# Jiangsu Wujiang China Eastern Silk Market (000301.SHE)

Canonical: https://gigainvestors.com/s/000301.SHE

Analysis as of: 2026-10-16T07:35:37.247Z. Financial observations: FY1996–FY2025.

Listing currency: CNY. Reporting currency: CNY.

## Verdict

Not a wonderful business

Quality tests for Buy: not passed (profit record: fail; earnings resilience is evidence only). Published buy qualification: no.

Share price: CNY 11.99 per share; close as of 2026-10-15.

## Checklist

### understandable: fail

- 2 revenue declines in the last 10 years (informational)

- operating margin variation exceeds 0.35

- Financial history: 10 years

- Years with declining revenue: 2

- Years with a net loss: 1

- Operating margin variation: 1.16×

Chart: Operating margin; fiscal year observations.

- FY2016: 0.26×

- FY2017: 0.11×

- FY2018: 0.05×

- FY2019: 0.08×

- FY2020: 0.03×

- FY2021: 0.11×

- FY2022: 0.01×

- FY2023: 0.00×

- FY2024: -0.03×

- FY2025: 0.03×

### moat: fail

- ROIC median below threshold

- ROIC worst years below threshold (more than 1 bad year allowed)

- ROIC, median of available years: 3.5%

- ROIC, second-lowest year: 0.2%

- Typical minus recent gross margin: 1.7 pp

- Typical gross margin (annual median): 11.4%

- Recent gross margin (lower of latest and 3-year median): 9.7%

- Years with nonpositive capital: 0

- Capital spending / revenue: 20.6%

- ROIC including acquisitions, ten-year median: -8.3%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2016: 4.7%

- FY2017: 15.9%

- FY2018: 6.1%

- FY2019: 9.6%

- FY2020: 2.2%

- FY2021: 6.2%

- FY2022: 0.4%

- FY2023: 0.2%

- FY2024: -1.9%

- FY2025: 2.4%

### economics: fail

- owner earnings cash conversion below threshold

- incremental invested capital return below threshold

- Owner earnings / net income, 5-yr: -10.94×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: CNY -41B

- Net income, five-year total: CNY 3.7B

- Return on incremental invested capital: 2.5%

- Working capital / revenue, annual change: -1.0 pp

- Working capital / revenue, change between three-year averages: -6.2 pp

- Working capital / revenue, final three-year average: 4.1%

Chart: Annual owner cash / profit; fiscal year observations.

- FY2021: -3.75×

- FY2022: -23.96×

- FY2023: 0.62×

- FY2024: 3.68×

- FY2025: -8.30×

### management: fail

- Historical market-dollar context (not the management verdict): 2016 to 2025 (9 years)

- buybacks unrelated to price (informational)

- ROIC first 3 years vs last 3 years: 6.1% vs 0.2%

- Per-share earnings: 0.14 to 0.02 (three-year endpoint medians)

- per-share value declined or ends nonpositive

- five-year and ten-year diluted share growth both above threshold

- acquired goodwill and intangibles (proxy) exceeds half of ten-year net income with low and deteriorating ROIC

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 10-year annual growth: 18.6%

- Ordinary dilution, 5-year annual growth: 9.1%

- Market cap gain: CNY 66B

- Cumulative retained earnings: CNY 2.4B

- Diluted shares, 10-year annual growth: 18.6%

- Diluted shares, 5-year annual growth: 9.1%

- $1 test, starting fiscal year: FY2016

- $1 test, ending fiscal year: FY2025

- Per-share value growth: -21.4%

- Per-share value change: CNY -0.12

- Per-share value, starting three-year median: CNY 0.14

- Per-share value, ending three-year median: CNY 0.02

- Average buyback yield: 2.1%

- Buyback history: 1 years

- Debt-funded buybacks: No

- Acquisition spending: CNY 5.3B

- Cumulative net income, 10 years: CNY 8.7B

- ROIC, first three-year median: 6.1%

- ROIC, last three-year median: 0.2%

Chart: Earnings per share; fiscal year observations.

- FY2016: CNY 0.12

- FY2017: CNY 1.17

- FY2018: CNY 0.25

- FY2019: CNY 0.41

- FY2020: CNY 0.18

- FY2021: CNY 0.73

- FY2022: CNY 0.09

- FY2023: CNY 0.11

- FY2024: CNY -0.35

- FY2025: CNY 0.02

### accounting: pass

- Sloan accruals: -7.8%

- Receivables to sales index (DSRI): 0.83×

- Restructuring years, last five: 0

- Earnings backed by cash: Yes

- Operating cash / earnings: 120.03×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 0.16×

Chart: Sloan accruals; fiscal year observations.

- FY2016: -14.3%

- FY2017: 0.9%

- FY2018: -3.9%

- FY2019: -10.3%

- FY2020: -3.8%

- FY2021: -0.6%

- FY2022: -0.7%

- FY2023: -4.0%

- FY2024: -6.3%

- FY2025: -7.8%

## Holders

## Price story

Down 56% since Oct 2021 · sales -8.8%

Story as of 2026-10-16T10:00:05.662Z; price observation 2026-10-15.

