquidity
A Current Ratio of 0.61 indicates that CNF may have some problems paying its short term obligations.
CNF's Current ratio of 0.61 is in line compared to the rest of the industry. CNF outperforms 40.59% of its industry peers.
A Quick Ratio of 0.61 indicates that CNF may have some problems paying its short term obligations.
With a Quick ratio value of 0.61, CNF perfoms like the industry average, outperforming 40.59% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.61 | ||
| Quick Ratio | 0.61 |
3. Growth
3.1 Past
The earnings per share for CNF have decreased strongly by -72.73% in the last year.
The Earnings Per Share has been decreasing by -9.71% on average over the past years.
CNF shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -12.83%.
CNF shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 28.98% yearly.
EPS 1Y (TTM)-72.73%
EPS 3Y44.23%
EPS 5Y-9.71%
EPS Q2Q%-200%
Revenue 1Y (TTM)-12.83%
Revenue growth 3Y94.77%
Revenue growth 5Y28.98%
Sales Q2Q%35.91%
3.2 Future
No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
EPS Next Y100%
EPS Next 2YN/A
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year13.09%
Revenue Next 2YN/A
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 8.78, the valuation of CNF can be described as reasonable.
74.26% of the companies in the same industry are more expensive than CNF, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of CNF to the average of the S&P500 Index (27.24), we can say CNF is valued rather cheaply.
A Price/Forward Earnings ratio of 28.07 indicates a quite expensive valuation of CNF.
Based on the Price/Forward Earnings ratio, CNF is valued a bit more expensive than the industry average as 72.28% of the companies are valued more cheaply.
Compared to an average S&P500 Price/Forward Earnings ratio of 36.42, CNF is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.78 | ||
| Fwd PE | 28.07 |
4.2 Price Multiples
69.31% of the companies in the same industry are cheaper than CNF, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of CNF indicates a rather cheap valuation: CNF is cheaper than 100.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 0.52 | ||
| EV/EBITDA | 105.43 |
4.3 Compensation for Growth
CNF's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PEG (NY)0.09
PEG (5Y)N/A
EPS Next 2YN/A
EPS Next 3YN/A
5. Dividend
5.1 Amount
CNF does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
0.79
+0.09 (+12.87%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)
Earnings (Next)
Inst Owners19.51%
Inst Owner Change9.68%
Ins Owners2.18%
Ins Owner ChangeN/A
Market Cap54.18M
Analysts80
Price Target5.1 (545.57%)
Short Float %2.72%
Short Ratio0.4
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.78 | ||
| Fwd PE | 28.07 | ||
| P/S | 0.24 | ||
| P/FCF | 0.52 | ||
| P/OCF | 0.51 | ||
| P/B | 0.1 | ||
| P/tB | 0.1 | ||
| EV/EBITDA | 105.43 |
EPS(TTM)0.09
EY11.39%
EPS(NY)0.03
Fwd EY3.56%
FCF(TTM)1.52
FCFY192.65%
OCF(TTM)1.54
OCFY194.7%
SpS3.25
BVpS8.24
TBVpS8.24
PEG (NY)0.09
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.25% | ||
| ROE | 0.94% | ||
| ROCE | 0.37% | ||
| ROIC | 0.25% | ||
| ROICexc | 0.25% | ||
| ROICexgc | 0.25% | ||
| OM | 3% | ||
| PM (TTM) | 2.37% | ||
| GM | 34.6% | ||
| FCFM | 46.79% |
ROA(3y)0.74%
ROA(5y)0.71%
ROE(3y)2.87%
ROE(5y)2.64%
ROIC(3y)0.74%
ROIC(5y)0.79%
ROICexc(3y)0.84%
ROICexc(5y)0.92%
ROICexgc(3y)0.95%
ROICexgc(5y)1.02%
ROCE(3y)0.98%
ROCE(5y)1.05%
ROICexcg growth 3Y-31.58%
ROICexcg growth 5Y-45.76%
ROICexc growth 3Y-28.06%
ROICexc growth 5Y-45.55%
OM growth 3Y-26.58%
OM growth 5Y-34.1%
PM growth 3Y-20.14%
PM growth 5Y-32.75%
GM growth 3Y34.97%
GM growth 5Y-7.86%
F-Score6
Asset Turnover0.11
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.87 | ||
| Debt/FCF | 10.15 | ||
| Debt/EBITDA | 126.79 | ||
| Cap/Depr | 66.25% | ||
| Cap/Sales | 0.5% | ||
| Interest Coverage | 0.06 | ||
| Cash Conversion | 1262.51% | ||
| Profit Quality | 1971.18% | ||
| Current Ratio | 0.61 | ||
| Quick Ratio | 0.61 | ||
| Altman-Z | 0.37 |
F-Score6
WACC7.43%
ROIC/WACC0.03
Cap/Depr(3y)3701.45%
Cap/Depr(5y)2251.98%
Cap/Sales(3y)3.87%
Cap/Sales(5y)2.41%
Profit Quality(3y)1182.79%
Profit Quality(5y)1115.11%
High Growth Momentum
Growth
EPS 1Y (TTM)-72.73%
EPS 3Y44.23%
EPS 5Y-9.71%
EPS Q2Q%-200%
EPS Next Y100%
EPS Next 2YN/A
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-12.83%
Revenue growth 3Y94.77%
Revenue growth 5Y28.98%
Sales Q2Q%35.91%
Revenue Next Year13.09%
Revenue Next 2YN/A
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-76.74%
EBIT growth 3Y43%
EBIT growth 5Y-15%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-52.92%
FCF growth 3Y91.72%
FCF growth 5Y31.92%
OCF growth 1Y-55.63%
OCF growth 3Y92.03%
OCF growth 5Y32.11%