| Snowflake Score | |
|---|---|
| Valuation | 0/6 |
| Future Growth | 6/6 |
| Past Performance | 5/6 |
| Financial Health | 3/6 |
| Dividends | 2/6 |
603650 Overview
Red Avenue New Materials Group Co., Ltd. manufactures and sells chemical materials in China and internationally.
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | CN¥54.40 |
| 52 Week High | CN¥28.00 |
| 52 Week Low | CN¥78.45 |
| Beta | 0.13 |
| 1 Month Change | -15.07% |
| 3 Month Change | 13.95% |
| 1 Year Change | 62.53% |
| 3 Year Change | 100.22% |
| 5 Year Change | n/a |
| Change since IPO | 206.65% |
Recent News & Updates
Shareholder Returns
| 603650 | CN Chemicals | CN Market | |
|---|---|---|---|
| 7D | 2.6% | -2.2% | 0.6% |
| 1Y | 62.5% | 78.0% | 13.7% |
Return vs Industry: 603650 underperformed the CN Chemicals industry which returned 78% over the past year.
Return vs Market: 603650 exceeded the CN Market which returned 13.7% over the past year.
Price Volatility
| 603650 volatility | |
|---|---|
| 603650 Beta | 0.13 |
| Industry Beta | 0.77 |
| Market Beta | 1 |
Stable Share Price: 603650 is more volatile than 75% of CN stocks over the past 3 months, typically moving +/- 10% a week.
Volatility Over Time: 603650's weekly volatility (10%) has been stable over the past year, but is still higher than 75% of CN stocks.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 1999 | 609 | n/a | https://www.rachem.com |
Red Avenue New Materials Group Co., Ltd. manufactures and sells chemical materials in China and internationally. The company offers tackifying resins, phenol-formaldehyde reinforcing products, adhesion promoter resins, bonding agents, curing resins, and additives.
Red Avenue New Materials Group Fundamentals Summary
| 603650 fundamental statistics | |
|---|---|
| Market Cap | CN¥31.89b |
| Earnings (TTM) | CN¥467.57m |
| Revenue (TTM) | CN¥2.28b |
68.2x
P/E Ratio14.0x
P/S RatioIs 603650 overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| 603650 income statement (TTM) | |
|---|---|
| Revenue | CN¥2.28b |
| Cost of Revenue | CN¥1.52b |
| Gross Profit | CN¥756.43m |
| Expenses | CN¥288.85m |
| Earnings | CN¥467.57m |
Last Reported Earnings
Jun 30, 2021
Next Earnings Date
n/a
| Earnings per share (EPS) | 0.80 |
| Gross Margin | 33.25% |
| Net Profit Margin | 20.55% |
| Debt/Equity Ratio | 87.9% |
How did 603650 perform over the long term?
See historical performance and comparisonDividends
0.6%
Current Dividend Yield43%
Payout RatioValuation
Is Red Avenue New Materials Group undervalued compared to its fair value and its price relative to the market?
68.18x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: 603650 (CN¥54.4) is trading above our estimate of fair value (CN¥11.08)
Significantly Below Fair Value: 603650 is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: 603650 is poor value based on its PE Ratio (68.2x) compared to the CN Chemicals industry average (35.5x).
PE vs Market: 603650 is poor value based on its PE Ratio (68.2x) compared to the CN market (35.1x).
Price to Earnings Growth Ratio
PEG Ratio: 603650 is poor value based on its PEG Ratio (2.3x)
Price to Book Ratio
PB vs Industry: 603650 is overvalued based on its PB Ratio (12.9x) compared to the CN Chemicals industry average (3.5x).
Future Growth
How is Red Avenue New Materials Group forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?
29.5%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: 603650's forecast earnings growth (29.5% per year) is above the savings rate (3.3%).
Earnings vs Market: 603650's earnings (29.5% per year) are forecast to grow faster than the CN market (23% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: 603650's revenue (26.9% per year) is forecast to grow faster than the CN market (18.1% per year).
High Growth Revenue: 603650's revenue (26.9% per year) is forecast to grow faster than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: 603650's Return on Equity is forecast to be high in 3 years time (25.2%)
Past Performance
How has Red Avenue New Materials Group performed over the past 5 years?
6.0%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: 603650 has high quality earnings.
Growing Profit Margin: 603650's current net profit margins (20.6%) are higher than last year (13.7%).
Past Earnings Growth Analysis
Earnings Trend: 603650's earnings have grown by 6% per year over the past 5 years.
Accelerating Growth: 603650's earnings growth over the past year (68.5%) exceeds its 5-year average (6% per year).
Earnings vs Industry: 603650 earnings growth over the past year (68.5%) exceeded the Chemicals industry 36.5%.
Return on Equity
High ROE: 603650's Return on Equity (18.5%) is considered low.
Financial Health
How is Red Avenue New Materials Group's financial position?
Financial Position Analysis
Short Term Liabilities: 603650's short term assets (CN¥2.4B) exceed its short term liabilities (CN¥1.8B).
Long Term Liabilities: 603650's short term assets (CN¥2.4B) exceed its long term liabilities (CN¥1.1B).
Debt to Equity History and Analysis
Debt Level: 603650's debt to equity ratio (87.9%) is considered high.
Reducing Debt: 603650's debt to equity ratio has increased from 51.4% to 87.9% over the past 5 years.
Debt Coverage: 603650's debt is not well covered by operating cash flow (13.5%).
Interest Coverage: 603650 earns more interest than it pays, so coverage of interest payments is not a concern.
Balance Sheet
Dividend
What is Red Avenue New Materials Group current dividend yield, its reliability and sustainability?
0.62%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: 603650's dividend (0.62%) is higher than the bottom 25% of dividend payers in the CN market (0.41%).
High Dividend: 603650's dividend (0.62%) is low compared to the top 25% of dividend payers in the CN market (1.76%).
Stability and Growth of Payments
Stable Dividend: Whilst dividend payments have been stable, 603650 has been paying a dividend for less than 10 years.
Growing Dividend: 603650 has only been paying a dividend for 2 years, and since then payments have not increased.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (43.1%), 603650's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
CEO
Red Avenue New Materials Group has no CEO, or we have no data on them.
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
Red Avenue New Materials Group Co., Ltd.'s employee growth, exchange listings and data sources
Key Information
- Name: Red Avenue New Materials Group Co., Ltd.
- Ticker: 603650
- Exchange: SHSE
- Founded: 1999
- Industry: Commodity Chemicals
- Sector: Materials
- Market Cap: CN¥31.889b
- Shares outstanding: 585.99m
- Website: https://www.rachem.com
Number of Employees
Location
- Red Avenue New Materials Group Co., Ltd.
- Shanghai Tower
- 25th Floor
- Shanghai
- 200120
- China
Listings
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/09/24 09:04 |
| End of Day Share Price | 2021/09/24 00:00 |
| Earnings | 2021/06/30 |
| Annual Earnings | 2020/12/31 |
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.