# ENN Ecological Holdings (600803.SHG)

Canonical: https://gigainvestors.com/s/600803.SHG

Analysis as of: 2026-10-16T07:36:06.758Z. Financial observations: FY1996–FY2025.

Listing currency: CNY. Reporting currency: CNY.

## Verdict

Not a wonderful business

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

Share price: CNY 19.74 per share; close as of 2026-10-15.

Estimated value: low CNY 15.25 per share, central CNY 17.05 per share, high CNY 19.44 per share. Buy at or below the central value CNY 17.05 per share. Valuation as of 2026-10-16T07:36:06.758Z; scenarios are not confidence intervals.

Expected annual return: 8.9% at the stated quote. About 8.9% a year at today's price (required return 10.0%). required return 10.0% a year (10% floor; CN 10-year bond 1.7% + 4 points).

## Checklist

### understandable: pass

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

- Financial history: 10 years

- Years with declining revenue: 4

- Years with a net loss: 0

- Operating margin variation: 0.19×

Chart: Operating margin; fiscal year observations.

- FY2016: 0.06×

- FY2017: 0.09×

- FY2018: 0.12×

- FY2019: 0.12×

- FY2020: 0.12×

- FY2021: 0.12×

- FY2022: 0.10×

- FY2023: 0.11×

- FY2024: 0.09×

- FY2025: 0.08×

### moat: fail

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

- ROIC, median of available years: 24.9%

- ROIC, second-lowest year: 5.7%

- Typical minus recent gross margin: 3.9 pp

- Typical gross margin (annual median): 16.9%

- Recent gross margin (lower of latest and 3-year median): 13.0%

- Years with nonpositive capital: 0

- Capital spending / revenue: 6.9%

- ROIC including acquisitions, ten-year median: 7.6%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2016: 3.0%

- FY2017: 5.7%

- FY2018: 9.6%

- FY2019: 54.3%

- FY2020: 29.4%

- FY2021: 32.6%

- FY2022: 25.0%

- FY2023: 30.6%

- FY2024: 24.9%

- FY2025: 22.0%

### economics: fail

- owner earnings cash conversion below threshold

- Owner earnings / net income, 5-yr: 0.74×

- Cash conversion uses consolidated totals: No

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

- Net income, five-year total: CNY 27B

- Return on incremental invested capital: 25.0%

- Working capital / revenue, annual change: 0.1 pp

- Working capital / revenue, change between three-year averages: 0.2 pp

- Working capital / revenue, final three-year average: 4.3%

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

- FY2021: 0.99×

- FY2022: 0.99×

- FY2023: 0.58×

- FY2024: 0.51×

- FY2025: 0.63×

### 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: 5.7% vs 24.9%

- Per-share earnings: 0.60 to 1.52 (three-year endpoint medians)

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

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 10-year annual growth: 11.3%

- Ordinary dilution, 5-year annual growth: 3.3%

- Market cap gain: CNY 49B

- Cumulative retained earnings: CNY 17B

- Diluted shares, 10-year annual growth: 11.3%

- Diluted shares, 5-year annual growth: 3.3%

- $1 test, starting fiscal year: FY2016

- $1 test, ending fiscal year: FY2025

- Per-share value growth: 12.4%

- Per-share value change: CNY 0.92

- Per-share value, starting three-year median: CNY 0.60

- Per-share value, ending three-year median: CNY 1.52

- Buybacks concentrated in cheaper years (correlation): -0.37

- Average buyback yield: 2.1%

- Buyback history: 6 years

- Debt-funded buybacks: No

- Acquisition spending: CNY 11B

- Cumulative net income, 10 years: CNY 34B

- ROIC, first three-year median: 5.7%

- ROIC, last three-year median: 24.9%

Chart: Earnings per share; fiscal year observations.

- FY2016: CNY 0.47

- FY2017: CNY 0.60

- FY2018: CNY 1.08

- FY2019: CNY 2.43

- FY2020: CNY 0.80

- FY2021: CNY 1.69

- FY2022: CNY 1.89

- FY2023: CNY 2.29

- FY2024: CNY 1.48

- FY2025: CNY 1.52

### accounting: pass

- Sloan accruals: -7.8%

- Receivables to sales index (DSRI): 1.00×

- Restructuring years, last five: 0

- Stock compensation / operating cash flow: 0.0%

- Earnings backed by cash: Yes

- Operating cash / earnings: 3.26×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 0.33×

Chart: Sloan accruals; fiscal year observations.

