Valuation Update With 7 Day Price Move • Jul 08
Investor sentiment deteriorates as stock falls 24% After last week's 24% share price decline to CN¥47.32, the stock trades at a trailing P/E ratio of 26.7x. Average trailing P/E is 74x in the Electronic industry in China. Total loss to shareholders of 47% over the past three years. Annonce • Jun 30
China Zhenhua (Group) Science & Technology Co., Ltd to Report First Half, 2026 Results on Aug 26, 2026 China Zhenhua (Group) Science & Technology Co., Ltd announced that they will report first half, 2026 results on Aug 26, 2026 Declared Dividend • Jun 28
Dividend increased to CN¥0.38 Dividend of CN¥0.38 is 111% higher than last year. Ex-date: 30th June 2026 Payment date: 30th June 2026 Dividend yield will be 0.7%, which is lower than the industry average of 1.8%. Sustainability & Growth Dividend is well covered by both earnings (21% earnings payout ratio) and cash flows (24% cash payout ratio). The dividend has increased by an average of 29% per year over the past 10 years. However, payments have been volatile during that time. Earnings per share has grown by 4.2% over the last 5 years. Unless this trend reverses, it should provide support to the dividend and adequate earnings cover. New Risk • Jun 25
New major risk - Revenue and earnings growth Earnings have declined by 7.2% per year over the past 5 years. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are declining over an extended period, then in most cases the share price will decline over time unless the company can turn around its fortunes. A trend of falling earnings can be very difficult to turn around. If the company is well already established it may also be a sign the company has matured and is in decline. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risk Earnings have declined by 7.2% per year over the past 5 years. Minor Risk Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Valuation Update With 7 Day Price Move • Jun 11
Investor sentiment deteriorates as stock falls 16% After last week's 16% share price decline to CN¥49.75, the stock trades at a forward P/E ratio of 20x. Average forward P/E is 39x in the Electronic industry in China. Total loss to shareholders of 39% over the past three years. Valuation Update With 7 Day Price Move • May 25
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to CN¥52.08, the stock trades at a forward P/E ratio of 20x. Average forward P/E is 41x in the Electronic industry in China. Total loss to shareholders of 42% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥21.78 per share. Reported Earnings • Apr 29
First quarter 2026 earnings released: EPS: CN¥0.029 (vs CN¥0.11 in 1Q 2025) First quarter 2026 results: EPS: CN¥0.029 (down from CN¥0.11 in 1Q 2025). Revenue: CN¥836.9m (down 7.9% from 1Q 2025). Net income: CN¥15.9m (down 73% from 1Q 2025). Profit margin: 1.9% (down from 6.4% in 1Q 2025). The decrease in margin was driven by lower revenue. Revenue is forecast to grow 20% p.a. on average during the next 2 years, compared to a 23% growth forecast for the Electronic industry in China. Over the last 3 years on average, earnings per share has fallen by 46% per year but the company’s share price has only fallen by 21% per year, which means it has not declined as severely as earnings. Annonce • Apr 29
China Zhenhua (Group) Science & Technology Co., Ltd, Annual General Meeting, May 19, 2026 China Zhenhua (Group) Science & Technology Co., Ltd, Annual General Meeting, May 19, 2026, at 15:00 China Standard Time. Location: The Company's Meeting Room, Guiyang, Guizhou China New Risk • Apr 21
New minor risk - Dividend sustainability The company has an unstable dividend paying track record. The dividend has had an annual drop of over 20% in the past. Dividend yield: 0.4% This is considered a minor risk. If the company has cut or reduced its dividend in the past, it may be a sign that the underlying business is too cyclical to consistently maintain or grow the dividend over the long-term. It may also indicate the company prioritizes other outcomes instead of maintaining 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. Annonce • Mar 31
