Suzhou Dongshan Precision Manufacturing Co Ltd

The company's capital structure is characterized by a high debt-to-equity ratio of 0.85, indicating a moderate reliance on debt financing. Its liquidity position is assessed as medium, with a current ratio of 1.21, suggesting limited short-term liquidity cushion. The price-to-book ratio of 22.3 and price-to-tangible-book ratio of 22.3 indicate that the company's market value is significantly higher than its book value, which may reflect investor expectations of future growth or intangible assets not captured in the balance sheet.

Profitability metrics show a return on equity (ROE) of 1.49% and a return on assets (ROA) of 0.59%, both of which are below the typical thresholds for high-performing semiconductor firms. The gross profit margin is 11.9%, and the operating margin is 3.8%, which are relatively low compared to industry benchmarks. These figures suggest that the company is facing cost pressures or pricing constraints in its core operations.

The company's revenue is concentrated in a single business segment, with no disclosed geographic diversification. This lack of diversification increases exposure to regional economic fluctuations and sector-specific risks. The absence of segment or geographic breakdown in the financial data limits the ability to assess the company's risk profile in detail.

The company's growth trajectory is mixed. While the current fiscal year (FY) is expected to show a modest increase in revenue, the next FY outlook is uncertain. The capital expenditure of -1.64 billion CNY indicates a reduction in investment, which may signal a strategic shift or financial constraints. The company's operating cash flow of 2.09 billion CNY provides some flexibility, but the negative net cash position after subtracting total debt raises concerns about long-term financial stability.

The risk assessment highlights a medium liquidity risk and a low dilution risk. The company's debt-to-equity ratio of 0.85 and the negative net cash position after subtracting total debt are key flags. The dilution risk is low, as the number of shares outstanding has not changed between basic and diluted shares. However, the company's high price-to-earnings ratio of 1,493.63 and price-to-revenue ratio of 47.34 suggest that the stock is overvalued relative to its earnings and revenue, which could lead to volatility if earnings expectations are not met.

Recent events and filings indicate that the company has not issued any new shares in the near term, and there are no immediate signs of dilution. The analyst estimates show a wide range of price targets, from 28.70 CNY to 225.00 CNY, with a mean recommendation of 1.67, indicating a generally positive outlook. However, the high dispersion in price targets suggests significant uncertainty among analysts regarding the company's future performance.

Suzhou Dongshan Precision Manufacturing Co Ltd (002384.SZ) has been formally classified within the Technology economic sector, with its primary activity identified as Semiconductors. This taxonomic update represents the most material change in the company's profile, shifting the analytical framework from a generic manufacturing view to a specialized technology context. The reclassification underscores the firm's strategic alignment with the semiconductor supply chain, a sector characterized by distinct growth drivers and capital intensity compared to broader industrial manufacturing. This sectoral definition is significant for investors assessing the company's exposure to technology cycles and semiconductor demand trends. By anchoring Suzhou Dongshan Precision in the Technology sector, the classification highlights the relevance of semiconductor-specific metrics and market dynamics to its valuation. This distinction helps clarify the nature of its operations, suggesting that its performance is increasingly tied to the broader health and innovation cycles of the semiconductor industry rather than general industrial output. In terms of risk profile, the company now exhibits a low dilution risk, indicating a stable capital structure with minimal threat of share count expansion eroding existing equity value. Concurrently, a medium liquidity risk has been identified, suggesting that while the company maintains operational stability, investors should monitor trading volume and market depth to ensure efficient entry and exit positions. These risk assessments provide a balanced view of the financial health, highlighting stability in ownership structure while flagging potential constraints in market tradability. The analysis is supported by two active analysts, providing a baseline of professional scrutiny on the company's financials and estimates. However, the absence of index membership and reported top holders suggests that the stock may not yet be a core component of major benchmark indices or widely held by institutional giants. This profile implies that Suzhou Dongshan Precision remains a specialized play within the semiconductor technology space, where investor attention is driven more by sector-specific fundamentals and analyst coverage than by broad index inclusion or large-scale institutional accumulation.

