Anhui Conch Cement Company Limited (AHCHY) AI Stock Analysis

• Market Cap: $17.37B
• Dividend Yield: 3.04%
• Average Volume (3M): 7.36K
• Price to Earnings (P/E): 12.7
• Beta (1Y): 0.29
• Revenue Growth: -28.23%
• EPS Growth: N/A
• Country: US
• Employees: 49,397
• Sector: Basic Materials
• Sector Strength: 61
• Industry: Construction Materials
• EPS (TTM): 0.34
• Shares Outstanding: 259,920,000
• 10 Day Avg. Volume: 9,515
• 30 Day Avg. Volume: 7,360
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 0.57
• Enterprise Value/Revenue: 0.11
• Enterprise Value/Gross Profit: 0.50
• Enterprise Value/Ebitda: 0.76
• 1Y Price Target: $16.00
• Price Target Upside: 4.44% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 60 Neutral
• Price Target: $16.00 ▲(4.44% Upside)

The solid financial performance of Anhui Conch Cement is a key strength, supported by strong balance sheet metrics and stable profitability. However, technical indicators suggest the stock is currently overbought, which may lead to a price correction. Valuation appears fair, with a reasonable P/E ratio and decent dividend yield.

Positive Factors

Balance Sheet Health

Anhui Conch Cement's low debt levels and strong equity backing provide financial stability, reducing risk and enhancing its ability to invest in growth opportunities.

Profitability

Solid profit margins reflect operational efficiency and cost management, supporting long-term profitability and competitiveness in the construction materials industry.

Operational Efficiency

Stable operational efficiency, as indicated by healthy EBIT and EBITDA margins, ensures sustained profitability and resilience against market fluctuations.

Negative Factors

Revenue Decline

A significant decline in revenue growth poses challenges to maintaining market position and could impact future profitability if not addressed.

Cash Flow Challenges

Decreasing free cash flow limits the company's ability to fund new projects and investments, potentially hindering growth and strategic initiatives.

Growth Pressures

Despite financial strength, growth pressures could impact long-term market share and profitability, necessitating strategic adjustments to sustain growth.

Anhui Conch Cement Company Limited Business Overview & Revenue Model

Company Description

Anhui Conch Cement Company Limited (AHCHY) is a leading player in the cement manufacturing industry, primarily operating in China. The company is involved in the production and sale of cement and clinker, which are essential components in the construction industry. Anhui Conch Cement is known for its extensive production capacity, modern production technology, and wide geographical presence, making it one of the largest cement manufacturers in the world.

How the Company Makes Money

Anhui Conch Cement Company Limited generates revenue primarily through the production and sale of cement and clinker. The company operates numerous cement plants, primarily in China, and leverages its extensive distribution network to reach a broad customer base, including construction companies and infrastructure developers. Revenue streams are driven by domestic and international sales, with the company benefiting from China's robust construction and infrastructure sector. Additionally, Anhui Conch Cement engages in strategic partnerships and investments to enhance its production capabilities and market presence, contributing to its financial performance.

Anhui Conch Cement Company Limited Financial Statement Overview

Summary

Anhui Conch Cement demonstrates solid profitability and operational efficiency amidst revenue challenges. The balance sheet is strong with low leverage, while cash flow generation is moderate but stable. The company remains well-positioned financially within the construction materials industry, although it faces growth pressures.

Income Statement

Gross profit margin stands at 22.35% and net profit margin at 9.04% for TTM, indicating solid profitability. However, revenue has shown a decline from previous periods, impacting growth metrics negatively. The EBIT margin of 11.16% and EBITDA margin of 14.79% suggest stable operational efficiency despite lower revenues.

Balance Sheet

The company's debt-to-equity ratio is 0.14, highlighting low leverage and financial stability. The equity ratio is robust at 74.68%, indicating strong asset backing by equity. Return on equity is a healthy 4.21%, though slightly impacted by declining net income.

Cash Flow

Free cash flow has decreased, with a negative growth rate due to reduced operating cash flow. The operating cash flow to net income ratio is 0.84, reflecting adequate conversion of income to cash. Additionally, the free cash flow to net income ratio is 0.58, suggesting moderate cash generation from profits.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	88.49B	91.03B	141.00B	132.02B	167.95B	176.24B
Gross Profit	19.78B	19.76B	23.25B	28.12B	49.77B	51.40B
EBITDA	13.08B	19.30B	21.97B	26.76B	45.65B	47.73B
Net Income	8.00B	7.70B	10.43B	15.66B	33.27B	35.16B
Balance Sheet
Total Assets	254.73B	254.64B	246.19B	243.98B	230.51B	200.97B
Cash, Cash Equivalents and Short-Term Investments	64.45B	70.74B	70.57B	68.62B	93.81B	89.06B
Total Debt	26.54B	27.58B	20.29B	22.14B	11.90B	10.48B
Total Liabilities	52.13B	54.26B	48.22B	47.98B	38.69B	32.76B
Stockholders Equity	190.21B	187.94B	185.32B	183.64B	183.69B	161.82B
Cash Flow
Free Cash Flow	4.64B	7.16B	5.91B	-17.00B	18.70B	24.83B
Operating Cash Flow	6.72B	18.48B	20.07B	9.65B	33.90B	34.80B
Investing Cash Flow	-12.74B	-13.33B	-19.31B	-5.28B	-21.67B	-26.77B
Financing Cash Flow	-1.72B	-385.48M	-4.41B	-5.72B	-11.60B	-13.26B

Anhui Conch Cement Company Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 15.32
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AHCHY, the sentiment is Positive. The current price of 15.32 is below the 20-day moving average (MA) of 15.39, above the 50-day MA of 14.96, and above the 200-day MA of 13.49, indicating a neutral trend. The MACD of 0.15 indicates Positive momentum. The RSI at 51.64 is Neutral, neither overbought nor oversold. The STOCH value of 65.16 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AHCHY.

Anhui Conch Cement Company Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
VMC	76 Outperform	$38.97B	41.23	11.89%	0.65%	0.19%	4.33%
EXP	76 Outperform	$7.57B	17.18	31.87%	0.43%	0.88%	-4.17%
MLM	76 Outperform	$37.14B	34.12	12.10%	0.52%	1.02%	-45.31%
CX	73 Outperform	$14.17B	9.14	7.12%	0.90%	-9.62%	795.20%
Sector *	61 Neutral	$10.43B	7.39	-0.05%	2.88%	2.86%	-36.73%
AHCHY	60 Neutral	$17.37B	12.68	4.94%	3.04%	-28.23%	―
CRH	―	£56.26B	23.14	15.22%	1.34%	―	―