CHLN  China Housing & Land Developme...

Exchange

NASDAQ

Sector

Basic Industries

Industry

Homebuilding

Market Cap.

20.77M

Vuru Grade

9.75/100

Current Price

$2.96
+0.00 (+0.00%)

Company Metrics

  • P/E 7.38
  • P/S 0.17
  • P/B 0.24
  • EPS -5.29
  • Cash ROIC -5.75%
  • Cash Ratio -
  • Dividend 0 / 0%
  • Avg. Vol. 18,767.00
  • Shares 34.66M
  • Market Cap. 20.77M

Company Description

China Housing & Land Development, Inc., through its subsidiaries, engages in the acquisition, development, management, and sale of commercial and residential real estate properties primarily in the western part of China. Its residential projects include multiple high-rise, middle-rise, and low-rise buildings, as well as a community center, commercial units, kindergarten, and other auxiliary facili... more


Download 10 Years of Financial Statements:
Income Statement   Balance Sheet   Cash Flow

News

China Housing & Land Development, Inc. Postpones Date of Effectiveness for ...
PR Newswire (press release) - Feb 18, 2016
18, 2016 /PRNewswire/ -- China Housing & Land Development, Inc. (NASDAQ: CHLN) announced today that it is postponing the effective and record dates for its proposed 1-for-50,000 reverse stock split (the "Reverse Stock Split") to February 19, 2016.
China Housing & Land Development, Inc. Announces Record Date And Effective ...
PR Newswire (press release) - Jan 29, 2016
29, 2016 /PRNewswire/ -- China Housing & Land Development, Inc. (NASDAQ: CHLN) (the "Company") announced today that the Company's board of directors (the "Board") set record and effective dates for the previously announced 1-for-50,000 reverse ...
China Housing & Land Development, Inc. Announces Approval for a "Going Private ...
PR Newswire (press release) - Aug 25, 2014
25, 2014 /PRNewswire/ -- China Housing & Land Development, Inc. ("China Housing" or the "Company," NASDAQ: CHLN), a leading developer of residential and commercial properties in northwest China, today announced that the board of directors of the ...
China Housing & Land Development, Inc. Announces 1-for-5 Reverse Stock Split ...
PR Newswire (press release) - Apr 24, 2015
XI'AN, China, April 24, 2015 /PRNewswire/ -- China Housing & Land Development, Inc. ("China Housing" or the "Company") (Nasdaq: CHLN) today announced that it has filed a Certificate of Change pursuant to Nevada Revised Statutes ("NRS") Section ...
China Housing & Land Announces MNP LLP as its Independent Auditor due to ...
PR Newswire (press release) - Jun 6, 2013
XI'AN, China, June 6, 2013 /PRNewswire/ -- China Housing & Land Development, Inc. ("China Housing" or the "Company"; Nasdaq: CHLN) today announced that the Company has engaged MNP LLP as its independent auditor.
You are fired money pit: China Housing & Land Development, Inc, Grid Petroleum ...
Mesh Press (press release) - Oct 23, 2015
The Company is engaged in the acquisition and exploration of mineral claims and oil and gas properties. It has oil and gas properties in California.
This Is Why China's Housing Market Is Such a Mess
Fortune - Feb 11, 2016
Just a week before the Chinese New Year, China's central bank cut the minimum mortgage down payment for first-time buyers from 25% to 20%, as it sought to shore up the property market.
Steel Resurgence Seen Fizzling as China's Property Market Slows
Bloomberg - Feb 13, 2017
A year-long rebound risks fading as a slowdown in China's property market deepens, exposing bullish sentiment as overblown, according to a U.S.
Boom in Chinese property at an end - Irish Independent
Egypt is getting a new capital - courtesy of China
CNN - Oct 10, 2016
The China Fortune Land Development Company (CFLD) agreed to provide $20 billion for the currently unnamed city, after a meeting between heads of the firm and Egyptian President Abdel Fattah El Sisi.
Fitch Upgrades China Overseas Land to 'A-'; Outlook Stable
Fitch Ratings - Jul 24, 2016
Fitch believes that the Ministry of Housing and Urban-Rural Development (MOHURD) views CSCECL and COLI as an integrated entity with construction and homebuilding expertise, which makes it an ideal central state-owned enterprise (SOE) to execute the ...
Growth Rate Assumed by Market

We did a reverse valuation to calculate the growth rate the market is assuming for CHLN to be considered fairly valued at its current market price. It's useful to compare this to the growth rate we're assuming for the Growth Price.

