Guangshen Railway Company Limited (GSH) Company Bio
Guangshen Railway Company Limited engages in the railroad passenger and freight transportation business in the Peoples Republic of China. The company was founded in 1996 and is based in Shenzhen, China.
GSH Price Forecast Based on DCF Valuation
DCF Fair Value Target:
The table below illustrates the output of a discounted cash flow forecast using a variety of scenarios for Guangshen Railway Co Ltd. To summarize, we found that Guangshen Railway Co Ltd ranked in the 6th percentile in terms of potential gain offered. We should note, though, that the most conservative analysis suggests this stock will yield negative results -- and thus may be a potential short opportunity. As for the metrics that stood out in our discounted cash flow analysis of Guangshen Railway Co Ltd, consider:
The company's compound free cash flow growth rate over the past 5.01 years comes in at -0.17%; that's greater than only 12.14% of US stocks we're applying DCF forecasting to.
GSH's estimated cost of debt, based largely on its market capitalization and its interest coverage ratio, is 2%; for context, that number is higher than 63.33% of tickers in our DCF set.
Relative to other stocks in its sector (Industrials), Guangshen Railway Co Ltd has a reliance on debt greater than just 2.15% of them.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
For other companies in the Industrials that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as GSH, try AVYA, FLR, KMT, PFSW, and ROAD.
Concerns over rising interest rates and expected further rate increases have hit several stocks hard during the fourth quarter of 2018. Trends reversed 180 degrees in 2019 amid Powell's pivot and optimistic expectations towards a trade deal with China. Hedge funds and institutional investors tracked by Insider Monkey usually invest a disproportionate amount of their […]