# New Hope Liuhe (000876.SHE)

Canonical: https://gigainvestors.com/s/000876.SHE

Analysis as of: 2026-10-16T07:37:36.354Z. 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 6.58 per share; close as of 2026-10-15.

## Checklist

### understandable: fail

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

- more than 2 net loss years

- operating margin variation exceeds 0.35

- Financial history: 10 years

- Years with declining revenue: 2

- Years with a net loss: 3

- Operating margin variation: 1.47×

Chart: Operating margin; fiscal year observations.

- FY2016: 0.05×

- FY2017: 0.05×

- FY2018: 0.05×

- FY2019: 0.08×

- FY2020: 0.06×

- FY2021: -0.06×

- FY2022: -0.00×

- FY2023: 0.00×

- FY2024: 0.01×

- FY2025: 0.01×

### moat: fail

- ROIC median below threshold

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

- ROIC, median of available years: 5.4%

- ROIC, second-lowest year: -0.6%

- Typical minus recent gross margin: 0.8 pp

- Typical gross margin (annual median): 7.1%

- Recent gross margin (lower of latest and 3-year median): 6.3%

- Years with nonpositive capital: 0

- Capital spending / revenue: 4.4%

- ROIC including acquisitions, ten-year median: -0.5%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2016: 14.4%

- FY2017: 11.9%

- FY2018: 11.7%

- FY2019: 17.0%

- FY2020: 9.1%

- FY2021: -6.8%

- FY2022: -0.6%

- FY2023: 0.4%

- FY2024: 1.0%

- FY2025: 1.7%

### economics: fail

- owner earnings cash conversion below threshold

- incremental invested capital return below threshold

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: CNY -20B

- Net income, five-year total: CNY -12B

- Return on incremental invested capital: -3.6%

- Working capital / revenue, annual change: -0.5 pp

- Working capital / revenue, change between three-year averages: -3.4 pp

- Working capital / revenue, final three-year average: 0.5%

Chart: Owner earnings · five years; fiscal year observations.

- FY2021: CNY -18B

- FY2022: CNY -2.4B

- FY2023: CNY -29M

- FY2024: CNY 941M

- FY2025: CNY -650M

### management: fail

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

- potential debt-funded buybacks (informational)

- ROIC first 3 years vs last 3 years: 11.9% vs 1.0%

- Per-share earnings: 0.54 to 0.04 (three-year endpoint medians)

- per-share value declined or ends nonpositive

- material buybacks concentrated at lower earnings yields (Spearman rho below threshold)

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 10-year annual growth: 0.2%

- Ordinary dilution, 5-year annual growth: 0.8%

- Market cap gain: CNY 7.8B

- Cumulative retained earnings: CNY -4.5B

- Diluted shares, 10-year annual growth: 0.2%

- Diluted shares, 5-year annual growth: 0.8%

- $1 test, starting fiscal year: FY2016

- $1 test, ending fiscal year: FY2025

- Per-share value growth: -27.7%

- Per-share value change: CNY -0.50

- Per-share value, starting three-year median: CNY 0.54

- Per-share value, ending three-year median: CNY 0.04

- Buybacks concentrated in cheaper years (correlation): -0.61

- Average buyback yield: 5.1%

- Buyback history: 7 years

- Debt-funded buybacks: Yes

- Acquisition spending: CNY 1.5B

- Cumulative net income, 10 years: CNY 4.3B

- ROIC, first three-year median: 11.9%

- ROIC, last three-year median: 1.0%

Chart: Earnings per share; fiscal year observations.

- FY2016: CNY 0.61

- FY2017: CNY 0.54

- FY2018: CNY 0.39

- FY2019: CNY 1.20

- FY2020: CNY 1.18

- FY2021: CNY -2.15

- FY2022: CNY -0.36

- FY2023: CNY 0.04

- FY2024: CNY 0.09

- FY2025: CNY -0.41

### accounting: pass

- Sloan accruals: -9.8%

- Receivables to sales index (DSRI): 0.48×

- Restructuring years, last five: 0

- Earnings backed by cash: Yes

- Accounting red flags: 0

- Goodwill and intangibles / equity: 0.12×

Chart: Sloan accruals; fiscal year observations.

- FY2016: -1.7%

- FY2017: -1.0%

- FY2018: -3.4%

- FY2019: 0.9%

- FY2020: -0.6%

- FY2021: -7.6%

- FY2022: -7.8%

- FY2023: -10.5%

- FY2024: -7.3%

- FY2025: -9.8%

## Holders

## Price story

Down 61% since Mar 2022 · sales +3.7%

Story as of 2026-10-16T10:00:09.290Z; price observation 2026-10-15.

