Yankuang Energy Group Company Sponsored ADR Class H (YZCAY) AI Stock Analysis

• Market Cap: $18.52B
• Dividend Yield: 9.94%
• Average Volume (3M): 128.00
• Price to Earnings (P/E): 9.3
• Beta (1Y): 0.23
• Revenue Growth: 1.18%
• EPS Growth: N/A
• Country: US
• Employees: 77,957
• Sector: Energy
• Sector Strength: 52
• Industry: Coal
• EPS (TTM): 0.32
• Shares Outstanding: 407,550,000
• 10 Day Avg. Volume: 0
• 30 Day Avg. Volume: 128
• PEG Ratio: -0.12
• Price to Book (P/B): 1.00
• Price to Sales (P/S): 0.60
• P/FCF Ratio: 15.74
• Enterprise Value/Market Cap: 13.44
• Enterprise Value/Revenue: 1.97
• Enterprise Value/Gross Profit: 5.70
• Enterprise Value/Ebitda: 9.79
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 77 Outperform
• Price Target: $16.50 ▲(17.10% Upside)

Yankuang Energy Group's stock is supported by strong technical indicators and a solid valuation, with a high dividend yield and reasonable P/E ratio. Financial performance is stable, with strong profitability and cash flow, though revenue growth is a concern. The absence of earnings call data and corporate events does not impact the score significantly.

Positive Factors

Cash Flow Generation

Strong free cash flow growth indicates robust cash generation ability, providing flexibility for reinvestment, debt reduction, or shareholder returns.

Profitability

Consistent profitability with healthy margins reflects efficient operations and cost management, supporting long-term financial stability.

Energy Diversification

Investment in renewable energy projects positions the company to adapt to structural industry trends towards cleaner energy, enhancing long-term sustainability.

Negative Factors

Revenue Decline

Declining revenue growth poses a challenge to sustaining long-term profitability and market competitiveness, necessitating strategic adjustments.

High Leverage

High leverage can increase financial risk and limit flexibility, potentially impacting the company's ability to invest in growth opportunities.

Revenue Growth Challenges

Addressing revenue growth challenges is crucial for maintaining competitive advantage and ensuring long-term financial health.

Yankuang Energy Group Company Sponsored ADR Class H Business Overview & Revenue Model

Company Description

Yankuang Energy Group Company Limited engages in the mining, preparation, and sale of coal worldwide. It offers thermal, PCI, and coking coal for electric power, metallurgy and chemical industry, etc.; produces and sells coal chemicals, as well as electricity and related heat supply services; explores for potash mineral; manufactures, installs, repairs, and sells coal mining and excavating equipment, cable, and electrical equipment; and sells construction materials and petroleum products. The company also provides railway, river, and lakes transportation; underground mines management; mining materials testing; equity investment fund and corporate asset management, investment advisory and management, foreign investment fund, import and export, and international trading; solar and wind power, and production management; educational software development and event planning; and coal mining technology development, transfer, and consultation services, as well as operates as a trade broker and agent. In addition, it engages in the wholesale of coal and non-ferrous metals; house and financial leasing; logistics storage and leasing; development of charcoal products; LTCC technology development and equipment rental operations; manufacturing and sale of cable and rubber products; production and processing of steel engineering components; processing, production, and sale of FischerTropsch synthesis catalyst, composite pipe, and plastic profile products; real estate development and operation, property management, garden greening engineering, and sewage treatment and rental housing agency services; and issuing subordinated capital notes. The company was formerly known as Yanzhou Coal Mining Company Limited and changed its name to Yankuang Energy Group Company Limited in December 2021. The company was founded in 1973 and is based in Zoucheng, the People's Republic of China.

How the Company Makes Money

Yankuang Energy Group generates revenue primarily through the sale of coal, which constitutes a significant portion of its income. The company benefits from its extensive mining operations and the increasing demand for coal in both domestic and international markets. Revenue is also derived from the production and sale of chemical products, which are essential for various industrial applications. Furthermore, the electricity generated from its power plants provides an additional revenue stream. The company may also engage in partnerships and joint ventures that enhance its production capacity and market reach, contributing to its overall earnings. Fluctuations in coal prices and government policies regarding energy and environmental regulations are significant factors that can impact its revenue model.