- FY2016: -2.5%

- FY2017: -1.7%

- FY2018: 0.4%

- FY2019: 6.1%

- FY2020: -9.4%

- FY2021: -6.9%

- FY2022: -6.7%

- FY2023: -5.0%

- FY2024: -7.3%

- FY2025: -7.8%

## Holders

## Price story

Price needs cash profits to grow 3% a year for ten years · sales -3.4%

Story as of 2026-10-16T10:00:06.834Z; price observation 2026-10-15.

Price needs cash profits to grow 3% a year for ten years

### Sales · FY2024–2025

sales -3.4%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: CNY 6.4B 

- FY2017: CNY 10B 

- FY2018: CNY 14B 

- FY2019: CNY 89B 

- FY2020: CNY 88B 

- FY2021: CNY 116B 

- FY2022: CNY 154B 

- FY2023: CNY 144B 

- FY2024: CNY 136B 

- FY2025: CNY 131B 

### Gross margin · FY2025

gross margin 13%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: 26.3% 

- FY2017: 24.3% 

- FY2018: 21.1% 

- FY2019: 17.1% 

- FY2020: 18.2% 

- FY2021: 16.8% 

- FY2022: 15.0% 

- FY2023: 13.8% 

- FY2024: 13.7% 

- FY2025: 13.0% 

## Owner memo

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

### How it makes money

Operates in utilities regulated gas; annual sales are CNY 131.4 billion.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:06.758Z); FY2025: revenue 131354050000; grossProfit 17134190000; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); 600803.SHG: ENN Natural Gas Co., Ltd., together with its subsidiaries, engages in the natural gas business in China and internationally. The company operates through eight segments: Natural Gas Retail, Natural Gas Wholesale, Platform Trading Gas, Project Construction and Installation, Pan-Energy Business, Smart Home Business, Energy Production, and Infrastructure Operation. It distributes natural gas; operates city gas projects; offers gas services to residential, commercial, and industrial customers; and provides integrated energy services to industrial parks, new and old urban areas, large public buildings, and commercial enterprises. The company also operates LNG receiving terminals for receiving and discharging storage, outbound transmission of gas and LNG, distribution and transfer, vessel refilling, trans-shipment, and peak-shaving. In addition, it is involved in the operation of natural gas delivery and reserve networks; production and supply of natural gas, methanol, and coal, as well as coal-to-gas; and design, gas and thermal engineering, and general construction contracting. The company was formerly known as ENN Ecological Holdings Co., Ltd. and changed its name to ENN Natural Gas Co., Ltd. in October 2020. ENN Natural Gas Co., Ltd. was founded in 1992 and is headquartered in Langfang, China.

### Why customers stay

Margins ranged from 13% to 13.8% during 2023–25; it earns 24.9% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:06.758Z); FY2023: grossProfit / revenue = 13.8%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:06.758Z); FY2024: grossProfit / revenue = 13.7%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:06.758Z); FY2025: grossProfit / revenue = 13%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:06.758Z); 10-year return on capital observations [[2016,0.030161370118055544],[2017,0.05735233663403059],[2018,0.09573328537415558],[2019,0.5432442210572983],[2020,0.293656781026409],[2021,0.32559492316637273],[2022,0.24980516125579],[2023,0.3061427119633649],[2024,0.24902053074849417],[2025,0.22020002692709942]]; median 0.24941284600214209. 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 2026-10-16T07:36:06.758Z); FY2016: growth capex 575159244.6353096; upkeep 404277069.17469037; owner earnings 460521993.82530963. Growth capex / owner earnings = 1.248928937916232.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:06.758Z); FY2017: growth capex 707926836.05; upkeep 367028928; owner earnings 631040023. Growth capex / owner earnings = 1.1218414209046135.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:06.758Z); FY2018: growth capex 939711930.0699999; upkeep 402579966; owner earnings 1321229742. Growth capex / owner earnings = 0.7112403696328538.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:06.758Z); FY2019: growth capex 0; upkeep 592676114.69; owner earnings 4659313885.309999. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:06.758Z); FY2021: growth capex 5105640000; upkeep 3316940000; owner earnings 4567660000. Growth capex / owner earnings = 1.1177802200689193.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:06.758Z); FY2022: growth capex 4900150000; upkeep 3819090000; owner earnings 5811216184.615051. Growth capex / owner earnings = 0.8432228029948257.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:06.758Z); FY2023: growth capex 0; upkeep 9258660000; owner earnings 4105250561.995765. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:06.758Z); FY2024: growth capex 0; upkeep 8373790000; owner earnings 2305043181.998833. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:06.758Z); FY2025: growth capex 0; upkeep 8237860000; owner earnings 2931028688.5116196. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:06.758Z); Dividend observations: [[2016,407493205.67],[2017,593179279.78],[2018,600242913.76],[2019,254310000],[2020,254310000],[2021,540500000],[2022,873240000],[2023,3043910000],[2024,4023340000],[2025,3739960000]]. Zero only counted when supported by a complete cash-flow statement.