China Zhenhua (Group) Science & Technology Co., Ltd to Report Q1, 2026 Results on Apr 29, 2026 China Zhenhua (Group) Science & Technology Co., Ltd announced that they will report Q1, 2026 results on Apr 29, 2026 Annonce • Dec 31
China Zhenhua (Group) Science & Technology Co., Ltd to Report Fiscal Year 2025 Results on Apr 29, 2026 China Zhenhua (Group) Science & Technology Co., Ltd announced that they will report fiscal year 2025 results on Apr 29, 2026 Reported Earnings • Oct 25
Third quarter 2025 earnings released: EPS: CN¥0.56 (vs CN¥0.40 in 3Q 2024) Third quarter 2025 results: EPS: CN¥0.56 (up from CN¥0.40 in 3Q 2024). Revenue: CN¥1.52b (up 16% from 3Q 2024). Net income: CN¥311.2m (up 39% from 3Q 2024). Profit margin: 21% (up from 17% in 3Q 2024). The increase in margin was driven by higher revenue. Revenue is forecast to grow 18% p.a. on average during the next 3 years, compared to a 21% growth forecast for the Electronic industry in China. Over the last 3 years on average, earnings per share has fallen by 40% per year but the company’s share price has only fallen by 29% per year, which means it has not declined as severely as earnings. Annonce • Sep 30
China Zhenhua (Group) Science & Technology Co., Ltd to Report Q3, 2025 Results on Oct 25, 2025 China Zhenhua (Group) Science & Technology Co., Ltd announced that they will report Q3, 2025 results on Oct 25, 2025 Reported Earnings • Aug 22
Second quarter 2025 earnings released: EPS: CN¥0.46 (vs CN¥0.58 in 2Q 2024) Second quarter 2025 results: EPS: CN¥0.46 (down from CN¥0.58 in 2Q 2024). Revenue: CN¥1.50b (up 6.1% from 2Q 2024). Net income: CN¥253.5m (down 20% from 2Q 2024). Profit margin: 17% (down from 23% in 2Q 2024). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 21% p.a. on average during the next 3 years, compared to a 20% growth forecast for the Electronic industry in China. Over the last 3 years on average, earnings per share has fallen by 34% per year but the company’s share price has only fallen by 24% per year, which means it has not declined as severely as earnings. Annonce • Jul 02
China Zhenhua (Group) Science & Technology Co., Ltd to Report First Half, 2025 Results on Aug 27, 2025 China Zhenhua (Group) Science & Technology Co., Ltd announced that they will report first half, 2025 results on Aug 27, 2025 Declared Dividend • Jun 16
Dividend reduced to CN¥0.18 Dividend of CN¥0.18 is 84% lower than last year. Ex-date: 19th June 2025 Payment date: 19th June 2025 Dividend yield will be 0.4%, which is lower than the industry average of 1.8%. Sustainability & Growth Dividend is well covered by both earnings (11% earnings payout ratio) and cash flows (10% cash payout ratio). The dividend has increased by an average of 25% 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. Annonce • May 16
China Zhenhua (Group) Science & Technology Co., Ltd Approves Cash Dividend for 2024 China Zhenhua (Group) Science & Technology Co. Ltd. at its Annual General Meeting held on 14 May 2025 approved cash dividend of CNY 1.80000000 per 10 shares (tax included) for 2024. Annonce • Apr 25
China Zhenhua (Group) Science & Technology Co., Ltd Proposes Final Cash Dividend for 2024 China Zhenhua (Group) Science & Technology Co. Ltd. proposed final cash dividend of CNY 1.80000000 per 10 shares (tax included) for 2024. Reported Earnings • Apr 24
Full year 2024 earnings: Revenues exceed analysts expectations while EPS lags behind Full year 2024 results: EPS: CN¥1.75 (down from CN¥5.13 in FY 2023). Revenue: CN¥5.22b (down 33% from FY 2023). Net income: CN¥970.2m (down 64% from FY 2023). Profit margin: 19% (down from 34% in FY 2023). The decrease in margin was driven by lower revenue. Revenue exceeded analyst estimates by 1.7%. Earnings per share (EPS) missed analyst estimates by 41%. Revenue is forecast to grow 19% p.a. on average during the next 2 years, compared to a 17% growth forecast for the Electronic 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 fallen by 17% per year, which means it is performing significantly worse than earnings. Annonce • Apr 24
