EMEREN GROUP LTD (SOL) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:SOL - US75971T3014 - ADR
1.94 USD
+0.01 (+0.52%)
1.94 USD
0 (0%)
Overall SOL gets a fundamental rating of 4 out of 10. We evaluated SOL against 55 industry peers in the Construction & Engineering industry. While SOL seems to be doing ok healthwise, there are quite some concerns on its profitability. SOL has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year SOL has reported negative net income.
SOL had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: SOL reported negative net income in multiple years.
In the past 5 years SOL always reported negative operating cash flow.
1.2 Ratios
SOL's Return On Assets of -2.03% is on the low side compared to the rest of the industry. SOL is outperformed by 72.22% of its industry peers.
SOL's Return On Equity of -2.94% is on the low side compared to the rest of the industry. SOL is outperformed by 70.37% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.03% | ||
| ROE | -2.94% | ||
| ROIC | N/A |
ROA(3y)-1.47%
ROA(5y)-0.45%
ROE(3y)-2.16%
ROE(5y)-0.55%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
SOL has a Gross Margin of 33.95%. This is amongst the best in the industry. SOL outperforms 85.19% of its industry peers.
In the last couple of years the Gross Margin of SOL has declined.
The Profit Margin and Operating Margin are not available for SOL so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 33.95% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-12.71%
GM growth 5Y-1.82%
2. Health
2.1 Basic Checks
SOL does not have a ROIC to compare to the WACC, probably because it is not profitable.
Compared to 1 year ago, SOL has less shares outstanding
SOL has more shares outstanding than it did 5 years ago.
SOL has a worse debt/assets ratio than last year.
2.2 Solvency
SOL has an Altman-Z score of -0.51. This is a bad value and indicates that SOL is not financially healthy and even has some risk of bankruptcy.
SOL has a worse Altman-Z score (-0.51) than 88.89% of its industry peers.
The Debt to FCF ratio of SOL is 2.04, which is a good value as it means it would take SOL, 2.04 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 2.04, SOL is in the better half of the industry, outperforming 75.93% of the companies in the same industry.
A Debt/Equity ratio of 0.20 indicates that SOL is not too dependend on debt financing.
SOL's Debt to Equity ratio of 0.20 is fine compared to the rest of the industry. SOL outperforms 77.78% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.2 | ||
| Debt/FCF | 2.04 | ||
| Altman-Z | -0.51 |
ROIC/WACCN/A
WACC9.96%
2.3 Liquidity
SOL has a Current Ratio of 4.28. This indicates that SOL is financially healthy and has no problem in meeting its short term obligations.
With an excellent Current ratio value of 4.28, SOL belongs to the best of the industry, outperforming 98.15% of the companies in the same industry.
SOL has a Quick Ratio of 4.28. This indicates that SOL is financially healthy and has no problem in meeting its short term obligations.
The Quick ratio of SOL (4.28) is better than 98.15% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.28 | ||
| Quick Ratio | 4.28 |
3. Growth
3.1 Past
SOL shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -16.67%.
The Revenue for SOL has decreased by -30.50% in the past year. This is quite bad
The Revenue has been decreasing by -5.02% on average over the past years.
EPS 1Y (TTM)-16.67%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-169.15%
Revenue 1Y (TTM)-30.5%
Revenue growth 3Y4.93%
Revenue growth 5Y-5.02%
Sales Q2Q%21.63%
3.2 Future
SOL is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 72.80% yearly.
The Revenue is expected to grow by 11.79% on average over the next years. This is quite good.
EPS Next Y116.83%
EPS Next 2Y72.8%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-14.03%
Revenue Next 2Y11.79%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings Ratio is negative for SOL. In the last year negative earnings were reported.
Based on the Price/Forward Earnings ratio of 9.37, the valuation of SOL can be described as reasonable.
