Fanhua Inc Stock Buy Hold or Sell Recommendation
| FANH Stock | USD 3.50 0.09 2.64% |
Given the investment horizon of 90 days and your above-average risk tolerance, our recommendation regarding Fanhua Inc is 'Cautious Hold'. Macroaxis provides Fanhua buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding Fanhua positions. The advice algorithm takes into account all of Fanhua's available fundamental, technical, and predictive indicators you will find on this site. Key drivers impacting Fanhua's buy or sell advice are summarized below:
Real Value 5.09 | Target Price 10 | Hype Value 3.55 | Market Value 3.5 |
A buy or sell recommendation provided by Macroaxis is an automated directive regarding whether to purchase or sell Fanhua Inc given historical horizon and risk tolerance towards Fanhua. When Macroaxis issues a 'buy' or 'sell' recommendation for Fanhua Inc, the advice is generated through an automated system that utilizes algorithms and statistical models.
Fanhua |
Execute Fanhua Buy or Sell Advice
The Fanhua recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Fanhua Inc. Macroaxis does not own or have any residual interests in Fanhua Inc or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Fanhua's advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
 |  |
Cautious Hold
Market Performance | Very Weak | Details | |
Volatility | Moderately volatile | Details | |
Hype Condition | Under hyped | Details | |
Current Valuation | Undervalued | Details | |
Odds Of Distress | Low | Details | |
Economic Sensitivity | Responds to the market | Details | |
Investor Sentiment | Impartial | Details | |
Analyst Consensus | Hold | Details | |
Financial Strenth (F Score) | Strong | Details | |
Financial Leverage | Inapplicable | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Fanhua Trading Alerts and Improvement Suggestions
| Fanhua Inc generated a negative expected return over the last 90 days | |
| Fanhua Inc has high historical volatility and very poor performance | |
| Fanhua Inc has a strong financial position based on the latest SEC filings | |
| Latest headline from news.google.com: Is Fanhua Inc.s Shareholder Ownership Skewed Towards Insiders - Yahoo Movies UK |
Fanhua Returns Distribution Density
The distribution of Fanhua's historical returns is an attempt to chart the uncertainty of Fanhua's future price movements. The chart of the probability distribution of Fanhua daily returns describes the distribution of returns around its average expected value. We use Fanhua Inc price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Fanhua returns is essential to provide solid investment advice for Fanhua.
| Mean Return | -0.84 | Value At Risk | -8.64 | Potential Upside | 3.85 | Standard Deviation | 4.02 |
Return Density |
| Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Fanhua historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.
Fanhua Stock Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Fanhua is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Fanhua Inc backward and forwards among themselves. Fanhua's institutional investor refers to the entity that pools money to purchase Fanhua's securities or originates loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Blackrock Inc | 2023-12-31 | 26.7 K | Savant Capital Management Inc | 2023-12-31 | 25 K | American Century Companies Inc | 2023-12-31 | 24.7 K | Geode Capital Management, Llc | 2023-12-31 | 18.9 K | Rhumbline Advisers | 2023-12-31 | 17.3 K | Employees Retirement System Of Texas | 2023-12-31 | 16.7 K | Arrowstreet Capital Limited Partnership | 2023-12-31 | 14.3 K | Simplex Trading, Llc | 2023-12-31 | 7.1 K | Quadrant Capital Group Llc | 2023-12-31 | 5 K | Goldman Sachs Group Inc | 2023-12-31 | 2.3 M | Bank Of America Corp | 2023-12-31 | 1.5 M |
Fanhua Cash Flow Accounts
| 2019 | 2020 | 2021 | 2022 | 2023 | 2024 (projected) | ||
| Change In Cash | (582.6M) | 84.5M | 306.4M | (8.3M) | 163.4M | 171.6M | |
| Free Cash Flow | 158.6M | 387.1M | 95.4M | 60.0M | 123.6M | 220.7M | |
| Depreciation | 17.2M | 17.9M | 18.4M | 19.5M | 22.4M | 30.1M | |
| Other Non Cash Items | 243.2M | 104.0M | 23.8M | 180.5M | (51.4M) | (48.8M) | |
| Capital Expenditures | 22.8M | 19.7M | 15.3M | 30.8M | 77.7M | 0.0 | |
| Net Income | 192.6M | 276.2M | 259.9M | 85.7M | 378.3M | 203.3M | |
| End Period Cash Flow | 265.6M | 350.1M | 656.5M | 648.2M | 626.3M | 891.5M | |
| Change To Netincome | 247.8M | 145.2M | 50.2M | 213.7M | 245.8M | 258.0M | |
| Dividends Paid | 326.7M | 435.1M | 388.5M | 242.5M | 52.1M | 0.0 | |
| Investments | 12.0M | 325.3M | 462.2M | (127.6M) | (200.4M) | (190.4M) |
Fanhua Greeks
Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Fanhua or Insurance sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Fanhua's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Fanhua stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α | Alpha over NYSE Composite | -0.92 | |
β | Beta against NYSE Composite | 0.86 | |
σ | Overall volatility | 4.04 | |
Ir | Information ratio | -0.23 |
Fanhua Volatility Alert
Fanhua Inc exhibits very low volatility with skewness of -0.11 and kurtosis of 2.85. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Fanhua's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Fanhua's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.Fanhua Fundamentals Vs Peers
Comparing Fanhua's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Fanhua's direct or indirect competition across all of the common fundamentals between Fanhua and the related equities. This way, we can detect undervalued stocks with similar characteristics as Fanhua or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Fanhua's fundamental indicators could also be used in its relative valuation, which is a method of valuing Fanhua by comparing valuation metrics with those of similar companies.
