Buy Or Sell Opportunity • Jun 26
Now 22% overvalued after recent price rise Over the last 90 days, the stock has risen 197% to CN¥74.12. The fair value is estimated to be CN¥60.58, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 5.6% over the last 3 years. Earnings per share has declined by 11%. Revenue is forecast to grow by 37% in 2 years. Earnings are forecast to grow by 108% in the next 2 years. Valuation Update With 7 Day Price Move • Jun 15
Investor sentiment improves as stock rises 29% After last week's 29% share price gain to CN¥45.77, the stock trades at a forward P/E ratio of 28x. Average forward P/E is 25x in the Basic Materials industry in China. Total returns to shareholders of 236% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥59.84 per share. Valuation Update With 7 Day Price Move • May 25
Investor sentiment improves as stock rises 15% After last week's 15% share price gain to CN¥39.42, the stock trades at a forward P/E ratio of 24x. Average forward P/E is 20x in the Basic Materials industry in China. Total returns to shareholders of 205% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥58.73 per share. Declared Dividend • May 23
Dividend of CN¥0.19 announced Shareholders will receive a dividend of CN¥0.19. Ex-date: 27th May 2026 Payment date: 27th May 2026 Dividend yield will be 0.9%, which is lower than the industry average of 3.0%. Sustainability & Growth Dividend is covered by both earnings (38% earnings payout ratio) and cash flows (54% cash payout ratio). The dividend has increased by an average of 16% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 93% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Price Target Changed • May 18
Price target increased by 12% to CN¥32.61 Up from CN¥29.06, the current price target is an average from 7 analysts. New target price is approximately in line with last closing price of CN¥34.14. Stock is up 181% over the past year. The company is forecast to post earnings per share of CN¥1.62 for next year compared to CN¥0.82 last year. Reported Earnings • Apr 25
First quarter 2026 earnings: EPS and revenues exceed analyst expectations First quarter 2026 results: EPS: CN¥0.32 (up from CN¥0.18 in 1Q 2025). Revenue: CN¥5.28b (up 18% from 1Q 2025). Net income: CN¥1.27b (up 74% from 1Q 2025). Profit margin: 24% (up from 16% in 1Q 2025). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 19%. Earnings per share (EPS) also surpassed analyst estimates by 23%. Revenue is forecast to grow 11% p.a. on average during the next 3 years, compared to a 6.8% growth forecast for the Basic Materials industry in China. Over the last 3 years on average, earnings per share has fallen by 11% per year but the company’s share price has increased by 31% per year, which means it is well ahead of earnings. Valuation Update With 7 Day Price Move • Apr 13
Investor sentiment improves as stock rises 24% After last week's 24% share price gain to CN¥32.11, the stock trades at a forward P/E ratio of 24x. Average forward P/E is 22x in the Basic Materials industry in China. Total returns to shareholders of 125% over the past three years. Annonce • Mar 30
China Jushi Co., Ltd. to Report Q1, 2026 Results on Apr 25, 2026 China Jushi Co., Ltd. announced that they will report Q1, 2026 results on Apr 25, 2026 Major Estimate Revision • Mar 26
Consensus revenue estimates increase by 10% The consensus outlook for revenues in fiscal year 2026 has improved. 2026 revenue forecast increased from CN¥20.9b to CN¥23.1b. EPS estimate increased from CN¥1.05 to CN¥1.36 per share. Net income forecast to grow 64% next year vs 7.4% growth forecast for Basic Materials industry in China. Consensus price target up from CN¥18.73 to CN¥24.07. Share price rose 4.5% to CN¥24.50 over the past week. Price Target Changed • Mar 21
Price target increased by 13% to CN¥21.10 Up from CN¥18.73, the current price target is an average from 7 analysts. New target price is 6.8% below last closing price of CN¥22.65. Stock is up 78% over the past year. The company is forecast to post earnings per share of CN¥1.38 for next year compared to CN¥0.82 last year. Reported Earnings • Mar 20
Full year 2025 earnings: EPS misses analyst expectations Full year 2025 results: EPS: CN¥0.82 (up from CN¥0.61 in FY 2024). Revenue: CN¥18.9b (up 19% from FY 2024). Net income: CN¥3.29b (up 34% from FY 2024). Profit margin: 17% (up from 15% in FY 2024). The increase in margin was driven by higher revenue. Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 2.5%. Revenue is forecast to grow 9.4% p.a. on average during the next 2 years, compared to a 5.2% growth forecast for the Basic Materials industry in China. Over the last 3 years on average, earnings per share has fallen by 26% per year but the company’s share price has increased by 15% per year, which means it is well ahead of earnings. Annonce • Mar 19