Based on the Price/Forward Earnings ratio, SOL is valued cheaply inside the industry as 98.15% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 23.83. SOL is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 9.37 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SOL is valued a bit more expensive than the industry average as 72.22% of the companies are valued more cheaply.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of SOL indicates a rather cheap valuation: SOL is cheaper than 100.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 2.96 | ||
| EV/EBITDA | 304.9 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
SOL's earnings are expected to grow with 72.80% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y72.8%
EPS Next 3YN/A
5. Dividend
5.1 Amount
No dividends for SOL!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
1.94
+0.01 (+0.52%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryConstruction & Engineering
Earnings (Last)
Earnings (Next)
Inst Owners43.09%
Inst Owner Change-0.17%
Ins Owners1.06%
Ins Owner Change0%
Market Cap99.56M
Revenue(TTM)71.23M
Net Income(TTM)-9.13M
Analysts80
Price Target7.14 (268.04%)
Short Float %16.33%
Short Ratio3.82
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
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)0
Avg Revenue beat(2)-33.08%
Min Revenue beat(2)-34.82%
Max Revenue beat(2)-31.34%
Revenue beat(4)0
Avg Revenue beat(4)-30.41%
Min Revenue beat(4)-40.72%
Max Revenue beat(4)-14.76%
Revenue beat(8)2
Avg Revenue beat(8)-16.88%
Revenue beat(12)2
Avg Revenue beat(12)-26.69%
Revenue beat(16)3
Avg Revenue beat(16)-26.82%
PT rev (1m)0%
PT rev (3m)55.56%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 9.37 | ||
| P/S | 1.4 | ||
| P/FCF | 2.96 | ||
| P/OCF | 2.22 | ||
| P/B | 0.32 | ||
| P/tB | 0.32 | ||
| EV/EBITDA | 304.9 |
EPS(TTM)-0.21
EYN/A
EPS(NY)0.21
Fwd EY10.67%
FCF(TTM)0.66
FCFY33.81%
OCF(TTM)0.87
OCFY44.98%
SpS1.39
BVpS6.05
TBVpS6.05
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.03% | ||
| ROE | -2.94% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 33.95% | ||
| FCFM | 47.26% |
ROA(3y)-1.47%
ROA(5y)-0.45%
ROE(3y)-2.16%
ROE(5y)-0.55%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-12.71%
GM growth 5Y-1.82%
F-Score3
Asset Turnover0.16
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.2 | ||
| Debt/FCF | 2.04 | ||
| Debt/EBITDA | 222.61 | ||
| Cap/Depr | 131.99% | ||
| Cap/Sales | 15.62% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | 16346% | ||
| Profit Quality | N/A | ||
| Current Ratio | 4.28 | ||
| Quick Ratio | 4.28 | ||
| Altman-Z | -0.51 |
F-Score3
WACC9.96%
ROIC/WACCN/A
Cap/Depr(3y)305.97%
Cap/Depr(5y)240.17%
Cap/Sales(3y)29.54%
Cap/Sales(5y)22.87%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-16.67%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-169.15%
EPS Next Y116.83%
EPS Next 2Y72.8%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-30.5%
Revenue growth 3Y4.93%
Revenue growth 5Y-5.02%
Sales Q2Q%21.63%
Revenue Next Year-14.03%
Revenue Next 2Y11.79%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-598.8%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year107.38%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y181.49%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y208.42%
OCF growth 3YN/A
OCF growth 5YN/A
EMEREN GROUP LTD / SOL FAQ
What is the fundamental rating for SOL stock?
ChartMill assigns a fundamental rating of 4 / 10 to SOL.
Can you provide the valuation status for EMEREN GROUP LTD?
ChartMill assigns a valuation rating of 6 / 10 to EMEREN GROUP LTD (SOL). This can be considered as Fairly Valued.
What is the profitability of SOL stock?
EMEREN GROUP LTD (SOL) has a profitability rating of 1 / 10.
What is the earnings growth outlook for EMEREN GROUP LTD?
The Earnings per Share (EPS) of EMEREN GROUP LTD (SOL) is expected to grow by 116.83% in the next year.