We think China Biologic Products Holdings Inc ($CBPO) is a Cautious Buy or Hold and it currently should be priced at $121. It has a Confident Investor Rating of Fair

 

Company name China Biologic Products Holdings Inc
Stock ticker CBPO
Live stock price [stckqut]CBPO[/stckqut]
P/E compared to competitors Fair

 

MANAGEMENT EXECUTION

Employee productivity Poor
Sales growth Fair
EPS growth Good
P/E growth Poor
EBIT growth Good
Price growth Good
R&D growth Fair
Income growth Good
Assets growth Good
Return on Assets growth Poor
Income / Rev growth Fair
TWCA Plus Good
Standard TWCA Good
Weighted ann. stock price increase Poor

 

ANALYSIS

Confident Investor Rating Fair
Target stock price (TWCA growth scenario) $169.48
Target stock price (averages with growth) $120.38
Target stock price (averages with no growth) $119.75
Target stock price (manual assumptions) $128.17

 

The following company description is from Reuters: https://finance.yahoo.com/quote/cbpo/profile?p=cbpo

China Biologic Products Holdings, Inc. engages in the research, development, manufacture, and sale of human plasma-based biopharmaceutical products to hospitals and inoculation centers in the People’s Republic of China. It offers human albumin for treating shock caused by blood loss trauma or burn; raised intracranial pressure caused by hydrocephalus or trauma; oedema or ascites caused by hepatocirrhosis and nephropathy; and neonatal hyperbilirubinemia, as well as for the prevention and treatment of low-density-lipoproteinemia. The company also provides human immunoglobulin and IVIG for original and secondary immunoglobulin deficiency, and immunoglobulin G secondary deficiency; human hepatitis B immunoglobulin for the prevention of measles and contagious hepatitis; human rabies immunoglobulin primarily for passive immunity from bites or claws by rabies or other infected animals; and human tetanus immunoglobulin for the prevention and therapy of tetanus. In addition, it offers placenta polypeptide for the treatment of cell immunity deficiency diseases, viral infection, and leucopenia, as well as assists in postoperative healing; factor VIII for treating coagulopathies; human fibrinogen; and human prothrombin complex concentrate for treating congenital and acquired clotting factor II, VII, IX, X deficiency, as well as excessive anticoagulant, vitamin K deficiency, etc. Further, the company is developing Human fibrinogen for the treatment for lack of fibrinogen and increase human fibrinogen concentration; and artificial dura and spinal dura mater products for use in brain and spinal surgeries. The company sells its products directly, as well as through distributors. The company was formerly known as China Biologic Products, Inc. and changed its name to China Biologic Products Holdings, Inc. in July 2017. China Biologic Products Holdings, Inc. is headquartered in Beijing, the People’s Republic of China.

 

Confident Investor comments: At this time, I think that a Confident Investor can cautiously invest in China Biologic Products Holdings Inc as long as the price is correct and the indicators that I describe in my book The Confident Investor are favorable. Most of the fundamentals of this company are good but there are some concerns. I am removing China Biologic from my Watch List due to its recent stock performance and the current climate of reducing the importance of companies from China in western markets. This will make room for stocks that are higher performing.

If you would like to understand how to evaluate companies like I do on this site, please read my book, The Confident Investor. You can review the best companies that I have found (and I probably invest my own money in most of these companies) in my Watch List.

How was this analysis of China Biologic Products Holdings Inc calculated?

For owners of my book, “The Confident Investor” I offer the following analysis (you must be logged in to this site as a book owner in order to see the following analysis). If you have registered and cannot see the balance of this article, make sure you are logged in and refresh your browser.
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In order to assist you in using the techniques of this book, the values that I used when calculating the Manual pricing above were:

  • Stock price at the time of the calculation: $109.64
  • Growth: 0.1647
  • Current EPS (TTM): $3.64833333333333
  • P/E: 26.3983823385159
  • Future EPS Calc: $7.81
  • Future Stock Price Calc: $206.41
  • Target stock price: $128.16

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I hope that this makes you a Confident Investor.

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