Yangzijiang Shipbuilding (Holdings) Ltd. (YSHLF)
UndervaluedFundamental
72
Price
$5.07
Market Cap
$20.62B
Part 1 · What the company is worth
Overview
Yangzijiang Shipbuilding builds large commercial ships — container ships, bulk carriers, oil tankers and gas carriers — at four shipyards along the Yangtze River in Jiangsu, China. Shipowners from around the world, mostly in Europe and North America, place orders years in advance and pay in installments as the vessel is built; Yangzijiang delivers a physical, multi-million-dollar asset at the end rather than a recurring service. It is one of the largest privately owned shipbuilders in China.
How it makes money
Revenue is recognized as vessels progress through construction against a fixed orderbook price agreed years earlier, so today's results largely reflect ships priced and contracted long before delivery — 2025 revenue grew mainly because older contracts were signed at higher prices, not because more ships were sold this year. A smaller shipping arm charters bulk carriers, and a residual 'other' line covers terminal services, ship design and trading, adding modestly to the shipbuilding core.
Revenue by segment
Construction of containerships, bulk carriers, oil tankers and gas carriers under multi-year contracts with global shipowners.
Charter revenue from a fleet of bulk carriers the Group owns and operates itself.
Terminal services, ship design fees and trading activity, including raw-material sales to an affiliated shipyard.
What drives demand
CyclicalShipbuilding demand follows the global shipping cycle: newbuild orders and prices swing with world trade volumes, fleet age and replacement needs, and even regulatory shifts like new emissions rules that push owners to order cleaner vessels. Tariff announcements in early 2025 already delayed some ordering decisions before momentum picked back up later in the year.
The case for
Buyers argue that a record order backlog worth US$22.4 billion through 2030, expanding gross margins from higher newbuild pricing, and a new shipyard expansion project position Yangzijiang to keep converting its backlog into growing profit for years.
The case against
Sellers fear that shipbuilding is a boom-and-bust industry, that tariff disputes and trade tensions already delayed ordering in early 2025, and that today's high margins reflect a pricing peak that new capacity — including the company's own expansion — could erode over the coming years.
Written by the editors, published on August 18, 2026
Direct competitors
Who this company fights with for the same customers
No editorial profile for this company yet
No competitor list for this company yet.
Balance Sheet & Liquidity
Revenue
$33.16B
Trailing 12 months to the last reported quarter — estimated from per-share metrics
Net Income
$9.82B
Trailing 12 months to the last reported quarter — estimated from per-share metrics
Free Cash Flow
$-828M
Total Equity
$6.33B
Total Liabilities
$4.13B
Current Ratio
1.66
Interest Coverage
-
Debt/EBITDA
0.37
Earnings Per Share
Revenue & Net Income
Free Cash Flow
Income Breakdown
Historical statement
Margins over time
Debt over time
How heavy the debt is
Growth grid
Growth — Revenue
Fair Value Estimation
Fair Value
$13.52
Current Price
$5.07
Margin of Safety
+62.5%
Fair Value Range
$8.78 - $18.25
Spread across the valuation methods used, not a statistically calibrated confidence interval.
Estimation Methods
Valuation Metrics
P/E Ratio
2.03
ROE
32.1%
P/B Ratio
0.60
P/FCF
-
Gross Margin
35.2%
ROIC
83.2%
Profitability Radar
Value Creation (Economic Moat)
ROIC outlierROIC
83.2%
WACC
8.0%
ROIC − WACC
+75.2 pp
ROIC exceeds the cost of capital — the company is creating value for shareholders.
Fundamental Analysis Criteria
Passed (15)
- Price CAGR 28.04%
- ROIC 83.2%
- Gross Margin 35.2%
- P/B Ratio 0.60
- Debt/Equity ratio
- Operating Margin 34.2%
- Current Ratio
- Debt/EBITDA
- Price below Graham Number
- ROE 30.1%
- Revenue Growth 5Y 13.9%
- Analyst Consensus 88% Buy
- Earnings Surprise avg 10.2%
- PEG Ratio 0.39
- Net Margin Trend 30.3% vs 25.0%
Failed (4)
- Positive Free Cash Flow
- DCF valuation (Unknown)
- Earnings Quality (OCF/NI) 0.60
- Piotroski F-Score 1/9
Unavailable (8)
- EPS data insufficient
- P/FCF NaN
- Dividend Payout NaN%
- CapEx intensity
- Interest Coverage
- Return on Tangible Assets
- Low reliance on intangibles
- Share Dilution (missing shares data)
Piotroski F-Score
Serious financial concerns
Earnings Quality
Moderate: some gap between profits and cash
Share Dilution
Buying back shares. Shareholder friendly
Institutional Holdings
No institutional filings reported for this company.
Governance
Executive Team
| Name | Title | Age |
|---|---|---|
| Mr. Letian Ren | Executive Chairman & CEO | 43 |
| Mr. Yu Weiping | Co-Founder | - |
| Ren Jinhua | Co-Founder | - |
| Jialu Huang | Co-Founder | - |
| Mr. Qiang Gao | Co-Founder | 61 |
| Zhengshun Cai | Co-Founder | - |
| Mr. Yi Fang Liu | Co-Founder | 78 |
| Lijun Xie | Co-Founder | - |
| Wenzhen Wang | Co-Founder | - |
| Pinhua Su | Co-Founder | - |
Audit Risk
4
Board Risk
10
Compensation Risk
5
Shareholder Rights Risk
8
Part 2 · The price and when to enter
This part won't tell you whether the company is worth owning: it helps you choose when to buy it, once the fundamentals have convinced you. Inside: technical analysis, potential, historical drawdowns, gamma exposure.
Latest News
Recent headlines for YSHLF, sourced from Markets Gazette.