China Zhenhua (Group) Science & Technology Co., Ltd, Annual General Meeting, May 14, 2025 China Zhenhua (Group) Science & Technology Co., Ltd, Annual General Meeting, May 14, 2025, at 15:00 China Standard Time. Location: The Company's Meeting Room, Guiyang, Guizhou China Valuation Update With 7 Day Price Move • Apr 18
Investor sentiment deteriorates as stock falls 16% After last week's 16% share price decline to CN¥53.67, the stock trades at a forward P/E ratio of 15x. Average forward P/E is 25x in the Electronic industry in China. Total loss to shareholders of 41% over the past three years. Annonce • Mar 31
China Zhenhua (Group) Science & Technology Co., Ltd to Report Q1, 2025 Results on Apr 24, 2025 China Zhenhua (Group) Science & Technology Co., Ltd announced that they will report Q1, 2025 results on Apr 24, 2025 Valuation Update With 7 Day Price Move • Mar 12
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to CN¥53.30, the stock trades at a forward P/E ratio of 16x. Average forward P/E is 30x in the Electronic industry in China. Total loss to shareholders of 47% over the past three years. Annonce • Dec 31
China Zhenhua (Group) Science & Technology Co., Ltd to Report Fiscal Year 2024 Results on Apr 24, 2025 China Zhenhua (Group) Science & Technology Co., Ltd announced that they will report fiscal year 2024 results on Apr 24, 2025 Major Estimate Revision • Nov 01
Consensus EPS estimates fall by 17% The consensus outlook for fiscal year 2024 has been updated. 2024 EPS estimate fell from CN¥2.40 to CN¥1.99 per share. Revenue forecast steady at CN¥5.16b. Net income forecast to grow 50% next year vs 58% growth forecast for Electronic industry in China. Consensus price target up from CN¥55.72 to CN¥72.84. Share price fell 7.7% to CN¥45.77 over the past week. Price Target Changed • Oct 29
Price target increased by 31% to CN¥72.84 Up from CN¥55.72, the current price target is an average from 2 analysts. New target price is 51% above last closing price of CN¥48.15. Stock is down 28% over the past year. The company is forecast to post earnings per share of CN¥2.13 for next year compared to CN¥5.13 last year. Reported Earnings • Oct 26
Third quarter 2024 earnings: EPS and revenues miss analyst expectations Third quarter 2024 results: EPS: CN¥0.40 (down from CN¥0.99 in 3Q 2023). Revenue: CN¥1.31b (down 24% from 3Q 2023). Net income: CN¥224.4m (down 57% from 3Q 2023). Profit margin: 17% (down from 31% in 3Q 2023). The decrease in margin was driven by lower revenue. Revenue missed analyst estimates by 55%. Earnings per share (EPS) also missed analyst estimates by 62%. Revenue is forecast to grow 20% p.a. on average during the next 3 years, compared to a 18% growth forecast for the Electronic industry in China. Over the last 3 years on average, earnings per share has increased by 2% per year but the company’s share price has fallen by 22% per year, which means it is significantly lagging earnings. Valuation Update With 7 Day Price Move • Oct 21
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to CN¥51.25, the stock trades at a forward P/E ratio of 16x. Average forward P/E is 26x in the Electronic industry in China. Total loss to shareholders of 50% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥92.45 per share. Annonce • Sep 30
China Zhenhua (Group) Science & Technology Co., Ltd to Report Q3, 2024 Results on Oct 26, 2024 China Zhenhua (Group) Science & Technology Co., Ltd announced that they will report Q3, 2024 results on Oct 26, 2024 Valuation Update With 7 Day Price Move • Sep 27
Investor sentiment improves as stock rises 22% After last week's 22% share price gain to CN¥39.70, the stock trades at a forward P/E ratio of 14x. Average forward P/E is 20x in the Electronic industry in China. Total loss to shareholders of 59% over the past three years. Major Estimate Revision • Aug 30
