These Fundamentals Make CITIC Dameng Holdings Limited (HKG:1091) Truly Worth Looking At

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CITIC Dameng Holdings Limited (HKG:1091) is a company with exceptional fundamental characteristics. Upon building up an investment case for a stock, we should look at various aspects. In the case of 1091, it is a company with a strong history of performance, trading at a great value. Below, I've touched on some key aspects you should know on a high level. For those interested in digging a bit deeper into my commentary, read the full report on CITIC Dameng Holdings here.

Undervalued with solid track record

In the past couple of years, 1091 has ramped up its bottom line by over 100%, with its latest earnings level surpassing its average level over the last five years. Not only did 1091 outperformed its past performance, its growth also exceeded the Metals and Mining industry expansion, which generated a -24% earnings growth. This is an notable feat for the company. 1091 is currently trading below its true value, which means the market is undervaluing the company's expected cash flow going forward. This mispricing gives investors the opportunity to buy into the stock at a cheap price compared to the value they will be receiving, should analysts' consensus forecast growth be correct. Also, relative to the rest of its peers with similar levels of earnings, 1091's share price is trading below the group's average. This further reaffirms that 1091 is potentially undervalued.

SEHK:1091 Income Statement, September 23rd 2019
SEHK:1091 Income Statement, September 23rd 2019

Next Steps:

For CITIC Dameng Holdings, I've compiled three essential aspects you should further examine:

  1. Future Outlook: What are well-informed industry analysts predicting for 1091’s future growth? Take a look at our free research report of analyst consensus for 1091’s outlook.

  2. Financial Health: Are 1091’s operations financially sustainable? Balance sheets can be hard to analyze, which is why we’ve done it for you. Check out our financial health checks here.

  3. Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of 1091? Explore our interactive list of stocks with large potential to get an idea of what else is out there you may be missing!

We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.

If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading.