FANHUA INC-SPONSORED ADR (FANH) Stock Fundamental Analysis
USA - NASDAQ:FANH - US30712A1034 - ADR
1.53 USD
-0.02 (-1.29%)
Overall FANH gets a fundamental rating of 5 out of 10. We evaluated FANH against 146 industry peers in the Insurance industry. FANH is in great health and has no worries on liquidiy or solvency at all, but the profibility rating is only average. FANH has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year FANH was profitable.
FANH had a positive operating cash flow in the past year.
Each year in the past 5 years FANH has been profitable.
Each year in the past 5 years FANH had a positive operating cash flow.
1.2 Ratios
FANH's Return On Assets of 7.34% is amongst the best of the industry. FANH outperforms 92.81% of its industry peers.
FANH's Return On Equity of 13.45% is fine compared to the rest of the industry. FANH outperforms 64.75% of its industry peers.
FANH has a better Return On Invested Capital (5.14%) than 85.61% of its industry peers.
FANH had an Average Return On Invested Capital over the past 3 years of 7.25%. This is above the industry average of 4.53%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.34% | ||
| ROE | 13.45% | ||
| ROIC | 5.14% |
ROA(3y)5.97%
ROA(5y)6.42%
ROE(3y)11.13%
ROE(5y)11.56%
ROIC(3y)7.25%
ROIC(5y)9.68%
1.3 Margins
Looking at the Profit Margin, with a value of 8.77%, FANH is in line with its industry, outperforming 56.83% of the companies in the same industry.
In the last couple of years the Profit Margin of FANH has declined.
FANH has a Operating Margin of 6.12%. This is in the lower half of the industry: FANH underperforms 64.03% of its industry peers.
FANH's Operating Margin has declined in the last couple of years.
FANH has a better Gross Margin (32.92%) than 92.09% of its industry peers.
FANH's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.12% | ||
| PM (TTM) | 8.77% | ||
| GM | 32.92% |
OM growth 3Y-12.84%
OM growth 5Y-12.97%
PM growth 3Y2.22%
PM growth 5Y-12.98%
GM growth 3Y0.68%
GM growth 5Y0.4%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so FANH is destroying value.
Compared to 1 year ago, FANH has more shares outstanding
FANH has more shares outstanding than it did 5 years ago.
The debt/assets ratio for FANH is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.34 indicates that FANH is not a great score, but indicates only limited risk for bankruptcy at the moment.
FANH has a Altman-Z score of 2.34. This is amongst the best in the industry. FANH outperforms 93.53% of its industry peers.
FANH has a debt to FCF ratio of 1.12. This is a very positive value and a sign of high solvency as it would only need 1.12 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 1.12, FANH is in the better half of the industry, outperforming 62.59% of the companies in the same industry.
A Debt/Equity ratio of 0.05 indicates that FANH is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.05, FANH belongs to the top of the industry, outperforming 86.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.05 | ||
| Debt/FCF | 1.12 | ||
| Altman-Z | 2.34 |
ROIC/WACC0.69
WACC7.48%
2.3 Liquidity
A Current Ratio of 2.59 indicates that FANH has no problem at all paying its short term obligations.
FANH has a better Current ratio (2.59) than 94.24% of its industry peers.
FANH has a Quick Ratio of 2.59. This indicates that FANH is financially healthy and has no problem in meeting its short term obligations.
FANH has a Quick ratio of 2.59. This is amongst the best in the industry. FANH outperforms 94.24% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.59 | ||
| Quick Ratio | 2.59 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 189.43% over the past year.
The earnings per share for FANH have been decreasing by -11.87% on average. This is quite bad
The Revenue has grown by 14.98% in the past year. This is quite good.
FANH shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -1.62% yearly.
EPS 1Y (TTM)189.43%
EPS 3Y1.38%
EPS 5Y-11.87%
EPS Q2Q%-93.67%
Revenue 1Y (TTM)14.98%
Revenue growth 3Y-0.72%
Revenue growth 5Y-1.62%
Sales Q2Q%-0.83%
3.2 Future
Based on estimates for the next years, FANH will show a decrease in Earnings Per Share. The EPS will decrease by -8.88% on average per year.
FANH is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -6.76% yearly.
EPS Next Y-25.89%
EPS Next 2Y-8.88%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-22.25%
Revenue Next 2Y-6.76%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 2.22, which indicates a rather cheap valuation of FANH.
Based on the Price/Earnings ratio, FANH is valued cheaper than 87.77% of the companies in the same industry.
FANH is valuated cheaply when we compare the Price/Earnings ratio to 25.67, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 2.83, the valuation of FANH can be described as very cheap.
Based on the Price/Forward Earnings ratio, FANH is valued cheaper than 84.17% of the companies in the same industry.