Consensus revenue estimates fall by 28% The consensus outlook for revenues in fiscal year 2024 has deteriorated. 2024 revenue forecast decreased from CN¥7.07b to CN¥5.08b. EPS estimate fell from CN¥4.42 to CN¥2.44 per share. Net income forecast to grow 1.6% next year vs 54% growth forecast for Electronic industry in China. Consensus price target down from CN¥72.20 to CN¥45.44. Share price rose 3.6% to CN¥37.72 over the past week. Reported Earnings • Aug 24
Second quarter 2024 earnings: EPS and revenues miss analyst expectations Second quarter 2024 results: EPS: CN¥0.58 (down from CN¥1.53 in 2Q 2023). Revenue: CN¥1.42b (down 36% from 2Q 2023). Net income: CN¥318.2m (down 60% from 2Q 2023). Profit margin: 23% (down from 36% in 2Q 2023). The decrease in margin was driven by lower revenue. Revenue missed analyst estimates by 18%. Earnings per share (EPS) also missed analyst estimates by 23%. Revenue is forecast to grow 19% p.a. on average during the next 3 years, compared to a 18% growth forecast for the Electronic industry in China. Over the last 3 years on average, earnings per share has increased by 17% per year but the company’s share price has fallen by 28% per year, which means it is significantly lagging earnings. Valuation Update With 7 Day Price Move • Jul 08
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to CN¥34.35, the stock trades at a forward P/E ratio of 7x. Average forward P/E is 21x in the Electronic industry in China. Total loss to shareholders of 45% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥24.69 per share. Annonce • Jun 29
China Zhenhua (Group) Science & Technology Co., Ltd to Report First Half, 2024 Results on Aug 24, 2024 China Zhenhua (Group) Science & Technology Co., Ltd announced that they will report first half, 2024 results on Aug 24, 2024 Annonce • Jun 23
China Zhenhua (Group) Science & Technology Co., Ltd. Announces Cash Dividend on Share A for 2023, Payable on 28 June 2024 China Zhenhua (Group) Science & Technology Co. Ltd. announced cash dividend/10 shares (tax included): CNY 11.14000000 on share A for 2023. Record date: 27 June 2024, Ex-date: 28 June 2024, Payment date: 28 June 2024. Annonce • Apr 29
China Zhenhua (Group) Science & Technology Co., Ltd, Annual General Meeting, May 17, 2024 China Zhenhua (Group) Science & Technology Co., Ltd, Annual General Meeting, May 17, 2024, at 15:00 China Standard Time. Location: The Company's Meeting Room, Guiyang, Guizhou China Reported Earnings • Apr 28
First quarter 2024 earnings: EPS and revenues miss analyst expectations First quarter 2024 results: EPS: CN¥0.18 (down from CN¥1.41 in 1Q 2023). Revenue: CN¥1.01b (down 52% from 1Q 2023). Net income: CN¥101.9m (down 86% from 1Q 2023). Profit margin: 10% (down from 35% in 1Q 2023). The decrease in margin was driven by lower revenue. Revenue missed analyst estimates by 56%. Earnings per share (EPS) also missed analyst estimates by 87%. Revenue is forecast to grow 28% p.a. on average during the next 2 years, compared to a 18% growth forecast for the Electronic industry in China. Over the last 3 years on average, earnings per share has increased by 30% per year but the company’s share price has only increased by 2% per year, which means it is significantly lagging earnings growth. Annonce • Mar 30
China Zhenhua (Group) Science & Technology Co., Ltd to Report Q1, 2024 Results on Apr 27, 2024 China Zhenhua (Group) Science & Technology Co., Ltd announced that they will report Q1, 2024 results on Apr 27, 2024 Valuation Update With 7 Day Price Move • Feb 27
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to CN¥54.03, the stock trades at a forward P/E ratio of 9x. Average forward P/E is 20x in the Electronic industry in China. Total loss to shareholders of 4.2% over the past three years. Annonce • Dec 29