### Sales · FY2024–2025

sales -8.8%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: CNY 793M 

- FY2017: CNY 16B 

- FY2018: CNY 23B 

- FY2019: CNY 25B 

- FY2020: CNY 34B 

- FY2021: CNY 53B 

- FY2022: CNY 64B 

- FY2023: CNY 140B 

- FY2024: CNY 138B 

- FY2025: CNY 126B 

### Gross margin · FY2025

gross margin 10.8%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2017: 15.0% 

- FY2018: 13.2% 

- FY2019: 12.1% 

- FY2020: 7.5% 

- FY2021: 16.1% 

- FY2022: 6.3% 

- FY2023: 9.7% 

- FY2024: 7.9% 

- FY2025: 10.8% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in chemicals; annual sales are CNY 125.6 billion.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:37.247Z); FY2025: revenue 125587320327.07; grossProfit 13523319250.3; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); 000301.SHE: Jiangsu Eastern Shenghong Co.,Ltd., together with its subsidiaries, engages in the research, development, production, and sale of petrochemical and new chemical materials, polyester, and chemical fibers in China and internationally. It operates through Chemical Fiber, Electricity and Heat, and Petrochemical segments. The company offers refined oil, ethylene, propylene, butadiene benzene, paraxylene, ethylene glycol, purified terephthalic acid, ethylene-vinyl acetate copolymers, ultrahigh molecular weight polyethylene, acrylonitrile, methyl methacrylate, ethylene oxide, vinyl acetate, phenol, sulfur, acetone, styrene, propylene oxide, polyolefin elastomers, polyether polyol, pre-oriented yarn, full draw yarn, and draw textured yarn. It is also involved in the refining of petroleum; sales and management of energy; supply of power and heat; investment in the petrochemical industry; technology development; real estate leasing; and software and information technology services. The company serves the petrochemical and new chemical materials, and chemical fiber industries. Jiangsu Eastern Shenghong Co.,Ltd. was founded in 1998 and is headquartered in Suzhou, China.

### Why customers stay

Margins ranged from 7.9% to 10.8% during 2023–25; it earns 3.5% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:37.247Z); FY2023: grossProfit / revenue = 9.7%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:37.247Z); FY2024: grossProfit / revenue = 7.9%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:37.247Z); FY2025: grossProfit / revenue = 10.8%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:37.247Z); 10-year return on capital observations [[2016,0.04722277136352578],[2017,0.1585826097711694],[2018,0.06069357928113822],[2019,0.09605625322893778],[2020,0.021817670220996076],[2021,0.06172091382089376],[2022,0.0040960032490251095],[2023,0.0018087617750261304],[2024,-0.019489823005100233],[2025,0.023502688936161593]]; median 0.03536273014984369. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Paid dividends in 10 of 10 years.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:37.247Z); FY2017: growth capex 0; upkeep 178785814; owner earnings 1965841773. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:37.247Z); FY2018: growth capex 482870191; upkeep 980102076; owner earnings 965312265. Growth capex / owner earnings = 0.5002217505233915.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:37.247Z); FY2023: growth capex 18950106707; upkeep 4817405293; owner earnings 442628635.01799995. Growth capex / owner earnings = 42.81265423830832.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:37.247Z); Dividend observations: [[2016,60911822],[2017,948680048],[2018,121823644],[2019,402905322],[2020,968958337],[2021,1047486000],[2022,891976000],[2023,5200800000],[2024,5444083000],[2025,4337294594.16]]. Zero only counted when supported by a complete cash-flow statement.

### Are managers owners

Insiders own 71.4% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); 000301.SHE SharesStats.PercentInsiders = 71.375 percentage points; cache date 2026-10-16.

### What the price says

The price is 0.6 times annual sales; cash earnings are negative.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:37.247Z); Closing price 11.99 CNY; reporting-to-trading FX 1; FY2025 annual sales per share 18.779929405588465; price multiple 0.6384475543572629. FY2025 cash earnings/share -0.16603902714337004. Closing-price date 2026-10-15.

