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6013

China Railway Group SHSE:601390 Stock Report

Last Price

CN¥6.14

Market Cap

CN¥143.2b

7D

-0.3%

1Y

16.7%

Updated

30 Jun, 2022

Data

Company Financials +
601390 fundamental analysis
Snowflake Score
Valuation6/6
Future Growth1/6
Past Performance3/6
Financial Health4/6
Dividends5/6

601390 Stock Overview

China Railway Group Limited, together with its subsidiaries, operates as an integrated construction company in the People’s Republic of China, Hong Kong, and Macau.

China Railway Group Competitors

Price History & Performance

Summary of all time highs, changes and price drops for China Railway Group
Historical stock prices
Current Share PriceCN¥6.14
52 Week HighCN¥7.32
52 Week LowCN¥4.97
Beta0.20
1 Month Change-6.54%
3 Month Change0.66%
1 Year Change16.73%
3 Year Change-7.67%
5 Year Change-29.10%
Change since IPO-24.10%

Recent News & Updates

Shareholder Returns

601390CN ConstructionCN Market
7D-0.3%1.8%3.2%
1Y16.7%20.0%-10.1%

Return vs Industry: 601390 underperformed the CN Construction industry which returned 20% over the past year.

Return vs Market: 601390 exceeded the CN Market which returned -10.1% over the past year.

Price Volatility

Is 601390's price volatile compared to industry and market?
601390 volatility
601390 Average Weekly Movement5.4%
Construction Industry Average Movement7.7%
Market Average Movement7.2%
10% most volatile stocks in CN Market10.1%
10% least volatile stocks in CN Market5.1%

Stable Share Price: 601390 is less volatile than 75% of CN stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: 601390's weekly volatility (5%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1950294,013n/ahttps://www.crec.cn

China Railway Group Limited, together with its subsidiaries, operates as an integrated construction company in the People’s Republic of China, Hong Kong, and Macau. Its Infrastructure Construction segment constructs railways, highways, bridges, tunnels, metropolitan railways, buildings, irrigation works, hydroelectricity projects, ports, docks, airports, and other municipal works. The company’s Survey, Design and Consulting Services segment provides survey, design, consulting, research and development, feasibility study, and compliance certification services to infrastructure construction projects.

China Railway Group Fundamentals Summary

How do China Railway Group's earnings and revenue compare to its market cap?
601390 fundamental statistics
Market CapCN¥143.24b
Earnings (TTM)CN¥26.57b
Revenue (TTM)CN¥1.10t

5.7x

P/E Ratio

0.1x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
601390 income statement (TTM)
RevenueCN¥1.10t
Cost of RevenueCN¥993.33b
Gross ProfitCN¥110.00b
Other ExpensesCN¥83.43b
EarningsCN¥26.57b

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)1.07
Gross Margin9.97%
Net Profit Margin2.41%
Debt/Equity Ratio89.2%

How did 601390 perform over the long term?

See historical performance and comparison

Dividends

3.2%

Current Dividend Yield

18%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

Is 601390 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

6/6

Valuation Score 6/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • PEG Ratio

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 601390?

Other financial metrics that can be useful for relative valuation.

601390 key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue0.4x
Enterprise Value/EBITDA8.1x
PEG Ratio0.5x

Price to Earnings Ratio vs Peers

How does 601390's PE Ratio compare to its peers?

601390 PE Ratio vs Peers
The above table shows the PE ratio for 601390 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average8.7x
601669 Power Construction Corporation of China
13.6x15.9%CN¥121.0b
601186 China Railway Construction
4.8x13.0%CN¥99.4b
601668 China State Construction Engineering
4.2x11.6%CN¥231.9b
601117 China National Chemical Engineering
11.9x20.0%CN¥57.9b
601390 China Railway Group
5.7x11.6%CN¥143.2b

Price-To-Earnings vs Peers: 601390 is good value based on its Price-To-Earnings Ratio (5.7x) compared to the peer average (8.7x).


Price to Earnings Ratio vs Industry

How does 601390's PE Ratio compare vs other companies in the CN Construction Industry?

Price-To-Earnings vs Industry: 601390 is good value based on its Price-To-Earnings Ratio (5.7x) compared to the CN Construction industry average (24.8x)


Price to Earnings Ratio vs Fair Ratio

What is 601390's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

601390 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio5.7x
Fair PE Ratio23.8x

Price-To-Earnings vs Fair Ratio: 601390 is good value based on its Price-To-Earnings Ratio (5.7x) compared to the estimated Fair Price-To-Earnings Ratio (23.8x).