### Sales · FY2024–2025

sales +3.7%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: CNY 61B 

- FY2017: CNY 63B 

- FY2018: CNY 69B 

- FY2019: CNY 82B 

- FY2020: CNY 110B 

- FY2021: CNY 126B 

- FY2022: CNY 142B 

- FY2023: CNY 142B 

- FY2024: CNY 103B 

- FY2025: CNY 107B 

### Gross margin · FY2025

gross margin 6.3%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: 7.7% 

- FY2017: 8.0% 

- FY2018: 8.6% 

- FY2019: 11.8% 

- FY2020: 10.5% 

- FY2022: 5.1% 

- FY2023: 1.7% 

- FY2024: 6.6% 

- FY2025: 6.3% 

## Owner memo

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

### How it makes money

Operates in packaged foods; annual sales are CNY 106.9 billion.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:37:36.354Z); FY2025: revenue 106856298720.47; grossProfit 6713270249.04; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); 000876.SHE: New Hope Liuhe Co.,Ltd., together with its subsidiaries, produces and processes compound feed, concentrated feed, and concentrate supplements in China, Vietnam, the Philippines, Bangladesh, Indonesia, Cambodia, Sri Lanka, Singapore, Egypt, and internationally. The company offers pig, poultry, and fish feed products. It also engages in the breeding and slaughtering of pigs, as well as the processing of meat products. The company was formerly known as Sichuan New Hope Agribusiness Co., Ltd. New Hope Liuhe Co.,Ltd. was incorporated in 1998 and is headquartered in Chengdu, China.

### Why customers stay

Margins ranged from 1.7% to 6.6% during 2023–25; it earns 5.4% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:37:36.354Z); FY2023: grossProfit / revenue = 1.7%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:37:36.354Z); FY2024: grossProfit / revenue = 6.6%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:37:36.354Z); FY2025: grossProfit / revenue = 6.3%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:37:36.354Z); 10-year return on capital observations [[2016,0.14363467219569168],[2017,0.11863054036546618],[2018,0.11651695856579705],[2019,0.1703677428822993],[2020,0.09145184478929588],[2021,-0.06752959625241922],[2022,-0.006434228624959032],[2023,0.0036555829598516826],[2024,0.009789767998079556],[2025,0.01662145357117162]]; median 0.05403664918023375. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Paid dividends in 10 of 10 years; bought back CNY 8.6 billion of shares.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:37:36.354Z); FY2016: growth capex 0; upkeep 2103175178.3; owner earnings 1302872821.7. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:37:36.354Z); FY2017: growth capex 204024954.22599983; upkeep 2292187281.474; owner earnings 1161809718.526. Growth capex / owner earnings = 0.1756096122907703.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:37:36.354Z); FY2024: growth capex 0; upkeep 2184089000; owner earnings 941396378.692. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:37:36.354Z); Dividend observations: [[2016,1430152328],[2017,2404602318],[2018,1068726939],[2019,124285434],[2020,1689892000],[2021,2315590008],[2022,2592942000],[2023,3018566000],[2024,2238837000],[2025,1751235148.13]]. Zero only counted when supported by a complete cash-flow statement.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:37:36.354Z); FY2025: cash repurchases 8625030152.726665 CNY.

### Are managers owners

Insiders own 54.7% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); 000876.SHE SharesStats.PercentInsiders = 54.711 percentage points; cache date 2026-10-16.

### What the price says

The price is 0.3 times annual sales; cash earnings are negative.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:37:36.354Z); Closing price 6.58 CNY; reporting-to-trading FX 1; FY2025 annual sales per share 24.552934348322704; price multiple 0.2679924080214674. FY2025 cash earnings/share -0.14937729027133909. Closing-price date 2026-10-15.