### Are managers owners

Insiders own 72.9% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); 600803.SHG SharesStats.PercentInsiders = 72.892 percentage points; cache date 2026-10-16.

### What the price says

The price assumes cash profits grow 3% yearly over ten years; actual growth was 0.6%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:06.758Z); Ten-year compound average after fade. Initial solved rate 0.0297361408645872. Price 19.74; FX 1; discount 0.1; same standard ten-year fade to terminal 0.03. FY2015 owner earnings/share 0.8972722854499489 → FY2025 0.9516119904247601. Closing-price date 2026-10-15.

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

- 2016-11: CNY 10.95 per share

- 2016-12: CNY 13.24 per share

- 2017-01: CNY 12.59 per share

- 2017-02: CNY 13.39 per share

- 2017-03: CNY 13.41 per share

- 2017-04: CNY 12.97 per share

- 2017-05: CNY 13.60 per share

- 2017-06: CNY 12.76 per share

- 2017-07: CNY 13.42 per share

- 2017-08: CNY 12.89 per share

- 2017-09: CNY 12.69 per share

- 2017-10: CNY 13.69 per share

- 2017-11: CNY 14.65 per share

- 2017-12: CNY 13.94 per share

- 2018-01: CNY 13.65 per share

- 2018-02: CNY 12.63 per share

- 2018-03: CNY 11.71 per share

- 2018-04: CNY 11.86 per share

- 2018-05: CNY 12.36 per share

- 2018-06: CNY 11.54 per share

- 2018-07: CNY 12.34 per share

- 2018-08: CNY 13.35 per share

- 2018-09: CNY 15.06 per share

- 2018-10: CNY 11.03 per share

- 2018-11: CNY 10.69 per share

- 2018-12: CNY 9.94 per share

- 2019-01: CNY 10.05 per share

- 2019-02: CNY 11.34 per share

- 2019-03: CNY 11.82 per share

- 2019-04: CNY 11.51 per share

- 2019-05: CNY 10.50 per share

- 2019-06: CNY 10.45 per share

- 2019-07: CNY 10.08 per share

- 2019-08: CNY 9.38 per share

- 2019-09: CNY 10.47 per share

- 2019-10: CNY 10.31 per share

- 2019-11: CNY 10.15 per share

- 2019-12: CNY 10.64 per share

- 2020-01: CNY 10.34 per share

- 2020-02: CNY 9.56 per share

- 2020-03: CNY 8.65 per share

- 2020-04: CNY 9.07 per share

- 2020-05: CNY 9.76 per share

- 2020-06: CNY 10.34 per share

- 2020-07: CNY 11.94 per share

- 2020-08: CNY 12.07 per share

- 2020-09: CNY 11.21 per share

- 2020-10: CNY 12.84 per share

- 2020-11: CNY 14.10 per share

- 2020-12: CNY 13.59 per share

- 2021-01: CNY 15.42 per share

- 2021-02: CNY 14.46 per share

- 2021-03: CNY 17.56 per share

- 2021-04: CNY 17.52 per share

- 2021-05: CNY 17.47 per share

- 2021-06: CNY 16.51 per share

- 2021-07: CNY 17.53 per share

- 2021-08: CNY 20.46 per share

- 2021-09: CNY 18.28 per share

- 2021-10: CNY 18.41 per share

- 2021-11: CNY 19.54 per share

- 2021-12: CNY 18.36 per share

- 2022-01: CNY 17.26 per share

- 2022-02: CNY 17.86 per share

- 2022-03: CNY 17.71 per share

- 2022-04: CNY 16.39 per share

- 2022-05: CNY 18.30 per share

- 2022-06: CNY 18.59 per share

