Cango (NYSE:CANG) - Share price, News & Analysis

CANG fundamental analysis
Snowflake Score
Valuation	1/6
Future Growth	4/6
Past Performance	0/6
Financial Health	5/6
Dividends	2/6

CANG Stock Overview

Rewards

Earnings are forecast to grow 68.81% per year

Risk Analysis

Highly volatile share price over the past 3 months

Dividend of 32.96% is not well covered by earnings

Cango Competitors

Yixin Group

SEHK:2858

HK$5.1b

Price History & Performance

Summary of all time highs, changes and price drops for Cango
Historical stock prices
Current Share Price	US$2.99
52 Week High	US$6.19
52 Week Low	US$1.95
Beta	0.74
1 Month Change	26.70%
3 Month Change	-4.78%
1 Year Change	-45.14%
3 Year Change	-40.20%
5 Year Change	n/a
Change since IPO	-76.12%

Recent News & Updates

Apr 28

Investors Could Be Concerned With Cango's (NYSE:CANG) Returns On Capital

What trends should we look for it we want to identify stocks that can multiply in value over the long term? Firstly...

Shareholder Returns

	CANG	US Online Retail	US Market
7D	-6.0%	-9.9%	-4.0%
1Y	-45.1%	-46.2%	-13.2%

Return vs Industry: CANG underperformed the US Online Retail industry which returned -43.6% over the past year.

Return vs Market: CANG underperformed the US Market which returned -12.3% over the past year.

Price Volatility

Is CANG's price volatile compared to industry and market?
CANG volatility
CANG Average Weekly Movement	18.2%
Online Retail Industry Average Movement	13.5%
Market Average Movement	7.8%
10% most volatile stocks in US Market	16.8%
10% least volatile stocks in US Market	2.9%

Stable Share Price: CANG is more volatile than 90% of US stocks over the past 3 months, typically moving +/- 18% a week.

Volatility Over Time: CANG's weekly volatility has increased from 12% to 18% over the past year.

About the Company

Founded	Employees	CEO	Website
2010	2,351	Jiayuan Lin	https://www.cangoonline.com

Cango Inc. operates an automotive transaction service platform that connects dealers, original equipment manufacturer, financial institutions, car buyers, and other industry participants in the People’s Republic of China. The company offers automobile trading solutions, including car sourcing, logistics, and warehousing support for dealers; and facilitation of car purchases for car buyers. It also facilitates automotive financing services that include facilitating financing transactions from financial institutions to car buyers; and after-market services to car buyers, which includes facilitating the sale of insurance policies from insurance brokers or companies.

Cango Fundamentals Summary

How do Cango's earnings and revenue compare to its market cap?
CANG fundamental statistics
Market Cap	CN¥2.76b
Earnings (TTM)	-CN¥8.54m
Revenue (TTM)	CN¥3.92b

0.7x

P/S Ratio

-323.1x

P/E Ratio

Is CANG overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
CANG income statement (TTM)
Revenue	CN¥3.92b
Cost of Revenue	CN¥3.16b
Gross Profit	CN¥760.29m
Other Expenses	CN¥768.84m
Earnings	-CN¥8.54m

Last Reported Earnings

Dec 31, 2021

Next Earnings Date

n/a

Earnings per share (EPS)	-0.062
Gross Margin	19.39%
Net Profit Margin	-0.22%
Debt/Equity Ratio	28.7%

How did CANG perform over the long term?

See historical performance and comparison

Dividends

33.0%

Current Dividend Yield

n/a

Payout Ratio

Does CANG pay a reliable dividends?

See CANG dividend history and benchmarks

When do you need to buy CANG by to receive an upcoming dividend?
Cango dividend dates
Ex Dividend Date	May 24 2022
Dividend Pay Date	Jun 15 2022
Days until Ex dividend	1 day
Days until Dividend pay date	21 days

Does CANG pay a reliable dividends?