China Jushi Co., Ltd., Annual General Meeting, Apr 15, 2026 China Jushi Co., Ltd., Annual General Meeting, Apr 15, 2026, at 14:30 China Standard Time. Location: The Company's Meeting Room, Tongxiang, Zhejiang China New Risk • Feb 27
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Chinese stocks, typically moving 7.4% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Minor Risks Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Share price has been volatile over the past 3 months (7.4% average weekly change). Valuation Update With 7 Day Price Move • Feb 11
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to CN¥25.65, the stock trades at a forward P/E ratio of 26x. Average forward P/E is 17x in the Basic Materials industry in China. Total returns to shareholders of 83% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥24.09 per share. Valuation Update With 7 Day Price Move • Jan 21
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to CN¥20.44, the stock trades at a forward P/E ratio of 21x. Average forward P/E is 17x in the Basic Materials industry in China. Total returns to shareholders of 52% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥24.60 per share. Price Target Changed • Jan 08
Price target increased by 9.7% to CN¥17.83 Up from CN¥16.25, the current price target is an average from 7 analysts. New target price is approximately in line with last closing price of CN¥17.55. Stock is up 60% over the past year. The company is forecast to post earnings per share of CN¥0.82 for next year compared to CN¥0.61 last year. Annonce • Dec 26
China Jushi Co., Ltd. to Report Fiscal Year 2025 Results on Mar 20, 2026 China Jushi Co., Ltd. announced that they will report fiscal year 2025 results on Mar 20, 2026 Reported Earnings • Oct 22
Third quarter 2025 earnings: EPS and revenues exceed analyst expectations Third quarter 2025 results: EPS: CN¥0.22 (up from CN¥0.14 in 3Q 2024). Revenue: CN¥4.80b (up 23% from 3Q 2024). Net income: CN¥881.1m (up 54% from 3Q 2024). Profit margin: 18% (up from 15% in 3Q 2024). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 6.7%. Earnings per share (EPS) also surpassed analyst estimates by 32%. Revenue is forecast to grow 9.7% p.a. on average during the next 3 years, compared to a 5.2% growth forecast for the Basic Materials industry in China. Over the last 3 years on average, earnings per share has fallen by 36% per year but the company’s share price has increased by 10% per year, which means it is well ahead of earnings. Upcoming Dividend • Oct 08
Upcoming dividend of CN¥0.17 per share Eligible shareholders must have bought the stock before 15 October 2025. Payment date: 15 October 2025. Payout ratio is a comfortable 52% and this is well supported by cash flows. Trailing yield: 2.0%. Within top quartile of Chinese dividend payers (1.9%). Lower than average of industry peers (3.4%). Annonce • Sep 30
China Jushi Co., Ltd. to Report Q3, 2025 Results on Oct 22, 2025 China Jushi Co., Ltd. announced that they will report Q3, 2025 results on Oct 22, 2025 Reported Earnings • Aug 29
Second quarter 2025 earnings: EPS exceeds analyst expectations while revenues lag behind Second quarter 2025 results: EPS: CN¥0.24 (up from CN¥0.15 in 2Q 2024). Revenue: CN¥4.63b (up 6.3% from 2Q 2024). Net income: CN¥956.6m (up 57% from 2Q 2024). Profit margin: 21% (up from 14% in 2Q 2024). The increase in margin was primarily driven by higher revenue. Revenue missed analyst estimates by 8.4%. Earnings per share (EPS) exceeded analyst estimates. Revenue is forecast to grow 10% p.a. on average during the next 3 years, compared to a 5.9% growth forecast for the Basic Materials industry in China. Over the last 3 years on average, earnings per share has fallen by 45% per year but the company’s share price has increased by 3% per year, which means it is well ahead of earnings. Annonce • Jun 30
China Jushi Co., Ltd. to Report First Half, 2025 Results on Aug 28, 2025 China Jushi Co., Ltd. announced that they will report first half, 2025 results on Aug 28, 2025 Annonce • Jun 24
China Jushi Co., Ltd.(SHSE:600176) dropped from Shanghai Stock Exchange 180 Value Index China Jushi Co., Ltd. has been removed from Shanghai Stock Exchange 180 Value Index . Declared Dividend • May 16
Dividend of CN¥0.24 announced Shareholders will receive a dividend of CN¥0.24. Ex-date: 21st May 2025 Payment date: 21st May 2025 Dividend yield will be 2.0%, which is lower than the industry average of 3.0%. Sustainability & Growth Dividend is covered by earnings (34% earnings payout ratio) but not adequately covered by cash flows (91% cash payout ratio). The dividend has increased by an average of 18% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 53% over the next 3 years, which should provide support to the dividend and adequate earnings cover. New Risk • Apr 25