Yankuang Energy Group Company Sponsored ADR Class H Financial Statement Overview

Summary

Yankuang Energy Group demonstrates robust profitability and cash flow generation, despite facing revenue declines. The balance sheet shows a high leverage level, which poses a risk but is offset by strong equity returns. Overall, the company is financially stable with effective cost management and cash flow utilization, though it should address revenue growth challenges.

Income Statement

The company shows strong profitability with a consistent gross profit margin around 35% and a net profit margin close to 10%. However, revenue has been declining over the past few periods, with a recent TTM revenue growth rate of -1.66%. Despite this, the EBIT and EBITDA margins remain healthy, indicating efficient cost management.

Balance Sheet

The debt-to-equity ratio is relatively high at 0.96, indicating a significant level of leverage, though it has improved from previous years. The return on equity is solid at 14.53%, reflecting effective use of equity. However, the equity ratio is not explicitly provided, which could provide further insights into financial stability.

Cash Flow

The company has shown strong free cash flow growth recently, with a TTM growth rate of 59.7%. The operating cash flow to net income ratio is moderate, suggesting reasonable cash generation relative to earnings. However, the free cash flow to net income ratio is lower, indicating potential reinvestment or debt servicing needs.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	126.16B	139.12B	143.59B	200.83B	151.99B	214.99B
Gross Profit	43.62B	49.81B	54.50B	82.22B	44.65B	28.42B
EBITDA	25.42B	46.26B	54.67B	81.02B	38.32B	21.95B
Net Income	12.13B	14.43B	20.58B	33.82B	16.44B	7.61B
Balance Sheet
Total Assets	375.67B	358.55B	354.28B	295.80B	288.70B	258.91B
Cash, Cash Equivalents and Short-Term Investments	45.42B	38.51B	37.70B	45.27B	45.83B	24.69B
Total Debt	81.46B	79.67B	130.48B	75.01B	98.42B	94.98B
Total Liabilities	239.22B	225.54B	235.98B	167.71B	192.21B	179.13B
Stockholders Equity	84.44B	82.59B	72.83B	94.74B	68.19B	54.12B
Cash Flow
Free Cash Flow	5.79B	5.27B	-2.02B	35.27B	25.74B	10.22B
Operating Cash Flow	23.36B	22.34B	16.17B	53.45B	36.18B	22.23B
Investing Cash Flow	-13.34B	-9.73B	-12.20B	-12.63B	-4.83B	-13.58B
Financing Cash Flow	-7.54B	-12.39B	-32.52B	-43.27B	-8.04B	-14.41B

Yankuang Energy Group Company Sponsored ADR Class H Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 14.09
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For YZCAY, the sentiment is Positive. The current price of 14.09 is above the 20-day moving average (MA) of 13.98, above the 50-day MA of 13.39, and above the 200-day MA of 12.11, indicating a bullish trend. The MACD of 0.40 indicates Negative momentum. The RSI at 61.61 is Neutral, neither overbought nor oversold. The STOCH value of 89.05 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for YZCAY.

Yankuang Energy Group Company Sponsored ADR Class H Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
YZCAY	77 Outperform	$18.52B	9.29	15.63%	9.94%	1.18%	―
ARLP	72 Outperform	$3.06B	12.59	13.07%	11.05%	-9.45%	-46.37%
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%
HCC	61 Neutral	$4.69B	133.74	1.67%	0.36%	-23.25%	-90.78%
BTU	61 Neutral	$4.29B	-121.71	-0.87%	0.96%	-7.21%	-106.39%
METC	56 Neutral	$1.22B	-33.46	-7.40%	2.83%	-16.99%	-184.02%
AMR	54 Neutral	$2.70B	-58.79	-2.87%	―	-32.53%	-112.77%