Future Free Cash Flow Growth Rate

This is the annual growth rate we've applied to calculate CHLN's Free Cash Flow for the next 10 years. To calculate it, we looked at several time periods of the last 10 years. Feel free to adjust it, but we limit the initial growth rate to 20% and slow it down over the years. Otherwise, long-term sustainability issues come into play.

Discount Rate

The discount rate is the annual rate of return an investor requires to take the risk of investing in a single stock. To account for that risk, this should be above 8-10%, as this is the avg. annual rate of return for the S&P500 over the past 100 years.

$2.96 Current Price

$-4.10 Growth Price (DCF)

Why is this negative?


Show Free Cash Flow numbers

$28,188.33 Book Price

Undervalued by 952,208.56%


Very Poor Cash Return on Invested Capital over the past 5 years

CHLN has failed to generate positive returns on its investments in buildings, projects and equipment. This could be due to poor management, lack of an economic moat or the capital intensive nature of the business.

CHLN has lost $5.75 of cash for every $100 invested.
Figures in USD. Fiscal year ends in December
20102011201220132014
Free Cash Flow -3.90M -26.96M -19.03M -74.57M -39.26M
divided by
Invested Capital 363.15M 468.76M 524.59M 619.49M 626.53M
Cash ROIC -1.07% -5.75% -3.63% -12.04% -6.27%

Poor Return on Equity over the past 5 years

CHLN has shown an inability to deliver strong results for shareholders. This could be due to poor management, CHLN operating in a highly competitive industry, or having a weak business in general.

CHLN has only generated $2.30 of Earnings for every $100 of Shareholders' Equity.
Figures in USD. Fiscal year ends in December
20102011201220132014
Net Income 3.37M 10.23M 16.55M 11.75M -21.45M
divided by
Stockholders' Equity 101.73M 129.11M 149.09M 137.32M 110.50M
Return on Equity 3.31% 7.92% 11.10% 8.56% -19.41%

Poor Business Performance over the past 10 years

CHLN's inability to produce positive free cash flow for the majority of the past 10 years is concerning. It should be a red flag, since this company does not have a track record of delivering results for shareholders. This could be due to poor management or the nature of its business.

CHLN has been losing money for the majority of the past 10 years.
Figures in USD. Fiscal year ends in December
2005200620072008200920102011201220132014
Free Cash Flow -15,345.00 -6.93M 8.37M -30.14M -697,490.00 -3.90M -26.96M -19.03M -74.57M -39.26M

Weak Balance Sheet

CHLN's financial position is not ideal. The key is to check whether CHLN is using debt to fuel its growth and the sustainability of that tendency. Highly capital intensive businesses (see Economic Moat) follow this route, which can deeply impact the future prospects of the business.
Figures in USD. Fiscal year ends in December
2005200620072008200920102011201220132014
Cash - - - - - - - - - -
Current Assets - - - - - - - - - -
Total Assets 4,982.00 72.85M 155.71M 222.36M 259.79M 363.15M 468.76M 524.59M 619.49M 626.53M
Current Liabilities - - - - - - - - - -
Total Liabilities 4,703.00 53.63M 89.53M 137.73M 169.06M 261.42M 339.64M 375.50M 482.17M 516.03M
Stockholder' Equity 279.00 19.21M 66.18M 84.63M 90.73M 101.73M 129.11M 149.09M 137.32M 110.50M
Current Ratio - - - - - - - - - -
TL-to-TA 0.94 0.74 0.57 0.62 0.65 0.72 0.72 0.72 0.78 0.82