New major risk - Financial position The company's debt is not well covered by operating cash flow. Operating cash flow to total debt ratio: 14% This is considered a major risk. If the company's operating cash flows are too small relative to the size of their debt, it increases their balance sheet risk. The company has less cash from operations to cover its expenses from servicing large debt and it increases the risk of liquidity issues. It also extends the time it would take for the company to pay back the debt in full, meaning it may not be able to easily pay it all off in a distress scenario. Currently, the following risks have been identified for the company: Major Risk Debt is not well covered by operating cash flow (14% operating cash flow to total debt). Minor Risk Dividend is not well covered by cash flows (91% cash payout ratio). Reported Earnings • Apr 24
First quarter 2025 earnings: EPS and revenues exceed analyst expectations First quarter 2025 results: EPS: CN¥0.18 (up from CN¥0.088 in 1Q 2024). Revenue: CN¥4.48b (up 32% from 1Q 2024). Net income: CN¥730.4m (up 109% from 1Q 2024). Profit margin: 16% (up from 10% in 1Q 2024). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 4.5%. Earnings per share (EPS) also surpassed analyst estimates by 22%. Revenue is forecast to grow 9.7% p.a. on average during the next 3 years, compared to a 6.1% growth forecast for the Basic Materials industry in China. Over the last 3 years on average, earnings per share has fallen by 47% per year but the company’s share price has only fallen by 9% per year, which means it has not declined as severely as earnings. Annonce • Mar 28
China Jushi Co., Ltd. to Report Q1, 2025 Results on Apr 24, 2025 China Jushi Co., Ltd. announced that they will report Q1, 2025 results on Apr 24, 2025 New Risk • Mar 21
New major risk - Dividend sustainability The dividend is not well covered by earnings and cash flows. Payout ratio: 393% Dividend per share is over 13x cash flows per share. Dividend yield: 19% This is considered a major risk. Companies that pay out too much of their earnings and cash flows are at risk of having to reduce or cut their dividend in future. If earnings or cash flows stagnate or fall, then there may not be enough to maintain the same dividend. Or in extreme cases, companies may opt to dig into capital reserves or take on debt to maintain the dividend. For dividend paying companies, any reduction in the dividend can significantly impact the share price. This is currently the only risk that has been identified for the company. Reported Earnings • Mar 20
Full year 2024 earnings: EPS exceeds analyst expectations while revenues lag behind Full year 2024 results: EPS: CN¥0.61 (down from CN¥0.76 in FY 2023). Revenue: CN¥15.9b (up 6.6% from FY 2023). Net income: CN¥2.44b (down 20% from FY 2023). Profit margin: 15% (down from 21% in FY 2023). The decrease in margin was driven by higher expenses. Revenue missed analyst estimates by 2.8%. Earnings per share (EPS) exceeded analyst estimates by 7.2%. Revenue is forecast to grow 11% p.a. on average during the next 3 years, compared to a 8.0% growth forecast for the Basic Materials industry in China. Over the last 3 years on average, earnings per share has fallen by 44% per year but the company’s share price has only fallen by 6% per year, which means it has not declined as severely as earnings. Annonce • Mar 20
China Jushi Co., Ltd., Annual General Meeting, Apr 11, 2025 China Jushi Co., Ltd., Annual General Meeting, Apr 11, 2025, at 14:30 China Standard Time. Location: The Company's Meeting Room, Tongxiang, Zhejiang China Buy Or Sell Opportunity • Jan 17
Now 20% undervalued Over the last 90 days, the stock has risen 9.0% to CN¥11.26. The fair value is estimated to be CN¥14.09, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has declined by 13% over the last 3 years. Earnings per share has declined by 37%. Revenue is forecast to grow by 33% in 2 years. Earnings are forecast to grow by 82% in the next 2 years. Buy Or Sell Opportunity • Dec 30
Now 20% undervalued after recent price drop Over the last 90 days, the stock has fallen 3.2% to CN¥11.38. The fair value is estimated to be CN¥14.30, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has declined by 13% over the last 3 years. Earnings per share has declined by 37%. Revenue is forecast to grow by 35% in 2 years. Earnings are forecast to grow by 89% in the next 2 years. Annonce • Dec 27
China Jushi Co., Ltd. to Report Fiscal Year 2024 Results on Mar 20, 2025 China Jushi Co., Ltd. announced that they will report fiscal year 2024 results on Mar 20, 2025 Buy Or Sell Opportunity • Nov 14