Share Price vs Fair Value

What is the Fair Price of 601390 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 601390 (CN¥6.14) is trading below our estimate of fair value (CN¥9.79)

Significantly Below Fair Value: 601390 is trading below fair value by more than 20%.


Price to Earnings Growth Ratio

PEG Ratio: 601390 is good value based on its PEG Ratio (0.5x)


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Future Growth

How is China Railway Group forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?

Future Growth Score

1/6

Future Growth Score 1/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


11.6%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 601390's forecast earnings growth (11.6% per year) is above the savings rate (3.2%).

Earnings vs Market: 601390's earnings (11.6% per year) are forecast to grow slower than the CN market (23.9% per year).

High Growth Earnings: 601390's earnings are forecast to grow, but not significantly.

Revenue vs Market: 601390's revenue (9.2% per year) is forecast to grow slower than the CN market (17.5% per year).

High Growth Revenue: 601390's revenue (9.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 601390's Return on Equity is forecast to be low in 3 years time (11.1%).


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Past Performance

How has China Railway Group performed over the past 5 years?

Past Performance Score

3/6

Past Performance Score 3/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


14.8%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: 601390 has high quality earnings.

Growing Profit Margin: 601390's current net profit margins (2.4%) are lower than last year (2.5%).


Past Earnings Growth Analysis

Earnings Trend: 601390's earnings have grown by 14.8% per year over the past 5 years.

Accelerating Growth: 601390's earnings growth over the past year (0.01%) is below its 5-year average (14.8% per year).

Earnings vs Industry: 601390 earnings growth over the past year (0.01%) exceeded the Construction industry -2.7%.


Return on Equity

High ROE: 601390's Return on Equity (8.5%) is considered low.


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Financial Health

How is China Railway Group's financial position?

Financial Health Score

4/6

Financial Health Score 4/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: 601390's short term assets (CN¥826.3B) exceed its short term liabilities (CN¥795.2B).

Long Term Liabilities: 601390's short term assets (CN¥826.3B) exceed its long term liabilities (CN¥243.7B).


Debt to Equity History and Analysis

Debt Level: 601390's net debt to equity ratio (51.8%) is considered high.

Reducing Debt: 601390's debt to equity ratio has reduced from 103.2% to 89.2% over the past 5 years.

Debt Coverage: 601390's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: 601390's interest payments on its debt are well covered by EBIT (40.1x coverage).


Balance Sheet


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Dividend

What is China Railway Group current dividend yield, its reliability and sustainability?

Dividend Score

6/6

Dividend Score 6/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


3.19%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: 601390's dividend (3.19%) is higher than the bottom 25% of dividend payers in the CN market (0.48%).

High Dividend: 601390's dividend (3.19%) is in the top 25% of dividend payers in the CN market (1.94%)


Stability and Growth of Payments

Stable Dividend: 601390's dividends per share have been stable in the past 10 years.

Growing Dividend: 601390's dividend payments have increased over the past 10 years.


Earnings Payout to Shareholders

Earnings Coverage: With its low payout ratio (17.9%), 601390's dividend payments are well covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: 601390 is paying a dividend but the company has no free cash flows.


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Management

How experienced are the management team and are they aligned to shareholders interests?

3.9yrs

Average management tenure


CEO

China Railway Group has no CEO, or we have no data on them.


Leadership Team

Experienced Management: 601390's management team is considered experienced (3.9 years average tenure).


Board Members

Experienced Board: 601390's board of directors are not considered experienced ( 1.3 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

China Railway Group Limited's employee growth, exchange listings and data sources


Key Information

  • Name: China Railway Group Limited
  • Ticker: 601390
  • Exchange: SHSE
  • Founded: 1950
  • Industry: Construction and Engineering
  • Sector: Capital Goods
  • Implied Market Cap: CN¥143.239b
  • Shares outstanding: 24.74b
  • Website: https://www.crec.cn

Number of Employees


Location

  • China Railway Group Limited
  • Block A
  • China Railway Square
  • Beijing
  • 100039
  • China

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/06/30 00:00
End of Day Share Price2022/06/30 00:00
Earnings2022/03/31
Annual Earnings2021/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.