Consistent Reinvestment of Profits over the past 10 years

CHLN has consistently retained profits. This may put CHLN in a strong position to invest for the future, by buying new machinery, investing in R&D or a number of other options. By effectively using these earnings, CHLN can greatly improve their long-term economic picture.
Figures in USD. Fiscal year ends in December
2005200620072008200920102011201220132014
Retained Earnings -29,721.00 14.41M 30.37M 39.27M 39.90M 41.53M 50.56M 74.96M 48.70M 35.75M
Retained Earnings Growth - 48,598.30% 110.66% 29.31% 1.60% 4.10% 21.74% 48.27% -35.04% -26.59%

Competitive Industry over the past 10 years

CHLN is likely operating in an industry with medium to low barriers to entry. This may mean that CHLN doesn't have a characteristic that's hard to replicate, such as exclusive distribution, branding or the ability to keep costs low. If Gross Margins are at least satisfactory, it's likely that CHLN invests heavily in R&D and Sales, General & Administrative expenses.

Only $9.08 of every $100 of Revenue have been profit, on average over the past 10 years.
Figures in USD. Fiscal year ends in December
2005200620072008200920102011201220132014
Net Income -18,917.00 9.05M 16.69M 9.56M 2.47M 3.37M 10.23M 16.55M 11.75M -21.45M
divided by
Revenue - 54.10M 73.91M 26.47M 86.56M 140.27M 122.80M 148.98M 190.03M 138.73M
Net Profit Margin - 16.73% 22.58% 36.11% 2.85% 2.40% 8.33% 11.11% 6.19% -15.46%

Weak Pricing Power over the past 10 years

CHLN is likely in a highly competitive industry, due to low barriers to entry. It's because of this, that CHLN has been unable to raise prices and increase their profitability. This puts them in a poor position if inflation becomes an issue, as they would struggle to pass higher costs onto consumers.

Only $- of every $100 worth of sales have been Gross Profit, on average over the past 10 years.
Figures in USD. Fiscal year ends in December
2005200620072008200920102011201220132014
Gross Profit - - - - - - - - - -
divided by
Revenue - 54.10M 73.91M 26.47M 86.56M 140.27M 122.80M 148.98M 190.03M 138.73M
Gross Margin - - - - - - - - - -

High Capital Intensity over the past 10 years

CHLN spends large amounts of capital buying new equipment or investing in new facilities to stay competitive. Over the long term, those costs may have to be fuelled by debt. Look at the growth of Shareholders' Equity to see if this strategy is having a positive or negative impact.

60.93% of Profits are being spent on Capital Expenditures, like Property, Plant, & Equipment, required to run the business.
Figures in USD. Fiscal year ends in December
2005200620072008200920102011201220132014
Capital Expenditure - 13.27M 244,355.00 1.06M 2.75M 1.90M 4.75M 10.72M 5.79M 9.82M
divided by
Net Income -18,917.00 9.05M 16.69M 9.56M 2.47M 3.37M 10.23M 16.55M 11.75M -21.45M
Capital Expenditure Ratio - 146.61% 1.46% 11.13% 111.25% 56.46% 46.46% 64.81% 49.28% -45.80%

No Dividend History over the past 10 years

CHLN has never distributed dividends or has recently suspended their dividend distribution.
Figures in USD. Fiscal year ends in December
2005200620072008200920102011201220132014
Dividend Paid - - - - - - - - - -
divided by
Shares Outstanding 12.00M 20.28M 26.87M 30.53M 31.18M 35.58M 36.36M 36.55M 35.13M 34.66M
Dividend Paid Per Share - - - - - - - - - -
Price at Year End - 2.39 5.09 0.96 4.16 2.49 1.00 1.40 2.31 0.51
Dividend Yield - - - - - - - - - -

History of Stock Buybacks over the past 10 years

CHLN has some history of delivering increased value for shareholders in the form of stock buybacks. These have helped improve financial metrics and increase each shareholders' relative ownership stake in the company, due to fewer shares outstanding and holding the same number of shares.
Figures in USD. Fiscal year ends in December
2005200620072008200920102011201220132014
Shares Outstanding 12.00M 20.28M 26.87M 30.53M 31.18M 35.58M 36.36M 36.55M 35.13M 34.66M
Stock Bought Back - -40.82% -24.54% -11.98% -2.09% -12.36% -2.14% -0.52% 4.04% 1.34%
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