Now 21% undervalued Over the last 90 days, the stock has risen 12% to CN¥11.29. The fair value is estimated to be CN¥14.23, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has declined by 13% over the last 3 years. Earnings per share has declined by 37%. Revenue is forecast to grow by 35% in 2 years. Earnings are forecast to grow by 89% in the next 2 years. Buy Or Sell Opportunity • Oct 29
Now 21% undervalued Over the last 90 days, the stock has risen 4.8% to CN¥11.15. The fair value is estimated to be CN¥14.15, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has declined by 13% over the last 3 years. Earnings per share has declined by 37%. Revenue is forecast to grow by 35% in 2 years. Earnings are forecast to grow by 91% in the next 2 years. Reported Earnings • Oct 25
Third quarter 2024 earnings: EPS misses analyst expectations Third quarter 2024 results: EPS: CN¥0.14 (down from CN¥0.15 in 3Q 2023). Revenue: CN¥3.89b (up 8.3% from 3Q 2023). Net income: CN¥571.9m (down 6.4% from 3Q 2023). Profit margin: 15% (down from 17% in 3Q 2023). Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 9.7%. Revenue is forecast to grow 15% p.a. on average during the next 3 years, compared to a 7.3% growth forecast for the Basic Materials industry in China. Over the last 3 years on average, earnings per share has fallen by 37% per year but the company’s share price has only fallen by 16% per year, which means it has not declined as severely as earnings. Buy Or Sell Opportunity • Oct 09
Now 22% undervalued Over the last 90 days, the stock has risen 3.7% to CN¥10.92. The fair value is estimated to be CN¥13.95, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has declined by 8.7% over the last 3 years. Earnings per share has declined by 25%. Revenue is forecast to grow by 35% in 2 years. Earnings are forecast to grow by 86% in the next 2 years. Annonce • Sep 30
China Jushi Co., Ltd. to Report Q3, 2024 Results on Oct 25, 2024 China Jushi Co., Ltd. announced that they will report Q3, 2024 results on Oct 25, 2024 Valuation Update With 7 Day Price Move • Sep 27
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to CN¥10.79, the stock trades at a forward P/E ratio of 16x. Average forward P/E is 15x in the Basic Materials industry in China. Total loss to shareholders of 33% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥13.62 per share. New Risk • Aug 26
New major risk - Financial position The company's debt is not well covered by operating cash flow. Operating cash flow to total debt ratio: 4.8% This is considered a major risk. If the company's operating cash flows are too small relative to the size of their debt, it increases their balance sheet risk. The company has less cash from operations to cover its expenses from servicing large debt and it increases the risk of liquidity issues. It also extends the time it would take for the company to pay back the debt in full, meaning it may not be able to easily pay it all off in a distress scenario. Currently, the following risks have been identified for the company: Major Risk Debt is not well covered by operating cash flow (4.8% operating cash flow to total debt). Minor Risks Paying a dividend despite having no free cash flows. Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (13% net profit margin). Reported Earnings • Aug 26
Second quarter 2024 earnings: Revenues exceed analysts expectations while EPS lags behind Second quarter 2024 results: EPS: CN¥0.15 (down from CN¥0.28 in 2Q 2023). Revenue: CN¥4.36b (up 4.8% from 2Q 2023). Net income: CN¥610.9m (down 47% from 2Q 2023). Profit margin: 14% (down from 28% in 2Q 2023). Revenue exceeded analyst estimates by 5.7%. Earnings per share (EPS) missed analyst estimates by 19%. Revenue is forecast to grow 14% p.a. on average during the next 3 years, compared to a 8.2% growth forecast for the Basic Materials industry in China. Over the last 3 years on average, earnings per share has fallen by 25% per year but the company’s share price has only fallen by 17% per year, which means it has not declined as severely as earnings. Major Estimate Revision • Aug 23
Consensus EPS estimates fall by 12%, revenue upgraded The consensus outlook for fiscal year 2024 has been updated. 2024 revenue forecast increased from CN¥16.4b to CN¥16.6b. EPS estimate fell from CN¥0.657 to CN¥0.58 per share. Net income forecast to grow 49% next year vs 34% growth forecast for Basic Materials industry in China. Consensus price target broadly unchanged at CN¥12.92. Share price rose 2.4% to CN¥10.30 over the past week. Annonce • Jun 28
China Jushi Co., Ltd. to Report First Half, 2024 Results on Aug 23, 2024 China Jushi Co., Ltd. announced that they will report first half, 2024 results on Aug 23, 2024 Declared Dividend • May 24