China Zhenhua (Group) Science & Technology Co., Ltd to Report Fiscal Year 2023 Results on Apr 27, 2024 China Zhenhua (Group) Science & Technology Co., Ltd announced that they will report fiscal year 2023 results on Apr 27, 2024 Price Target Changed • Oct 29
Price target decreased by 8.3% to CN¥121 Down from CN¥132, the current price target is an average from 5 analysts. New target price is 84% above last closing price of CN¥65.50. Stock is down 51% over the past year. The company posted earnings per share of CN¥4.60 last year. New Risk • Oct 28
New minor risk - Shareholder dilution The company's shareholders have been diluted in the past year. Increase in shares outstanding: 6.6% This is considered a minor risk. Shareholder dilution occurs when there is an increase in the number of shares on issue that is not proportionally distributed between all shareholders. Often due to the company raising equity capital or some options being converted into stock. All else being equal, if there are more shares outstanding then each existing share will be entitled to a lower proportion of the company's total earnings, thus reducing earnings per share (EPS). While dilution might not always result in lower EPS (like if the company is using the capital to fund an EPS accretive acquisition) in a lot cases it does, along with lower dividends per share and less voting power at shareholder meetings. Currently, the following risks have been identified for the company: Major Risk High level of non-cash earnings (21% accrual ratio). Minor Risks Dividend is not well covered by cash flows (122% cash payout ratio). Shareholders have been diluted in the past year (6.6% increase in shares outstanding). Reported Earnings • Oct 27
Third quarter 2023 earnings: EPS misses analyst expectations Third quarter 2023 results: EPS: CN¥0.99 (down from CN¥1.14 in 3Q 2022). Revenue: CN¥1.72b (down 7.9% from 3Q 2022). Net income: CN¥528.2m (down 11% from 3Q 2022). Profit margin: 31% (in line with 3Q 2022). Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 21%. Revenue is forecast to grow 24% p.a. on average during the next 3 years, compared to a 20% growth forecast for the Electronic 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 16% per year, which means it is significantly lagging earnings growth. Valuation Update With 7 Day Price Move • Oct 13
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to CN¥68.68, the stock trades at a forward P/E ratio of 11x. Average forward P/E is 22x in the Electronic industry in China. Total returns to shareholders of 44% over the past three years. Annonce • Sep 30
China Zhenhua (Group) Science & Technology Co., Ltd to Report Q3, 2023 Results on Oct 27, 2023 China Zhenhua (Group) Science & Technology Co., Ltd announced that they will report Q3, 2023 results on Oct 27, 2023 Reported Earnings • Aug 25
Second quarter 2023 earnings: EPS exceeds analyst expectations while revenues lag behind Second quarter 2023 results: EPS: CN¥1.53 (up from CN¥1.29 in 2Q 2022). Revenue: CN¥2.21b (up 13% from 2Q 2022). Net income: CN¥795.6m (up 20% from 2Q 2022). Profit margin: 36% (up from 34% in 2Q 2022). The increase in margin was driven by higher revenue. Revenue missed analyst estimates by 7.3%. Earnings per share (EPS) exceeded analyst estimates by 3.0%. Revenue is forecast to grow 24% p.a. on average during the next 3 years, compared to a 19% growth forecast for the Electronic industry in China. Over the last 3 years on average, earnings per share has increased by 59% per year but the company’s share price has only increased by 25% per year, which means it is significantly lagging earnings growth. Annonce • Jun 06
China Zhenhua (Group) Science & Technology Co., Ltd Announces Final Cash Dividend on A Shares for 2022, Payable on 09 June 2023 China Zhenhua (Group) Science & Technology Co. Ltd. announced 2022 final distribution plan to be implemented (A shares) of cash dividend per 10 A shares (tax included) of CNY 11.45000000. Record date: 08 June 2023. Ex-date: 09 June 2023. Payment date: 09 June 2023. Annonce • May 20