Revenue grew 9.1% year-over-year to CNY 40.1 billion in FY2026, demonstrating strong top-line expansion momentum.

Net income surged 27.7% year-over-year to CNY 1.39 billion in FY2026, indicating significant bottom-line improvement.

Cash conversion ratio of 7.7 is best-in-class compared to the cohort median of 0.91.

Free cash flow deteriorated to negative CNY 698.5 million in FY2026, signaling severe cash generation challenges.

Long-term debt increased to CNY 19.66 billion in FY2026, raising concerns about financial leverage and solvency.

The company carries a high credit risk flag, indicating potential difficulties in meeting financial obligations.

Debt-to-equity ratio of 0.85 places the company in the bottom quartile of the semiconductor cohort.

Revenue ¥13.14B, +52,7% YoY; Operating income +122,6% YoY.

• ▍Revenue ¥13.14B, +52,7% YoY
• ▍Operating income +122,6% YoY
• ▍Net income +143,5% YoY
• ▍Net margin 8.4%

Revenue ¥13.05B, +26,7% YoY; Operating income −218,3% YoY.

• ▍Revenue ¥13.05B, +26,7% YoY
• ▍Operating income −218,3% YoY
• ▍Net income +790,2% YoY
• ▍Net margin 1.2%

Revenue ¥10.12B, +2,8% YoY; Operating income −8,7% YoY.

• ▍Revenue ¥10.12B, +2,8% YoY
• ▍Operating income −8,7% YoY
• ▍Net income −8,2% YoY
• ▍Net margin 4.6%

Revenue ¥8.35B, −6,0% YoY; Operating income +8,8% YoY.

• ▍Revenue ¥8.35B, −6,0% YoY
• ▍Operating income +8,8% YoY
• ▍Net income +11,4% YoY
• ▍Net margin 3.6%

Revenue ¥8.60B; Operating income ¥594.9M.

• ▍Revenue ¥8.60B
• ▍Operating income ¥594.9M
• ▍Net margin 5.3%

Revenue ¥10.30B; Operating income ¥200.0M.

• ▍Revenue ¥10.30B
• ▍Operating income ¥200.0M
• ▍Net margin 0.2%

Revenue ¥9.84B; Operating income ¥596.0M.

• ▍Revenue ¥9.84B
• ▍Operating income ¥596.0M
• ▍Net margin 5.2%

Revenue ¥8.88B; Operating income ¥336.7M.

• ▍Revenue ¥8.88B
• ▍Operating income ¥336.7M
• ▍Net margin 3.1%

Revenue ¥40.12B, +9,1% YoY; Operating income −14,3% YoY.

• ▍Revenue ¥40.12B, +9,1% YoY
• ▍Operating income −14,3% YoY
• ▍Net income +27,7% YoY
• ▍Free cash flow +41,7% YoY
• ▍Net margin 3.5%

Revenue ¥36.77B, +9,3% YoY; Operating income −28,5% YoY.

• ▍Revenue ¥36.77B, +9,3% YoY
• ▍Operating income −28,5% YoY
• ▍Net income −44,7% YoY
• ▍Free cash flow −1 405,8% YoY
• ▍Net margin 3.0%

Revenue ¥33.65B, +6,6% YoY; Operating income −27,5% YoY.

• ▍Revenue ¥33.65B, +6,6% YoY
• ▍Operating income −27,5% YoY
• ▍Net income −17,0% YoY
• ▍Free cash flow −138,8% YoY
• ▍Net margin 5.8%

Revenue ¥31.58B, −0,7% YoY; Operating income +34,3% YoY.

• ▍Revenue ¥31.58B, −0,7% YoY
• ▍Operating income +34,3% YoY
• ▍Net income +27,1% YoY
• ▍Free cash flow +190,9% YoY
• ▍Net margin 7.5%