Dividend of CN¥0.28 announced Shareholders will receive a dividend of CN¥0.28. Ex-date: 29th May 2024 Payment date: 29th May 2024 Dividend yield will be 2.2%, which is lower than the industry average of 3.0%. Sustainability & Growth Dividend is covered by earnings (45% earnings payout ratio) but not covered by cash flows (267% cash payout ratio). The dividend has increased by an average of 24% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 74% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Price Target Changed • Apr 30
Price target increased by 8.9% to CN¥12.49 Up from CN¥11.47, the current price target is an average from 7 analysts. New target price is approximately in line with last closing price of CN¥11.93. Stock is down 18% over the past year. The company is forecast to post earnings per share of CN¥0.63 for next year compared to CN¥0.76 last year. Reported Earnings • Apr 26
First quarter 2024 earnings: EPS exceeds analyst expectations First quarter 2024 results: EPS: CN¥0.088 (down from CN¥0.23 in 1Q 2023). Revenue: CN¥3.38b (down 7.9% from 1Q 2023). Net income: CN¥350.3m (down 62% from 1Q 2023). Profit margin: 10% (down from 25% in 1Q 2023). Revenue was in line with analyst estimates. Earnings per share (EPS) exceeded analyst estimates. Revenue is forecast to grow 13% p.a. on average during the next 3 years, compared to a 7.9% growth forecast for the Basic Materials industry in China. Over the last 3 years on average, earnings per share has fallen by 11% per year whereas the company’s share price has fallen by 9% per year. Annonce • Mar 29
China Jushi Co., Ltd. to Report Q1, 2024 Results on Apr 26, 2024 China Jushi Co., Ltd. announced that they will report Q1, 2024 results on Apr 26, 2024 Major Estimate Revision • Mar 26
Consensus revenue estimates fall by 15% The consensus outlook for revenues in fiscal year 2024 has deteriorated. 2024 revenue forecast decreased from CN¥19.3b to CN¥16.4b. EPS estimate fell from CN¥0.925 to CN¥0.653 per share. Net income forecast to shrink 13% next year vs 40% growth forecast for Basic Materials industry in China . Consensus price target down from CN¥12.71 to CN¥11.60. Share price rose 7.2% to CN¥10.83 over the past week. Price Target Changed • Mar 23
Price target decreased by 8.7% to CN¥11.60 Down from CN¥12.71, the current price target is an average from 6 analysts. New target price is 19% above last closing price of CN¥9.74. Stock is down 34% over the past year. The company is forecast to post earnings per share of CN¥0.65 for next year compared to CN¥0.76 last year. Annonce • Mar 20
China Jushi Co., Ltd., Annual General Meeting, Apr 10, 2024 China Jushi Co., Ltd., Annual General Meeting, Apr 10, 2024, at 14:30 China Standard Time. Location: The Company's Meeting Room, Tongxiang, Zhejiang China Reported Earnings • Mar 20
Full year 2023 earnings: EPS and revenues miss analyst expectations Full year 2023 results: EPS: CN¥0.76 (down from CN¥1.65 in FY 2022). Revenue: CN¥14.9b (down 26% from FY 2022). Net income: CN¥3.04b (down 54% from FY 2022). Profit margin: 21% (down from 33% in FY 2022). Revenue missed analyst estimates by 13%. Earnings per share (EPS) also missed analyst estimates by 6.4%. Revenue is forecast to grow 17% p.a. on average during the next 3 years, compared to a 11% growth forecast for the Basic Materials industry in China. Over the last 3 years on average, earnings per share has increased by 4% per year but the company’s share price has fallen by 14% per year, which means it is significantly lagging earnings. Annonce • Dec 29
China Jushi Co., Ltd. to Report Fiscal Year 2023 Results on Mar 20, 2024 China Jushi Co., Ltd. announced that they will report fiscal year 2023 results on Mar 20, 2024 New Risk • Nov 04
New major risk - Financial position The company's debt is not well covered by operating cash flow. Operating cash flow to total debt ratio: 6.0% This is considered a major risk. If the company's operating cash flows are too small relative to the size of their debt, it increases their balance sheet risk. The company has less cash from operations to cover its expenses from servicing large debt and it increases the risk of liquidity issues. It also extends the time it would take for the company to pay back the debt in full, meaning it may not be able to easily pay it all off in a distress scenario. Currently, the following risks have been identified for the company: Major Risk Debt is not well covered by operating cash flow (6.0% operating cash flow to total debt). Minor Risks Paying a dividend despite having no free cash flows. Large one-off items impacting financial results. Major Estimate Revision • Oct 30
Consensus EPS estimates fall by 12% The consensus outlook for earnings per share (EPS) in fiscal year 2023 has deteriorated. 2023 revenue forecast decreased from CN¥20.1b to CN¥18.2b. EPS estimate also fell from CN¥1.10 per share to CN¥0.966 per share. Net income forecast to grow 23% next year vs 51% growth forecast for Basic Materials industry in China. Consensus price target down from CN¥17.20 to CN¥15.60. Share price fell 6.8% to CN¥11.48 over the past week. Price Target Changed • Oct 26
Price target decreased by 9.8% to CN¥15.60 Down from CN¥17.30, the current price target is an average from 9 analysts. New target price is 34% above last closing price of CN¥11.63. Stock is down 3.5% over the past year. The company is forecast to post earnings per share of CN¥1.04 for next year compared to CN¥1.65 last year. Price Target Changed • Oct 24
Price target decreased by 8.6% to CN¥16.69 Down from CN¥18.26, the current price target is an average from 9 analysts. New target price is 44% above last closing price of CN¥11.57. Stock is down 1.0% over the past year. The company is forecast to post earnings per share of CN¥1.06 for next year compared to CN¥1.65 last year. Reported Earnings • Oct 24
Third quarter 2023 earnings: EPS and revenues miss analyst expectations Third quarter 2023 results: EPS: CN¥0.15 (down from CN¥0.33 in 3Q 2022). Revenue: CN¥3.60b (down 14% from 3Q 2022). Net income: CN¥610.9m (down 53% from 3Q 2022). Profit margin: 17% (down from 31% in 3Q 2022). Revenue missed analyst estimates by 28%. Earnings per share (EPS) also missed analyst estimates by 48%. Revenue is forecast to grow 21% p.a. on average during the next 3 years, compared to a 13% growth forecast for the Basic Materials industry in China. Over the last 3 years on average, earnings per share has increased by 19% per year but the company’s share price has fallen by 2% per year, which means it is significantly lagging earnings. Annonce • Sep 30
China Jushi Co., Ltd. to Report Q3, 2023 Results on Oct 24, 2023 China Jushi Co., Ltd. announced that they will report Q3, 2023 results on Oct 24, 2023 New Risk • Aug 23
New major risk - Financial position The company's debt is not well covered by operating cash flow. Operating cash flow to total debt ratio: 6.8% This is considered a major risk. If the company's operating cash flows are too small relative to the size of their debt, it increases their balance sheet risk. The company has less cash from operations to cover its expenses from servicing large debt and it increases the risk of liquidity issues. It also extends the time it would take for the company to pay back the debt in full, meaning it may not be able to easily pay it all off in a distress scenario. Currently, the following risks have been identified for the company: Major Risk Debt is not well covered by operating cash flow (6.8% operating cash flow to total debt). Minor Risks Paying a dividend despite having no free cash flows. Large one-off items impacting financial results. Reported Earnings • Aug 18
Second quarter 2023 earnings released: EPS: CN¥0.28 (vs CN¥0.59 in 2Q 2022) Second quarter 2023 results: EPS: CN¥0.28 (down from CN¥0.59 in 2Q 2022). Revenue: CN¥4.16b (down 39% from 2Q 2022). Net income: CN¥1.14b (down 52% from 2Q 2022). Profit margin: 28% (down from 35% in 2Q 2022). Revenue is forecast to grow 19% p.a. on average during the next 3 years, compared to a 12% growth forecast for the Basic Materials industry in China. Over the last 3 years on average, earnings per share has increased by 32% per year but the company’s share price has only increased by 4% per year, which means it is significantly lagging earnings growth. Major Estimate Revision • Aug 18
Consensus EPS estimates fall by 11% The consensus outlook for earnings per share (EPS) in fiscal year 2023 has deteriorated. 2023 revenue forecast decreased from CN¥21.4b to CN¥21.2b. EPS estimate also fell from CN¥1.27 per share to CN¥1.13 per share. Net income forecast to shrink 5.9% next year vs 75% growth forecast for Basic Materials industry in China . Consensus price target broadly unchanged at CN¥18.09. Share price was steady at CN¥14.30 over the past week. Major Estimate Revision • Jul 18
Consensus EPS estimates fall by 13% The consensus outlook for fiscal year 2023 has been updated. 2023 EPS estimate fell from CN¥1.42 to CN¥1.23 per share. Revenue forecast steady at CN¥21.4b. Net income forecast to shrink 5.9% next year vs 77% growth forecast for Basic Materials industry in China . Consensus price target reaffirmed at CN¥18.35. Share price was steady at CN¥13.72 over the past week. Annonce • Jun 28
China Jushi Co., Ltd. to Report First Half, 2023 Results on Aug 18, 2023 China Jushi Co., Ltd. announced that they will report first half, 2023 results on Aug 18, 2023 Reported Earnings • Mar 21