FANH's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 31.86.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 2.22 | ||
| Fwd PE | 2.83 |
4.2 Price Multiples
FANH's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7 | ||
| EV/EBITDA | -3.19 |
4.3 Compensation for Growth
The decent profitability rating of FANH may justify a higher PE ratio.
FANH's earnings are expected to decrease with -8.88% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-8.88%
EPS Next 3YN/A
5. Dividend
5.1 Amount
No dividends for FANH!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NASDAQ:FANH (10/22/2024, 8:15:50 PM)
1.53
-0.02 (-1.29%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners4.37%
Inst Owner Change0%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap86.76M
Revenue(TTM)3.20B
Net Income(TTM)280.48M
Analysts43.33
Price Target6.12 (300%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0
Dividend Growth(5Y)N/A
DP0%
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 | 2.22 | ||
| Fwd PE | 2.83 | ||
| P/S | 0.19 | ||
| P/FCF | 7 | ||
| P/OCF | 6.1 | ||
| P/B | 0.3 | ||
| P/tB | 0.37 | ||
| EV/EBITDA | -3.19 |
EPS(TTM)0.69
EY45.1%
EPS(NY)0.54
Fwd EY35.37%
FCF(TTM)0.22
FCFY14.28%
OCF(TTM)0.25
OCFY16.39%
SpS7.93
BVpS5.17
TBVpS4.13
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.34% | ||
| ROE | 13.45% | ||
| ROCE | 6.55% | ||
| ROIC | 5.14% | ||
| ROICexc | 6.85% | ||
| ROICexgc | 8.38% | ||
| OM | 6.12% | ||
| PM (TTM) | 8.77% | ||
| GM | 32.92% | ||
| FCFM | 2.76% |
ROA(3y)5.97%
ROA(5y)6.42%
ROE(3y)11.13%
ROE(5y)11.56%
ROIC(3y)7.25%
ROIC(5y)9.68%
ROICexc(3y)15.75%
ROICexc(5y)28.34%
ROICexgc(3y)18.36%
ROICexgc(5y)33.72%
ROCE(3y)9.1%
ROCE(5y)12.03%
ROICexgc growth 3Y-37.7%
ROICexgc growth 5Y-28.74%
ROICexc growth 3Y-39.39%
ROICexc growth 5Y-30.05%
OM growth 3Y-12.84%
OM growth 5Y-12.97%
PM growth 3Y2.22%
PM growth 5Y-12.98%
GM growth 3Y0.68%
GM growth 5Y0.4%
F-Score8
Asset Turnover0.84
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.05 | ||
| Debt/FCF | 1.12 | ||
| Debt/EBITDA | 0.43 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 43.99% | ||
| Profit Quality | 31.42% | ||
| Current Ratio | 2.59 | ||
| Quick Ratio | 2.59 | ||
| Altman-Z | 2.34 |
F-Score8
WACC7.48%
ROIC/WACC0.69
Cap/Depr(3y)201.65%
Cap/Depr(5y)160.89%
Cap/Sales(3y)1.38%
Cap/Sales(5y)1.03%
Profit Quality(3y)43.2%
Profit Quality(5y)71.56%
High Growth Momentum
Growth
EPS 1Y (TTM)189.43%
EPS 3Y1.38%
EPS 5Y-11.87%
EPS Q2Q%-93.67%
EPS Next Y-25.89%
EPS Next 2Y-8.88%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)14.98%
Revenue growth 3Y-0.72%
Revenue growth 5Y-1.62%
Sales Q2Q%-0.83%
Revenue Next Year-22.25%
Revenue Next 2Y-6.76%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y16.08%
EBIT growth 3Y-13.47%
EBIT growth 5Y-14.38%
EBIT Next Year-0.95%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y80.57%
FCF growth 3Y-38.78%
FCF growth 5Y-29.25%
OCF growth 1Y107.2%
OCF growth 3Y-36.75%
OCF growth 5Y-27.94%
FANHUA INC-SPONSORED ADR / FANH FAQ
What is the ChartMill fundamental rating of FANHUA INC-SPONSORED ADR (FANH) stock?
ChartMill assigns a fundamental rating of 5 / 10 to FANH.
Can you provide the valuation status for FANHUA INC-SPONSORED ADR?
ChartMill assigns a valuation rating of 6 / 10 to FANHUA INC-SPONSORED ADR (FANH). This can be considered as Fairly Valued.
Can you provide the profitability details for FANHUA INC-SPONSORED ADR?
FANHUA INC-SPONSORED ADR (FANH) has a profitability rating of 6 / 10.
What is the valuation of FANHUA INC-SPONSORED ADR based on its PE and PB ratios?
The Price/Earnings (PE) ratio for FANHUA INC-SPONSORED ADR (FANH) is 2.22 and the Price/Book (PB) ratio is 0.3.
What is the financial health of FANHUA INC-SPONSORED ADR (FANH) stock?
The financial health rating of FANHUA INC-SPONSORED ADR (FANH) is 7 / 10.