Overall, the company has poor fundamentals for a medium to long-term investment strategy.
Highlights: China Southern Airlines Company Limited
The earnings growth currently anticipated by analysts for the coming years is particularly strong.
The company has a low valuation given the cash flows generated by its activity.
The average price target of analysts who are interested in the stock has been strongly revised upwards over the last four months.
The opinion of analysts covering the stock has improved over the past four months.
Weaknesses: China Southern Airlines Company Limited
The company does not generate enough profits, which is an alarming weak point.
The company is in a hindered financial situation with significant debt and rather low EBITDA levels.
The company's valuation in terms of earnings multiples is rather high. Indeed, the firm is getting paid 185.55 times its estimated earnings per share for the ongoing year.
The company is not the most generous with respect to shareholders' compensation.
For the last twelve months, sales expectations have been significantly downgraded, which means that less important sales volumes are expected for the current fiscal year over the previous period.
For the last 12 months, analysts have been regularly downgrading their EPS expectations. Analysts predict worse results for the company against their predictions a year ago.
Over the past twelve months, analysts' consensus has been significantly revised downwards.
Sales estimates for the next fiscal years vary from one analyst to another. This clearly highlights a lack of visibility into the company's future activity.
The price targets of analysts who cover the stock differ significantly. This implies difficulties in evaluating the company and its business.
Financial statements have repeatedly disappointed market stakeholders. Most often, they were below expectations.
Ratings Chart: China Southern Airlines Company Limited