China Zhenhua (Group) Science & Technology Co., Ltd Approves Cash Dividend for 2022 China Zhenhua (Group) Science & Technology Co. Ltd. at its Annual General Meeting of 2022 held on 18 May 2023, approved cash dividend/10 shares (tax included): CNY 11.45000000. Reported Earnings • Apr 29
First quarter 2023 earnings released: EPS: CN¥1.41 (vs CN¥1.17 in 1Q 2022) First quarter 2023 results: EPS: CN¥1.41 (up from CN¥1.17 in 1Q 2022). Revenue: CN¥2.10b (up 12% from 1Q 2022). Net income: CN¥734.6m (up 21% from 1Q 2022). Profit margin: 35% (up from 32% in 1Q 2022). The increase in margin was driven by higher revenue. Revenue is forecast to grow 35% p.a. on average during the next 2 years, compared to a 17% growth forecast for the Electronic industry in China. Over the last 3 years on average, earnings per share has increased by 65% per year whereas the company’s share price has increased by 64% per year. Board Change • Jan 01
High number of new directors There are 5 new directors who have joined the board in the last 3 years. Non-Independent Director Liming Yang was the last director to join the board, commencing their role in 2022. The company’s lack of board continuity is considered a risk according to the Simply Wall St Risk Model. Annonce • Dec 03
China Zhenhua (Group) Science & Technology Co., Ltd Appoints Yang Liming as A Non-Independent Director China Zhenhua (Group) Science & Technology Co. Ltd. held its 4th Extraordinary General Meeting of 2022 on 01 December 2022 election of Yang Liming as a non-independent director. Price Target Changed • Nov 16
Price target increased to CN¥164 Up from CN¥134, the current price target is an average from 2 analysts. New target price is 36% above last closing price of CN¥120. Stock is up 4.7% over the past year. The company is forecast to post earnings per share of CN¥4.26 for next year compared to CN¥2.89 last year. Reported Earnings • Oct 28
Third quarter 2022 earnings released: EPS: CN¥1.14 (vs CN¥0.85 in 3Q 2021) Third quarter 2022 results: EPS: CN¥1.14 (up from CN¥0.85 in 3Q 2021). Revenue: CN¥1.87b (up 30% from 3Q 2021). Net income: CN¥590.7m (up 34% from 3Q 2021). Profit margin: 32% (in line with 3Q 2021). Revenue is forecast to grow 24% p.a. on average during the next 3 years, compared to a 20% growth forecast for the Electronic industry in China. Over the last 3 years on average, earnings per share has increased by 74% per year but the company’s share price has increased by 102% per year, which means it is tracking significantly ahead of earnings growth. Reported Earnings • Aug 26
Second quarter 2022 earnings released: EPS: CN¥1.29 (vs CN¥0.52 in 2Q 2021) Second quarter 2022 results: EPS: CN¥1.29 (up from CN¥0.52 in 2Q 2021). Revenue: CN¥1.95b (up 29% from 2Q 2021). Net income: CN¥665.6m (up 148% from 2Q 2021). Profit margin: 34% (up from 18% in 2Q 2021). The increase in margin was driven by higher revenue. Over the next year, revenue is forecast to grow 28%, compared to a 25% growth forecast for the Electronic industry in China. Over the last 3 years on average, earnings per share has increased by 72% per year but the company’s share price has increased by 91% per year, which means it is tracking significantly ahead of earnings growth. Annonce • Jul 09
China Zhenhua (Group) Science & Technology Co., Ltd Announces Final Cash Dividend on A Shares for 2021, Payable on 14 July 2022 China Zhenhua (Group) Science & Technology Co. Ltd. announced final cash dividend of CNY 3.00000000 per 10 shares on A shares for 2021. Record date: 13 July 2022, Ex-date: 14 July 2022 and Payment date: 14 July 2022. Annonce • May 24
China Zhenhua (Group) Science & Technology Co., Ltd Approves Cash Dividend for the Year 2021 China Zhenhua (Group) Science & Technology Co. Ltd. announced that at its Annual General Meeting of 2021 held on 20 May 2022, approved Cash dividend/10 shares (tax included) of CNY 3.00000000 for the year 2021. Price Target Changed • May 05
