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XCMG Construction Machinery Co., Ltd. (000425) Stock Verdict & Ratings | Investment Bastion

Stock Verdict·Updated today

XCMG Construction Machinery Co., Ltd.

000425Market cap $13BPrice $1.1

Country🇨🇳China

SectorIndustrials

IndustryMachinery

Manufactures cranes, excavators, and heavy construction equipment used to build roads, bridges, and cities across China and beyond. One of the world's largest construction machinery makers, its cranes hoist everything from wind turbines to skyscraper beams.

In Bastion Portfolios?

52W Return-32%Global Market +16%?

01Key Ratings

How does this stock score across Bastion factors?

Growth

Historical Revenue

Rev CAGR (3y)+2%4

Revenue Forecast

Rev CAGR (1y)+18%8

Rev CAGR (3y)+14%8

Rev CAGR (5y)+11%8

Earnings Forecast

EPS Growth Y+1+25%8

EPS Growth Y+2+34%9

EPS Growth Y+3+21%8

Quality

Margins

EBIT Margin8%4

Net Income Margin6%4

Free Cash Flow Margin6%5

Debt

Net Debt/EBITDA1.85

Efficiency

ROE10%4

ROA4%5

Earnings Stability55

GEAR+STRONG77

Overall rating across all five factors

Value

Price Multiples

P/E Ratio (Forward)89

P/E Ratio (Forward 3y)710

P/BV1.38

EV Multiples

EV/EBITDA Fwd79

EV/EBIT Fwd108

Yield

Free Cash Flow Yield8.2%8

Dividend Yield2.8%7

Momentum

Short term

1 month return-14%1

3 month return-14%3

YTD return-36%1

Mid term

Price vs 52wHigh57%2

1 year return-35%1

Long term

3 year return+21%4

5 year return+22%5

Risk Shield

Price Risk

Beta0.48

Volatility40%4

Free Cash Flow

Free Cash Flow Margin6%5

Free Cash Flow Yield8.2%8

Quality

ROCE11%6

Earnings Stability55

Net Debt/EBITDA1.85

02Growth

Is it actually growing, and how fast?

000425XCMG Construction Machinery Co.

Revenue FY25$14.4B

GROWTH RATING↗

STRONG76 / 100

REVENUE GROWTH▾SCORE

Revenue, last 3Y, CAGR+2%4

Revenue, next 1Y+18%8

Revenue, next 3Y, CAGR+14%8

Revenue, next 5Y, CAGR+11%8

EARNINGS FORECAST▾SCORE

EPS growth, FY26E+25%8

EPS growth, FY27E+34%9

EPS growth, FY28E+21%8

GROWTH ASSESSMENT

STRENGTHS

It out-grows 76% of companies worldwide.

Revenue is set to grow 14%/yr over the next 3 years, ahead of most of the market.8/10

Revenue grew 2%/yr over the last 3 years and is set to grow 14%/yr from here.

The runway holds up: revenue is set to grow 11%/yr over five years.8/10

Earnings are set to grow faster than sales (EPS about 25%/yr vs revenue 14%/yr), so margins should widen.

WATCH

None flagged.

WEAKNESSES

None flagged.

BOTTOM LINE

Hyper Compounder

A top-tier grower that's speeding up.

03Price Momentum

Is the market behind it right now?

000425XCMG Construction Machinery Co.

Total return Current169%

Price return Current119%

MOMENTUM RATING↗

VERY WEAK9 / 100

SHORT-TERM RETURNS▾SCORE

1-month return-14%1

3-month return-14%3

YTD return-36%1

MID & LONG-TERM▾SCORE

% of 52-week high57%2

1-year return-35%1

3-year return+21%4

5-year return+22%5

MOMENTUM ASSESSMENT

STRENGTHS

None flagged.

WATCH

Average long-term results. Multi-year returns are middling (+21% over three years and +22% over five), roughly average for the market.

WEAKNESSES

It's down 35% over the past year, now 43% below its 52-week high. That is lagging the market.

The stock is underperforming over the past month (-14%), over three months (-14%) and so far this year (-36%).

BOTTOM LINE

Falling Knife

Returns rank poorly over both the short and long run, and the price is still falling. Momentum is firmly negative — catching this is a bet against the tape, not with it. Wait for a base to form. The one thing to watch: the one-year trend is weak.

04Value

Are you paying a fair price for it?

Stop guessing on XCMG. Get the full investment case.

Premium

$20.75/month

Billed annually at $249/year $348

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02Growth

Is it actually growing, and how fast?

000425XCMG Construction Machinery Co.

Revenue FY25$14.4B

GROWTH RATING↗

STRONG76 / 100

REVENUE GROWTH▾SCORE

Revenue, last 3Y, CAGR+2%4

Revenue, next 1Y+18%8

Revenue, next 3Y, CAGR+14%8

Revenue, next 5Y, CAGR+11%8

EARNINGS FORECAST▾SCORE

EPS growth, FY26E+25%8

EPS growth, FY27E+34%9

EPS growth, FY28E+21%8

GROWTH ASSESSMENT

STRENGTHS

It out-grows 76% of companies worldwide.

Revenue is set to grow 14%/yr over the next 3 years, ahead of most of the market.8/10

Revenue grew 2%/yr over the last 3 years and is set to grow 14%/yr from here.

The runway holds up: revenue is set to grow 11%/yr over five years.8/10

Earnings are set to grow faster than sales (EPS about 25%/yr vs revenue 14%/yr), so margins should widen.

WATCH

None flagged.

WEAKNESSES

None flagged.

BOTTOM LINE

Hyper Compounder

A top-tier grower that's speeding up.

03Price Momentum

Is the market behind it right now?

000425XCMG Construction Machinery Co.

Total return Current169%

Price return Current119%

MOMENTUM RATING↗

VERY WEAK9 / 100

SHORT-TERM RETURNS▾SCORE

1-month return-14%1

3-month return-14%3

YTD return-36%1

MID & LONG-TERM▾SCORE

% of 52-week high57%2

1-year return-35%1

3-year return+21%4

5-year return+22%5

MOMENTUM ASSESSMENT

STRENGTHS

None flagged.

WATCH

Average long-term results. Multi-year returns are middling (+21% over three years and +22% over five), roughly average for the market.

WEAKNESSES

It's down 35% over the past year, now 43% below its 52-week high. That is lagging the market.

The stock is underperforming over the past month (-14%), over three months (-14%) and so far this year (-36%).

BOTTOM LINE

Falling Knife

04Value

Are you paying a fair price for it?

Stop guessing on XCMG. Get the full investment case.

Premium

$20.75/month

Billed annually at $249/year $348

✓
Stock VerdictValuation and investment strategy for 4,000+ stocks. Days of hedge fund analyst research, done in 2 minutes.
✓
RadarFind your next investment idea: top-ranked stocks across all 9 Bastion strategies.
✓
Portfolio ManagerCheck if Bastion algorithms added the stock you care about to their portfolios.

Secure via Stripe

Trusted by 1,000+ investors in our community