## Monthly share-price history (CNY per share)

- 2016-10: CNY 4.72 per share

- 2016-11: CNY 5.19 per share

- 2016-12: CNY 5.35 per share

- 2017-01: CNY 5.03 per share

- 2017-02: CNY 5.19 per share

- 2017-03: CNY 5.10 per share

- 2017-04: CNY 5.10 per share

- 2017-05: CNY 5.10 per share

- 2017-06: CNY 5.10 per share

- 2017-07: CNY 5.10 per share

- 2017-08: CNY 5.10 per share

- 2017-09: CNY 5.10 per share

- 2017-10: CNY 5.60 per share

- 2017-11: CNY 6.28 per share

- 2017-12: CNY 5.31 per share

- 2018-01: CNY 5.78 per share

- 2018-02: CNY 6.64 per share

- 2018-03: CNY 6.81 per share

- 2018-04: CNY 6.20 per share

- 2018-05: CNY 6.80 per share

- 2018-06: CNY 6.35 per share

- 2018-07: CNY 6.09 per share

- 2018-08: CNY 6.55 per share

- 2018-09: CNY 6.57 per share

- 2018-10: CNY 5.45 per share

- 2018-11: CNY 5.37 per share

- 2018-12: CNY 5.46 per share

- 2019-01: CNY 4.86 per share

- 2019-02: CNY 5.40 per share

- 2019-03: CNY 6.00 per share

- 2019-04: CNY 6.00 per share

- 2019-05: CNY 5.22 per share

- 2019-06: CNY 5.49 per share

- 2019-07: CNY 5.28 per share

- 2019-08: CNY 5.07 per share

- 2019-09: CNY 5.14 per share

- 2019-10: CNY 5.19 per share

- 2019-11: CNY 5.01 per share

- 2019-12: CNY 5.18 per share

- 2020-01: CNY 5.05 per share

- 2020-02: CNY 5.01 per share

- 2020-03: CNY 4.75 per share

- 2020-04: CNY 5.00 per share

- 2020-05: CNY 5.28 per share

- 2020-06: CNY 5.55 per share

- 2020-07: CNY 5.87 per share

- 2020-08: CNY 5.93 per share

- 2020-09: CNY 6.11 per share

- 2020-10: CNY 6.15 per share

- 2020-11: CNY 10.03 per share

- 2020-12: CNY 9.48 per share

- 2021-01: CNY 13.57 per share

- 2021-02: CNY 14.20 per share

- 2021-03: CNY 14.12 per share

- 2021-04: CNY 15.01 per share

- 2021-05: CNY 17.31 per share

- 2021-06: CNY 20.90 per share

- 2021-07: CNY 27.18 per share

- 2021-08: CNY 32.38 per share

- 2021-09: CNY 28.12 per share

- 2021-10: CNY 27.25 per share

- 2021-11: CNY 23.69 per share

- 2021-12: CNY 19.34 per share

- 2022-01: CNY 16.77 per share

- 2022-02: CNY 19.04 per share

- 2022-03: CNY 14.20 per share

- 2022-04: CNY 12.25 per share

- 2022-05: CNY 15.63 per share

- 2022-06: CNY 16.91 per share

- 2022-07: CNY 19.72 per share

- 2022-08: CNY 19.26 per share

- 2022-09: CNY 17.42 per share

- 2022-10: CNY 12.24 per share

- 2022-11: CNY 13.28 per share

- 2022-12: CNY 13.04 per share

- 2023-01: CNY 15.62 per share

- 2023-02: CNY 15.53 per share

- 2023-03: CNY 13.62 per share

- 2023-04: CNY 12.67 per share

- 2023-05: CNY 11.64 per share

- 2023-06: CNY 11.82 per share

- 2023-07: CNY 12.56 per share

- 2023-08: CNY 11.51 per share

- 2023-09: CNY 11.55 per share

- 2023-10: CNY 10.64 per share

- 2023-11: CNY 10.12 per share

- 2023-12: CNY 9.60 per share

- 2024-01: CNY 9.89 per share

- 2024-02: CNY 10.50 per share

- 2024-03: CNY 10.08 per share

- 2024-04: CNY 9.92 per share

- 2024-05: CNY 8.94 per share

- 2024-06: CNY 7.97 per share

- 2024-07: CNY 7.93 per share

- 2024-08: CNY 7.79 per share

- 2024-09: CNY 9.28 per share

- 2024-10: CNY 7.91 per share

- 2024-11: CNY 9.54 per share

- 2024-12: CNY 8.21 per share

- 2025-01: CNY 8.57 per share

- 2025-02: CNY 9.24 per share

- 2025-03: CNY 8.29 per share

- 2025-04: CNY 8.80 per share

- 2025-05: CNY 8.50 per share

- 2025-06: CNY 8.33 per share

- 2025-07: CNY 8.93 per share

- 2025-08: CNY 9.83 per share

- 2025-09: CNY 9.51 per share

- 2025-10: CNY 9.25 per share

- 2025-11: CNY 9.61 per share

- 2025-12: CNY 10.89 per share

- 2026-01: CNY 13.22 per share

- 2026-02: CNY 13.02 per share

- 2026-03: CNY 10.65 per share

- 2026-04: CNY 13.27 per share

- 2026-05: CNY 12.05 per share

- 2026-06: CNY 11.45 per share

- 2026-07: CNY 11.77 per share

- 2026-08: CNY 14.60 per share

- 2026-09: CNY 12.89 per share

- 2026-10: CNY 12.46 per share

## Annual estimated value (CNY per share)

- FY2016: low CNY 1.07 per share, central CNY 1.13 per share, high CNY 1.22 per share

- FY2017: low CNY 23.32 per share, central CNY 32.71 per share, high CNY 38.18 per share

- FY2018: low CNY 4.58 per share, central CNY 6.03 per share, high CNY 6.88 per share

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

## Sources

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.