- 2022-07: CNY 17.24 per share

- 2022-08: CNY 20.54 per share

- 2022-09: CNY 18.56 per share

- 2022-10: CNY 15.48 per share

- 2022-11: CNY 18.60 per share

- 2022-12: CNY 16.10 per share

- 2023-01: CNY 18.06 per share

- 2023-02: CNY 19.31 per share

- 2023-03: CNY 20.85 per share

- 2023-04: CNY 20.30 per share

- 2023-05: CNY 19.36 per share

- 2023-06: CNY 18.98 per share

- 2023-07: CNY 18.40 per share

- 2023-08: CNY 17.46 per share

- 2023-09: CNY 17.42 per share

- 2023-10: CNY 17.26 per share

- 2023-11: CNY 16.03 per share

- 2023-12: CNY 16.82 per share

- 2024-01: CNY 17.48 per share

- 2024-02: CNY 18.73 per share

- 2024-03: CNY 19.36 per share

- 2024-04: CNY 18.06 per share

- 2024-05: CNY 18.19 per share

- 2024-06: CNY 20.80 per share

- 2024-07: CNY 19.63 per share

- 2024-08: CNY 17.67 per share

- 2024-09: CNY 20.58 per share

- 2024-10: CNY 18.34 per share

- 2024-11: CNY 18.29 per share

- 2024-12: CNY 21.68 per share

- 2025-01: CNY 20.44 per share

- 2025-02: CNY 20.27 per share

- 2025-03: CNY 19.59 per share

- 2025-04: CNY 19.76 per share

- 2025-05: CNY 18.96 per share

- 2025-06: CNY 18.90 per share

- 2025-07: CNY 18.43 per share

- 2025-08: CNY 18.80 per share

- 2025-09: CNY 17.98 per share

- 2025-10: CNY 19.52 per share

- 2025-11: CNY 21.30 per share

- 2025-12: CNY 20.76 per share

- 2026-01: CNY 19.51 per share

- 2026-02: CNY 20.39 per share

- 2026-03: CNY 22.18 per share

- 2026-04: CNY 20.26 per share

- 2026-05: CNY 19.55 per share

- 2026-06: CNY 15.80 per share

- 2026-07: CNY 17.80 per share

- 2026-08: CNY 18.29 per share

- 2026-09: CNY 19.20 per share

- 2026-10: CNY 19.92 per share

## Annual estimated value (CNY per share)

- FY2016: low CNY 14.54 per share, central CNY 18.92 per share, high CNY 21.81 per share

- FY2017: low CNY 20.77 per share, central CNY 28.76 per share, high CNY 33.42 per share

- FY2018: low CNY 16.13 per share, central CNY 22.45 per share, high CNY 26.14 per share

- FY2019: low CNY 59.00 per share, central CNY 67.05 per share, high CNY 77.77 per share

- FY2020: low CNY 32.90 per share, central CNY 45.21 per share, high CNY 52.37 per share

- FY2021: low CNY 33.63 per share, central CNY 46.58 per share, high CNY 54.13 per share

- FY2022: low CNY 22.58 per share, central CNY 25.55 per share, high CNY 29.50 per share

- FY2023: low CNY 25.37 per share, central CNY 33.76 per share, high CNY 39.14 per share

- FY2024: low CNY 15.56 per share, central CNY 17.48 per share, high CNY 20.04 per share

- FY2025: low CNY 15.31 per share, central CNY 17.14 per share, high CNY 19.58 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

Prior published observations retained from 2026-10-15T06:41:49.470Z where newer inputs omit a numeric field or fiscal period.

## 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.