OTCPK:CXEE

Stock Analysis Report

China Xuefeng Environmental Engineering

Executive Summary

China Xuefeng Environmental Engineering, Inc., through its subsidiaries, provides garbage-processing equipment in the People’s Republic of China.

Rewards

Revenue grew by 34.1% over the past year

Risk Analysis

Latest financial reports are more than a year old

Profit margins (34.5%) are lower than last year (56%)

Shareholders have been diluted in the past year



Snowflake Analysis

Excellent balance sheet and overvalued.

Share Price & News

How has China Xuefeng Environmental Engineering's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: CXEE has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

0%

CXEE

1.2%

US Commercial Services

0.8%

US Market


1 Year Return

n/a

CXEE

23.8%

US Commercial Services

25.1%

US Market

Return vs Industry: Insufficient data to determine how CXEE performed against the US Commercial Services industry.

Return vs Market: Insufficient data to determine how CXEE performed against the US Market.


Shareholder returns

CXEEIndustryMarket
7 Day0%1.2%0.8%
30 Day0%3.8%3.1%
90 Day0%5.3%10.9%
1 Yearn/a28.4%23.8%27.7%25.1%
3 Year-45.9%-45.9%65.3%54.4%51.3%41.6%
5 Year-47.7%-47.7%108.4%87.3%77.2%57.6%

Price Volatility Vs. Market

How volatile is China Xuefeng Environmental Engineering's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is China Xuefeng Environmental Engineering undervalued compared to its fair value and its price relative to the market?

27.1x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: CXEE ($2.05) is trading above our estimate of fair value ($0)

Significantly Below Fair Value: CXEE is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: CXEE is poor value based on its PE Ratio (27.1x) compared to the Commercial Services industry average (26.4x).

PE vs Market: CXEE is poor value based on its PE Ratio (27.1x) compared to the US market (18.9x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate CXEE's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: CXEE is good value based on its PB Ratio (2x) compared to the US Commercial Services industry average (2.1x).


Next Steps

Future Growth

How is China Xuefeng Environmental Engineering forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

16.9%

Forecasted Commercial Services industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as China Xuefeng Environmental Engineering has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has China Xuefeng Environmental Engineering performed over the past 5 years?

-17.4%

Last years earnings growth


Earnings and Revenue History

Quality Earnings: CXEE has high quality earnings.

Growing Profit Margin: CXEE's current net profit margins (34.5%) are lower than last year (56%).


Past Earnings Growth Analysis

Earnings Trend: Insufficient data to determine if CXEE's year-on-year earnings growth rate was positive over the past 5 years.

Accelerating Growth: CXEE's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: CXEE had negative earnings growth (-17.4%) over the past year, making it difficult to compare to the Commercial Services industry average (-1.3%).


Return on Equity

High ROE: CXEE's Return on Equity (7.3%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is China Xuefeng Environmental Engineering's financial position?


Financial Position Analysis

Short Term Liabilities: CXEE's short term assets ($27.7M) exceed its short term liabilities ($15.0M).

Long Term Liabilities: CXEE's short term assets ($27.7M) exceed its long term liabilities ($4.6M).


Debt to Equity History and Analysis

Debt Level: CXEE's debt to equity ratio (14.8%) is considered satisfactory.

Reducing Debt: CXEE's debt to equity ratio has increased from 1.2% to 14.8% over the past 5 years.

Debt Coverage: CXEE's debt is well covered by operating cash flow (119%).

Interest Coverage: CXEE earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: CXEE has a high level of physical assets or inventory.

Debt Coverage by Assets: CXEE's debt is covered by short term assets (assets are 2.7x debt).


Next Steps

Dividend

What is China Xuefeng Environmental Engineering's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.7%industryaverage1.5%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate CXEE's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate CXEE's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if CXEE's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if CXEE's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of CXEE's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

What is the CEO of China Xuefeng Environmental Engineering's salary, the management and board of directors tenure and is there insider trading?

7.2yrs

Average board tenure


CEO

Li Yuan (44yo)

7.2yrs

Tenure

US$22,810

Compensation

Mr. Li Yuan has been the Chairman and Chief Executive Officer of China Xuefeng Environmental Engineering, Inc. since November 2012 and has been its Chief Financial Officer since October 13, 2017. Mr. Yuan  ...


CEO Compensation Analysis

Compensation vs Market: Li's total compensation ($USD0.00) is below average for companies of similar size in the US market ($USD519.76K).

Compensation vs Earnings: Li's compensation has been consistent with company performance over the past year.


Board Age and Tenure

7.2yrs

Average Tenure

47yo

Average Age

Experienced Board: CXEE's board of directors are considered experienced (7.2 years average tenure).


Insider Trading

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 been diluted in the past year, with total shares outstanding growing by 3.7%.


Management Team

  • Li Yuan (44yo)

    Chairman

    • Tenure: 7.2yrs
    • Compensation: US$22.81k

Board Members

  • Xiaojun Zhuang (47yo)

    Director

    • Tenure: 7.2yrs
    • Compensation: US$714.00
  • Li Yuan (44yo)

    Chairman

    • Tenure: 7.2yrs
    • Compensation: US$22.81k
  • Yi Yuan (54yo)

    Director

    • Tenure: 7.2yrs
    • Compensation: US$3.81k

Company Information

China Xuefeng Environmental Engineering, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: China Xuefeng Environmental Engineering, Inc.
  • Ticker: CXEE
  • Exchange: OTCPK
  • Founded: 2007
  • Industry: Environmental and Facilities Services
  • Sector: Commercial Services
  • Market Cap: US$136.368m
  • Shares outstanding: 66.52m
  • Website: https://www.cxfee.com

Number of Employees


Location

  • China Xuefeng Environmental Engineering, Inc.
  • 229 Tongda Avenue
  • Economic and Technological Development Zone
  • Suqian
  • Jiangsu Province
  • 223800
  • China

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CXEEOTCPK (Pink Sheets LLC)YesCommon StockUSUSDNov 2012

Biography

China Xuefeng Environmental Engineering, Inc., through its subsidiaries, provides garbage-processing equipment in the People’s Republic of China. Its equipment comprise waste digestion pretreatment system, methane gas power generation system, sorting processing system, bricklaying building system, leachate treatment system, distribution control system, XFET-5 ecological and water-saving toilets and excrement comprehensive processing system, and various material collection systems. The company also leases garbage-processing units; and recycles the garbage and manufacture products, such as ferrous metals, organic fertilizers, wood-plastic trays, and hollow bricks. China Xuefeng Environmental Engineering, Inc. was founded in 2007 and is based in Suqian, the People’s Republic of China. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/01/20 00:24
End of Day Share Price2019/10/22 00:00
Earnings2018/11/30
Annual Earnings2018/05/31


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.