Full year 2022 earnings: EPS exceeds analyst expectations while revenues lag behind Full year 2022 results: EPS: CN¥1.65 (up from CN¥1.51 in FY 2021). Revenue: CN¥20.2b (up 2.5% from FY 2021). Net income: CN¥6.61b (up 9.6% from FY 2021). Profit margin: 33% (up from 31% in FY 2021). Revenue missed analyst estimates by 4.6%. Earnings per share (EPS) exceeded analyst estimates by 2.5%. Revenue is forecast to grow 12% p.a. on average during the next 2 years, compared to a 14% growth forecast for the Basic Materials industry in China. Over the last 3 years on average, earnings per share has increased by 50% per year but the company’s share price has only increased by 30% per year, which means it is significantly lagging earnings growth. Board Change • Nov 16
Less than half of directors are independent There is 1 new director who has joined the board in the last 3 years. The new board member was not an independent director. The company's board is composed of: 1 new director. 5 experienced directors. 5 highly experienced directors. 3 independent directors (6 non-independent directors). Deputy GM, CFO & Director Jinrui Ni was the last director to join the board, commencing their role in 2021. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Insufficient board refreshment. Reported Earnings • Oct 23
Third quarter 2022 earnings: EPS and revenues exceed analyst expectations Third quarter 2022 results: EPS: CN¥0.33 (down from CN¥0.43 in 3Q 2021). Revenue: CN¥4.19b (down 21% from 3Q 2021). Net income: CN¥1.31b (down 23% from 3Q 2021). Profit margin: 31% (down from 32% in 3Q 2021). Revenue exceeded analyst estimates by 14%. Earnings per share (EPS) also surpassed analyst estimates by 40%. Revenue is forecast to grow 10.0% p.a. on average during the next 3 years, compared to a 14% growth forecast for the Basic Materials industry in China. Over the last 3 years on average, earnings per share has increased by 54% per year but the company’s share price has only increased by 21% per year, which means it is significantly lagging earnings growth. Price Target Changed • Aug 26
Price target decreased to CN¥21.25 Down from CN¥23.71, the current price target is an average from 14 analysts. New target price is 45% above last closing price of CN¥14.66. Stock is down 17% over the past year. The company is forecast to post earnings per share of CN¥1.67 for next year compared to CN¥1.51 last year. Reported Earnings • Apr 27
First quarter 2022 earnings: EPS and revenues exceed analyst expectations First quarter 2022 results: EPS: CN¥0.46 (up from CN¥0.27 in 1Q 2021). Revenue: CN¥5.13b (up 28% from 1Q 2021). Net income: CN¥1.84b (up 73% from 1Q 2021). Profit margin: 36% (up from 27% in 1Q 2021). Revenue exceeded analyst estimates by 12%. Earnings per share (EPS) also surpassed analyst estimates by 24%. Over the next year, revenue is forecast to grow 4.2%, compared to a 18% growth forecast for the industry in China. Over the last 3 years on average, earnings per share has increased by 47% per year but the company’s share price has only increased by 17% per year, which means it is significantly lagging earnings growth. Board Change • Apr 27
Less than half of directors are independent No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 3 experienced directors. 9 highly experienced directors. 5 independent directors (7 non-independent directors). Independent Director Huaiqi Li was the last independent director to join the board, commencing their role in 2011. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Insufficient board refreshment. Reported Earnings • Oct 26
Third quarter 2021 earnings released: EPS CN¥0.43 (vs CN¥0.13 in 3Q 2020) The company reported a strong third quarter result with improved earnings, revenues and profit margins. Third quarter 2021 results: Revenue: CN¥5.28b (up 77% from 3Q 2020). Net income: CN¥1.71b (up 230% from 3Q 2020). Profit margin: 32% (up from 17% in 3Q 2020). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 26% per year but the company’s share price has increased by 33% per year, which means it is tracking significantly ahead of earnings growth. Valuation Update With 7 Day Price Move • Sep 07
Investor sentiment improved over the past week After last week's 23% share price gain to CN¥21.58, the stock trades at a forward P/E ratio of 16x. Average forward P/E is 9x in the Basic Materials industry in China. Total returns to shareholders of 177% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥28.94 per share. Director Overboarding • Aug 28
Director Zhangli Chang sitting on 4 company boards Director Zhangli Chang has been appointed as the CEO of China National Building Material Company Limited (SEHK:3323). Chang now sits on a total of 4 company boards. With 4 board positions including the role of CEO at China National Building Material Company Limited (SEHK:3323), the director is at risk of having too many board obligations according to the Simply Wall St Risk Model. Director Overboarding • Aug 28