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

- 2016-10: CNY 8.12 per share

- 2016-11: CNY 8.53 per share

- 2016-12: CNY 8.05 per share

- 2017-01: CNY 8.04 per share

- 2017-02: CNY 8.17 per share

- 2017-03: CNY 8.05 per share

- 2017-04: CNY 8.17 per share

- 2017-05: CNY 8.00 per share

- 2017-06: CNY 8.22 per share

- 2017-07: CNY 8.31 per share

- 2017-08: CNY 7.55 per share

- 2017-09: CNY 7.37 per share

- 2017-10: CNY 7.40 per share

- 2017-11: CNY 7.61 per share

- 2017-12: CNY 7.45 per share

- 2018-01: CNY 8.32 per share

- 2018-02: CNY 7.57 per share

- 2018-03: CNY 7.28 per share

- 2018-04: CNY 7.18 per share

- 2018-05: CNY 7.13 per share

- 2018-06: CNY 6.34 per share

- 2018-07: CNY 6.52 per share

- 2018-08: CNY 6.06 per share

- 2018-09: CNY 6.13 per share

- 2018-10: CNY 5.95 per share

- 2018-11: CNY 7.06 per share

- 2018-12: CNY 7.28 per share

- 2019-01: CNY 7.95 per share

- 2019-02: CNY 10.60 per share

- 2019-03: CNY 13.30 per share

- 2019-04: CNY 16.30 per share

- 2019-05: CNY 20.60 per share

- 2019-06: CNY 17.37 per share

- 2019-07: CNY 19.35 per share

- 2019-08: CNY 19.51 per share

- 2019-09: CNY 17.17 per share

- 2019-10: CNY 22.06 per share

- 2019-11: CNY 20.57 per share

- 2019-12: CNY 19.95 per share

- 2020-01: CNY 18.20 per share

- 2020-02: CNY 24.20 per share

- 2020-03: CNY 31.43 per share

- 2020-04: CNY 32.90 per share

- 2020-05: CNY 28.10 per share

- 2020-06: CNY 29.80 per share

- 2020-07: CNY 32.56 per share

- 2020-08: CNY 38.06 per share

- 2020-09: CNY 27.69 per share

- 2020-10: CNY 27.00 per share

- 2020-11: CNY 25.97 per share

- 2020-12: CNY 22.40 per share

- 2021-01: CNY 21.15 per share

- 2021-02: CNY 24.07 per share

- 2021-03: CNY 20.00 per share

- 2021-04: CNY 16.62 per share

- 2021-05: CNY 15.23 per share

- 2021-06: CNY 14.67 per share

- 2021-07: CNY 11.41 per share

- 2021-08: CNY 10.94 per share

- 2021-09: CNY 14.76 per share

- 2021-10: CNY 14.39 per share

- 2021-11: CNY 14.37 per share

- 2021-12: CNY 15.21 per share

- 2022-01: CNY 16.09 per share

- 2022-02: CNY 15.37 per share

- 2022-03: CNY 16.98 per share

- 2022-04: CNY 14.03 per share

- 2022-05: CNY 14.28 per share

- 2022-06: CNY 15.30 per share

- 2022-07: CNY 15.90 per share

- 2022-08: CNY 15.71 per share

- 2022-09: CNY 13.90 per share

- 2022-10: CNY 12.89 per share

- 2022-11: CNY 13.62 per share

- 2022-12: CNY 12.91 per share

- 2023-01: CNY 13.11 per share

- 2023-02: CNY 13.20 per share

- 2023-03: CNY 13.23 per share

- 2023-04: CNY 13.01 per share

- 2023-05: CNY 11.27 per share

- 2023-06: CNY 11.68 per share

- 2023-07: CNY 12.51 per share

- 2023-08: CNY 11.67 per share

- 2023-09: CNY 11.00 per share

- 2023-10: CNY 10.16 per share

- 2023-11: CNY 10.00 per share

- 2023-12: CNY 9.32 per share

- 2024-01: CNY 8.17 per share

- 2024-02: CNY 8.86 per share

- 2024-03: CNY 9.48 per share

- 2024-04: CNY 8.92 per share

- 2024-05: CNY 10.02 per share

- 2024-06: CNY 9.14 per share

- 2024-07: CNY 9.47 per share

- 2024-08: CNY 9.01 per share

- 2024-09: CNY 10.41 per share

- 2024-10: CNY 9.81 per share

- 2024-11: CNY 9.53 per share

- 2024-12: CNY 8.98 per share

- 2025-01: CNY 8.69 per share

- 2025-02: CNY 9.56 per share

- 2025-03: CNY 9.26 per share

- 2025-04: CNY 9.59 per share

- 2025-05: CNY 9.58 per share

- 2025-06: CNY 9.38 per share

- 2025-07: CNY 9.62 per share

- 2025-08: CNY 9.88 per share

- 2025-09: CNY 9.80 per share

- 2025-10: CNY 9.73 per share

- 2025-11: CNY 9.41 per share

- 2025-12: CNY 9.22 per share

- 2026-01: CNY 9.04 per share

- 2026-02: CNY 8.71 per share

- 2026-03: CNY 8.20 per share

- 2026-04: CNY 8.73 per share

- 2026-05: CNY 7.89 per share

- 2026-06: CNY 6.27 per share

- 2026-07: CNY 7.00 per share

- 2026-08: CNY 7.10 per share

- 2026-09: CNY 6.92 per share

- 2026-10: CNY 6.81 per share

## Annual estimated value (CNY per share)

- FY2016: low CNY 2.26 per share, central CNY 2.50 per share, high CNY 2.83 per share

- FY2017: low CNY 3.41 per share, central CNY 3.82 per share, high CNY 4.37 per share

- FY2018: low CNY 4.98 per share, central CNY 6.71 per share, high CNY 7.72 per share

- FY2019: low CNY 5.93 per share, central CNY 8.04 per share, high CNY 9.28 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.