See CANG dividend history and benchmarks

Valuation

Is Cango undervalued compared to its fair value and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

Below Fair Value
Significantly Below Fair Value
PE vs Industry
PE vs Market
PEG Ratio
PB vs Industry

0.39x

Price to Book (PB) ratio

Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate CANG's fair value for valuation analysis.

Significantly Below Fair Value: Insufficient data to calculate CANG's fair value for valuation analysis.

Price To Earnings Ratio

PE vs Industry: CANG is unprofitable, so we can't compare its Price-To-Earnings Ratio to the US Online Retail industry average.

PE vs Market: CANG is unprofitable, so we can't compare its Price-To-Earnings Ratio to the US market.

Price to Earnings Growth Ratio

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

Price to Book Ratio

PB vs Industry: CANG is good value based on its Price-To-Book Ratio (0.4x) compared to the US Online Retail industry average (1.9x).

Future Growth

How is Cango forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

Future Growth Score

4/6

Future Growth Score 4/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

68.8%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: CANG is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.9%).

Earnings vs Market: CANG is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: CANG's is expected to become profitable in the next 3 years.

Revenue vs Market: CANG's revenue (14.9% per year) is forecast to grow faster than the US market (7.8% per year).

High Growth Revenue: CANG's revenue (14.9% per year) is forecast to grow slower than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: CANG's Return on Equity is forecast to be low in 3 years time (5.8%).

Past Performance

How has Cango performed over the past 5 years?

Past Performance Score

0/6

Past Performance Score 0/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

55.7%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: CANG is currently unprofitable.

Growing Profit Margin: CANG is currently unprofitable.

Past Earnings Growth Analysis

Earnings Trend: CANG is unprofitable, but has reduced losses over the past 5 years at a rate of 55.7% per year.

Accelerating Growth: Unable to compare CANG's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: CANG is unprofitable, making it difficult to compare its past year earnings growth to the Online Retail industry (-8.3%).

Return on Equity

High ROE: CANG has a negative Return on Equity (-0.12%), as it is currently unprofitable.

Financial Health

How is Cango's financial position?

Financial Health Score

5/6

Financial Health Score 5/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: CANG's short term assets (CN¥7.6B) exceed its short term liabilities (CN¥3.4B).

Long Term Liabilities: CANG's short term assets (CN¥7.6B) exceed its long term liabilities (CN¥538.8M).

Debt to Equity History and Analysis

Debt Level: CANG has more cash than its total debt.

Reducing Debt: CANG's debt to equity ratio has reduced from 88.3% to 28.7% over the past 5 years.

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

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

Balance Sheet

Dividend

What is Cango current dividend yield, its reliability and sustainability?

Dividend Score

2/6

Dividend Score 2/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

32.96%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: CANG's dividend (32.96%) is higher than the bottom 25% of dividend payers in the US market (1.57%).

High Dividend: CANG's dividend (32.96%) is in the top 25% of dividend payers in the US market (4.05%)

Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, CANG has been paying a dividend for less than 10 years.

Growing Dividend: CANG's dividend payments have increased, but the company has only paid a dividend for 2 years.

Earnings Payout to Shareholders

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

Cash Payout to Shareholders

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

Discover strong dividend paying companies

Management

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

4.3yrs

Average board tenure

CEO

Jiayuan Lin (52 yo)

12.33yrs

Tenure

Mr. Jiayuan Lin is a Co-Founder of Cango Inc. and also has been its Chief Executive Officer and Director since 2010. Mr. Lin served as an assistant general manager of Shanghai Automobile Group Finance Comp...

Board Members

Experienced Board: CANG's board of directors are considered experienced (4.3 years average tenure).

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.

Data	Last Updated (UTC time)
Company Analysis	2022/05/24 00:00
End of Day Share Price	2022/05/24 00:00
Earnings	2021/12/31
Annual Earnings	2021/12/31