| Better Than Average | Worse Than Average | Compare Fanhua to competition |
| Fundamentals | Fanhua | Peer Average |
| Return On Equity | 0.14 | -0.31 |
| Return On Asset | 0.0343 | -0.14 |
| Profit Margin | 0.09 % | (1.27) % |
| Operating Margin | 0.03 % | (5.51) % |
| Current Valuation | 2.86 B | 16.62 B |
| Shares Outstanding | 56.74 M | 571.82 M |
| Shares Owned By Insiders | 0.91 % | 10.09 % |
| Shares Owned By Institutions | 9.08 % | 39.21 % |
| Number Of Shares Shorted | 89.09 K | 4.71 M |
| Price To Earning | 5.89 X | 28.72 X |
| Price To Book | 0.78 X | 9.51 X |
| Price To Sales | 0.07 X | 11.42 X |
| Revenue | 3.36 B | 9.43 B |
| Gross Profit | 986.01 M | 27.38 B |
| EBITDA | 229.88 M | 3.9 B |
| Net Income | 378.28 M | 570.98 M |
| Cash And Equivalents | 1.09 B | 2.7 B |
| Cash Per Share | 20.29 X | 5.01 X |
| Total Debt | 172.17 M | 5.32 B |
| Debt To Equity | 0.11 % | 48.70 % |
| Current Ratio | 2.57 X | 2.16 X |
| Book Value Per Share | 38.70 X | 1.93 K |
| Cash Flow From Operations | 201.39 M | 971.22 M |
| Short Ratio | 2.68 X | 4.00 X |
| Earnings Per Share | 0.98 X | 3.12 X |
| Target Price | 6.0 | |
| Beta | -0.032 | -0.15 |
| Market Capitalization | 198.58 M | 19.03 B |
| Total Asset | 3.09 B | 29.47 B |
| Retained Earnings | 1.09 B | 9.33 B |
| Working Capital | 1.34 B | 1.48 B |
| Current Asset | 3.51 B | 9.34 B |
| Current Liabilities | 488.45 M | 7.9 B |
Fanhua Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Fanhua . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
About Fanhua Buy or Sell Advice
When is the right time to buy or sell Fanhua Inc? Buying financial instruments such as Fanhua Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.| 2021 | 2022 | 2023 | 2024 (projected) | Other Current Liabilities | 444.1M | 417.2M | 479.8M | 503.8M | Total Assets | 3.2B | 3.1B | 3.6B | 3.0B |
Use Investing Ideas to Build Portfolios
In addition to having Fanhua in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
Run High Yield ETFs Thematic Idea Now
High Yield ETFs
ETF themes focus on helping investors to gain exposure to a broad range of assets, diversify, and lower overall costs. The High Yield ETFs theme has 95 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize High Yield ETFs Theme or any other thematic opportunities.
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Check out Fanhua Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. You can also try the Sign In To Macroaxis module to sign in to explore Macroaxis' wealth optimization platform and fintech modules.
Complementary Tools for Fanhua Stock analysis
When running Fanhua's price analysis, check to measure Fanhua's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Fanhua is operating at the current time. Most of Fanhua's value examination focuses on studying past and present price action to predict the probability of Fanhua's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Fanhua's price. Additionally, you may evaluate how the addition of Fanhua to your portfolios can decrease your overall portfolio volatility.
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Is Fanhua's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Fanhua. If investors know Fanhua will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Fanhua listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 4.304 | Earnings Share 0.98 | Revenue Per Share 59.54 | Quarterly Revenue Growth (0.21) | Return On Assets 0.0343 |
The market value of Fanhua Inc is measured differently than its book value, which is the value of Fanhua that is recorded on the company's balance sheet. Investors also form their own opinion of Fanhua's value that differs from its market value or its book value, called intrinsic value, which is Fanhua's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Fanhua's market value can be influenced by many factors that don't directly affect Fanhua's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Fanhua's value and its price as these two are different measures arrived at by different means. Investors typically determine if Fanhua is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Fanhua's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.