Price target increased to CN¥156 Up from CN¥134, the current price target is an average from 6 analysts. New target price is 47% above last closing price of CN¥106. Stock is up 118% over the past year. The company is forecast to post earnings per share of CN¥3.86 for next year compared to CN¥2.89 last year. Annonce • May 02
China Zhenhua (Group) Science & Technology Co., Ltd Proposes Final Cash Dividend for the Year 2021 China Zhenhua (Group) Science & Technology Co. Ltd. proposed final cash dividend of CNY 3.00000000 per 10 shares (tax included) for the year 2021. Reported Earnings • Apr 30
First quarter 2022 earnings: EPS and revenues exceed analyst expectations First quarter 2022 results: EPS: CN¥1.17 (up from CN¥0.48 in 1Q 2021). Revenue: CN¥1.89b (up 44% from 1Q 2021). Net income: CN¥607.3m (up 146% from 1Q 2021). Profit margin: 32% (up from 19% in 1Q 2021). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 1.3%. Earnings per share (EPS) also surpassed analyst estimates by 11%. Over the next year, revenue is forecast to grow 20%, compared to a 25% growth forecast for the industry in China. Over the last 3 years on average, earnings per share has increased by 65% per year but the company’s share price has increased by 89% per year, which means it is tracking significantly ahead of earnings growth. Annonce • Apr 27
China Zhenhua (Group) Science & Technology Co., Ltd announced that it expects to receive CNY 2.5 billion in funding China Zhenhua (Group) Science & Technology Co., Ltd announced a private placement of common shares for gross proceeds of up to CNY 2,500,000,000 on April 26, 2022. Reported Earnings • Mar 11
Full year 2021 earnings: EPS and revenues exceed analyst expectations Full year 2021 results: EPS: CN¥2.90 (up from CN¥1.18 in FY 2020). Revenue: CN¥5.66b (up 43% from FY 2020). Net income: CN¥1.49b (up 147% from FY 2020). Profit margin: 26% (up from 15% in FY 2020). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 1.3%. Earnings per share (EPS) also surpassed analyst estimates by 11%. Over the next year, revenue is forecast to grow 31%, compared to a 32% growth forecast for the industry in China. Over the last 3 years on average, earnings per share has increased by 56% per year but the company’s share price has increased by 94% per year, which means it is tracking significantly ahead of earnings growth. Board Change • Jan 02
High number of new directors There are 5 new directors who have joined the board in the last 3 years. Independent Director Chuanli Yu was the last director to join the board, commencing their role in 2021. The company’s lack of board continuity is considered a risk according to the Simply Wall St Risk Model. Price Target Changed • Oct 28
Price target increased to CN¥134 Up from CN¥119, the current price target is an average from 7 analysts. New target price is 30% above last closing price of CN¥103. Stock is up 138% over the past year. The company is forecast to post earnings per share of CN¥2.51 for next year compared to CN¥1.18 last year. Reported Earnings • Oct 25
Third quarter 2021 earnings released: EPS CN¥0.85 (vs CN¥0.24 in 3Q 2020) The company reported a strong third quarter result with improved earnings, revenues and profit margins. Third quarter 2021 results: Revenue: CN¥1.43b (up 37% from 3Q 2020). Net income: CN¥440.3m (up 258% from 3Q 2020). Profit margin: 31% (up from 12% 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 46% per year but the company’s share price has increased by 110% per year, which means it is tracking significantly ahead of earnings growth. Reported Earnings • Aug 29
Second quarter 2021 earnings released: EPS CN¥0.52 (vs CN¥0.24 in 2Q 2020) The company reported a strong second quarter result with improved earnings, revenues and profit margins. Second quarter 2021 results: Revenue: CN¥1.51b (up 33% from 2Q 2020). Net income: CN¥268.7m (up 115% from 2Q 2020). Profit margin: 18% (up from 11% in 2Q 2020). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 36% per year but the company’s share price has increased by 98% per year, which means it is tracking significantly ahead of earnings growth. Valuation Update With 7 Day Price Move • Jul 16