Director Zhangli Chang sitting on 4 company boards Director Zhangli Chang has been appointed as the CEO of China National Building Material Company Limited (SEHK:3323). Chang now sits on a total of 4 company boards. With 4 board positions including the role of CEO at China National Building Material Company Limited (SEHK:3323), the director is at risk of having too many board obligations according to the Simply Wall St Risk Model. Director Overboarding • Aug 28
Director Zhangli Chang sitting on 4 company boards Director Zhangli Chang has been appointed as the CEO of China National Building Material Company Limited (SEHK:3323). Chang now sits on a total of 4 company boards. With 4 board positions including the role of CEO at China National Building Material Company Limited (SEHK:3323), the director is at risk of having too many board obligations according to the Simply Wall St Risk Model. Director Overboarding • Aug 28
Director Zhangli Chang sitting on 4 company boards Director Zhangli Chang has been appointed as the CEO of China National Building Material Company Limited (SEHK:3323). Chang now sits on a total of 4 company boards. With 4 board positions including the role of CEO at China National Building Material Company Limited (SEHK:3323), the director is at risk of having too many board obligations according to the Simply Wall St Risk Model. Director Overboarding • Aug 28
Director Zhangli Chang sitting on 4 company boards Director Zhangli Chang has been appointed as the CEO of China National Building Material Company Limited (SEHK:3323). Chang now sits on a total of 4 company boards. With 4 board positions including the role of CEO at China National Building Material Company Limited (SEHK:3323), the director is at risk of having too many board obligations according to the Simply Wall St Risk Model. Director Overboarding • Aug 28
Director Zhangli Chang sitting on 4 company boards Director Zhangli Chang has been appointed as the CEO of China National Building Material Company Limited (SEHK:3323). Chang now sits on a total of 4 company boards. With 4 board positions including the role of CEO at China National Building Material Company Limited (SEHK:3323), the director is at risk of having too many board obligations according to the Simply Wall St Risk Model. Director Overboarding • Aug 28
Director Zhangli Chang sitting on 4 company boards Director Zhangli Chang has been appointed as the CEO of China National Building Material Company Limited (SEHK:3323). Chang now sits on a total of 4 company boards. With 4 board positions including the role of CEO at China National Building Material Company Limited (SEHK:3323), the director is at risk of having too many board obligations according to the Simply Wall St Risk Model. Director Overboarding • Aug 28
Director Zhangli Chang sitting on 4 company boards Director Zhangli Chang has been appointed as the CEO of China National Building Material Company Limited (SEHK:3323). Chang now sits on a total of 4 company boards. With 4 board positions including the role of CEO at China National Building Material Company Limited (SEHK:3323), the director is at risk of having too many board obligations according to the Simply Wall St Risk Model. Director Overboarding • Aug 28
Director Zhangli Chang sitting on 4 company boards Director Zhangli Chang has been appointed as the CEO of China National Building Material Company Limited (SEHK:3323). Chang now sits on a total of 4 company boards. With 4 board positions including the role of CEO at China National Building Material Company Limited (SEHK:3323), the director is at risk of having too many board obligations according to the Simply Wall St Risk Model. Director Overboarding • Aug 28
Director Zhangli Chang sitting on 4 company boards Director Zhangli Chang has been appointed as the CEO of China National Building Material Company Limited (SEHK:3323). Chang now sits on a total of 4 company boards. With 4 board positions including the role of CEO at China National Building Material Company Limited (SEHK:3323), the director is at risk of having too many board obligations according to the Simply Wall St Risk Model. Director Overboarding • Aug 28
Director Zhangli Chang sitting on 4 company boards Director Zhangli Chang has been appointed as the CEO of China National Building Material Company Limited (SEHK:3323). Chang now sits on a total of 4 company boards. With 4 board positions including the role of CEO at China National Building Material Company Limited (SEHK:3323), the director is at risk of having too many board obligations according to the Simply Wall St Risk Model. 