Investor sentiment improved over the past week After last week's 17% share price gain to CN¥73.00, the stock trades at a forward P/E ratio of 38x. Average forward P/E is 28x in the Communications industry in China. Total returns to shareholders of 425% over the past three years. Valuation Update With 7 Day Price Move • Jun 23
Investor sentiment improved over the past week After last week's 15% share price gain to CN¥60.65, the stock trades at a forward P/E ratio of 31x. Average forward P/E is 29x in the Communications industry in China. Total returns to shareholders of 375% over the past three years. Annonce • May 22
China Zhenhua (Group) Science & Technology Co., Ltd Approves Cash Dividend for the Year 2020 China Zhenhua (Group) Science & Technology Co. Ltd. announced at the AGM held on ay 20, 2021 that the company approved Cash dividend/10 shares (tax included) of CNY 1.50000000 for the year 2020. Reported Earnings • May 02
First quarter 2021 earnings released: EPS CN¥0.48 (vs CN¥0.21 in 1Q 2020) The company reported a strong first quarter result with improved earnings, revenues and profit margins. First quarter 2021 results: Revenue: CN¥1.31b (up 47% from 1Q 2020). Net income: CN¥246.7m (up 123% from 1Q 2020). Profit margin: 19% (up from 13% in 1Q 2020). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 27% per year but the company’s share price has increased by 48% per year, which means it is tracking significantly ahead of earnings growth. Annonce • May 01
China Zhenhua (Group) Science & Technology Co., Ltd Proposes Cash Dividend for the Year 2020 China Zhenhua (Group) Science & Technology Co. Ltd. announced on 30 April 2021 Cash dividend/10 shares (tax included) of CNY 1.50000000 for the year 2020. Reported Earnings • Apr 11
Full year 2020 earnings released: EPS CN¥1.18 (vs CN¥0.53 in FY 2019) The company reported a strong full year result with improved earnings, revenues and profit margins. Full year 2020 results: Revenue: CN¥3.95b (up 19% from FY 2019). Net income: CN¥605.6m (up 124% from FY 2019). Profit margin: 15% (up from 8.2% in FY 2019). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 18% per year but the company’s share price has increased by 61% per year, which means it is tracking significantly ahead of earnings growth. Valuation Update With 7 Day Price Move • Mar 09
Investor sentiment deteriorated over the past week After last week's 15% share price decline to CN¥48.77, the stock is trading at a trailing P/E ratio of 75.8x, down from the previous P/E ratio of 89.4x. This compares to an average P/E of 51x in the Communications industry in China. Total returns to shareholders over the past three years are 270%. Is New 90 Day High Low • Jan 28
New 90-day high: CN¥65.78 The company is up 58% from its price of CN¥41.75 on 30 October 2020. The Chinese market is up 9.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Communications industry, which is down 9.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is CN¥2.18 per share. Is New 90 Day High Low • Dec 22
New 90-day high: CN¥50.36 The company is up 7.0% from its price of CN¥47.12 on 23 September 2020. The Chinese market is up 5.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Communications industry, which is down 8.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is CN¥1.88 per share. Reported Earnings • Oct 29
Third quarter earnings released Over the last 12 months the company has reported total profits of CN¥307.8m, down 16% from the prior year. Total revenue was CN¥3.38b over the last 12 months, down 16% from the prior year. Annonce • Aug 10
China Zhenhua (Group) Science & Technology Co., Ltd to Report First Half, 2020 Results on Aug 27, 2020 China Zhenhua (Group) Science & Technology Co., Ltd announced that they will report first half, 2020 results on Aug 27, 2020