# Beijing-Shanghai High Speed Railway (601816.SHG)

Canonical: https://gigainvestors.com/s/601816.SHG

Analysis as of: 2026-10-16T07:34:08.132Z. Financial observations: FY2016–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 5.09 per share; close as of 2026-10-15.

Estimated value: low CNY 4.18 per share, central CNY 4.71 per share, high CNY 5.41 per share. Buy at or below the central value CNY 4.71 per share. Valuation as of 2026-10-16T07:34:08.132Z; scenarios are not confidence intervals.

Expected annual return: 9.4% at the stated quote. About 9.4% 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: 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: 0.49×

Chart: Operating margin; fiscal year observations.

- FY2016: 0.34×

- FY2017: 0.41×

- FY2018: 0.44×

- FY2019: 0.42×

- FY2020: 0.16×

- FY2021: 0.21×

- FY2022: -0.05×

- FY2023: 0.38×

- FY2024: 0.41×

- FY2025: 0.44×

### moat: fail

- ROIC median below threshold

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

- ROIC, median of available years: 4.9%

- ROIC, second-lowest year: 1.0%

- Typical minus recent gross margin: -0.9 pp

- Typical gross margin (annual median): 45.9%

- Recent gross margin (lower of latest and 3-year median): 46.9%

- Years with nonpositive capital: 0

- Capital spending / revenue: 2.5%

- ROIC including acquisitions, ten-year median: 6.7%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2016: 4.7%

- FY2017: 5.5%

- FY2018: 6.3%

- FY2019: 6.2%

- FY2020: 1.0%

- FY2021: 1.6%

- FY2022: -0.3%

- FY2023: 4.5%

- FY2024: 5.2%

- FY2025: 6.0%

### economics: pass

- Owner earnings / net income, 5-yr: 1.51×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: CNY 63B

- Net income, five-year total: CNY 42B

- Return on incremental invested capital: >100%

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

- Working capital / revenue, change between three-year averages: -3.0 pp

- Working capital / revenue, final three-year average: 0.3%

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

- FY2021: 1.47×

- FY2022: -7.39×

- FY2023: 1.38×

- FY2024: 1.37×

- FY2025: 1.37×

### management: pass

- buybacks unrelated to price (informational)

- ROIC first 3 years vs last 3 years: 5.5% vs 5.2%

- Per-share earnings: 0.23 to 0.26 (three-year endpoint medians)

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 5-year annual growth: -0.0%

- Diluted shares, 5-year annual growth: -0.0%

- Per-share value growth: 1.8%

- Per-share value change: CNY 0.03

- Per-share value, starting three-year median: CNY 0.23

- Per-share value, ending three-year median: CNY 0.26

- Average buyback yield: 0.3%

- Buyback history: 1 years

- Debt-funded buybacks: No

- Cumulative net income, 10 years: CNY 83B

- ROIC, first three-year median: 5.5%

- ROIC, last three-year median: 5.2%

Chart: Earnings per share; fiscal year observations.

- FY2016: CNY 0.20

- FY2017: CNY 0.23

- FY2018: CNY 0.26

- FY2019: CNY 0.25

- FY2020: CNY 0.07

- FY2021: CNY 0.10

- FY2022: CNY -0.01

- FY2023: CNY 0.24

- FY2024: CNY 0.26

- FY2025: CNY 0.27

### accounting: pass

- Sloan accruals: -2.8%

- Receivables to sales index (DSRI): 0.64×

- Restructuring years, last five: 0

- Earnings backed by cash: Yes

- Operating cash / earnings: 1.61×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 0.27×

Chart: Sloan accruals; fiscal year observations.

- FY2016: -3.6%

- FY2017: -3.3%

- FY2018: -2.0%

- FY2019: -3.1%

- FY2020: -3.1%

- FY2021: -3.6%

- FY2022: -2.6%

- FY2023: -3.3%

- FY2024: -2.6%

- FY2025: -2.8%

## Holders

## Price story

Price needs cash profits to grow 1.9% a year for ten years · sales +2.1%

Story as of 2026-10-16T09:59:59.306Z; price observation 2026-10-15.

Price needs cash profits to grow 1.9% a year for ten years

### Sales · FY2024–2025

sales +2.1%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: CNY 26B 

- FY2017: CNY 30B 

- FY2018: CNY 31B 

- FY2019: CNY 35B 

- FY2020: CNY 25B 

- FY2021: CNY 29B 

- FY2022: CNY 19B 

- FY2023: CNY 41B 

- FY2024: CNY 42B 

- FY2025: CNY 43B 

### Gross margin · FY2025

gross margin 46.9%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: 42.3% 

- FY2017: 46.1% 

- FY2018: 47.7% 

- FY2019: 47.9% 

- FY2020: 31.3% 

- FY2021: 35.8% 

- FY2022: 13.5% 

- FY2023: 45.8% 

- FY2024: 47.4% 

- FY2025: 46.9% 

## Owner memo

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

### How it makes money

Operates in railroads; annual sales are CNY 43.1 billion.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:08.132Z); FY2025: revenue 43062041486.98; grossProfit 20188058653.44; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); 601816.SHG: Beijing-Shanghai High-Speed Railway Co., Ltd. engages in the construction and operation of high-speed trains for passengers. The company provides high-speed rail transportation services to passengers on the operated trains and collecting ticket prices, as well as overhead line use and other services to passengers. It also offers passenger transportation, consulting, property management, logistics, warehousing, and parking services. The company was founded in 2008 and is based in Beijing, China.

### Why customers stay

Margins ranged from 45.8% to 47.4% during 2023–25; it earns 4.9% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:08.132Z); FY2023: grossProfit / revenue = 45.8%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:08.132Z); FY2024: grossProfit / revenue = 47.4%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:08.132Z); FY2025: grossProfit / revenue = 46.9%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:08.132Z); 10-year return on capital observations [[2016,0.04714344593526691],[2017,0.05520264475685585],[2018,0.06319332157379243],[2019,0.0617506841916512],[2020,0.010021954633048044],[2021,0.016345795183979873],[2022,-0.0032475558601587893],[2023,0.045135532319533656],[2024,0.05180184511635315],[2025,0.05966019646838229]]; median 0.04947264552581003. 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 777.8 million of shares.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:08.132Z); FY2016: growth capex 0; upkeep 327327165.38; owner earnings 10852619834.619999. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:08.132Z); FY2017: growth capex 0; upkeep 654909394.41; owner earnings 11447686605.59. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:08.132Z); FY2018: growth capex 0; upkeep 657043600.82; owner earnings 12667720399.18. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:08.132Z); FY2019: growth capex 0; upkeep 496185618.69; owner earnings 14791389381.31. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:08.132Z); FY2020: growth capex 0; upkeep 5026994913.83; owner earnings 3821384086.17. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:08.132Z); FY2021: growth capex 0; upkeep 3452886812.94; owner earnings 7064520838.875999. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:08.132Z); FY2022: growth capex 0; upkeep 1098579419.58; owner earnings 4261208137.42. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:08.132Z); FY2023: growth capex 0; upkeep 1490411604; owner earnings 15973494942.798. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:08.132Z); FY2024: growth capex 0; upkeep 1179802000; owner earnings 17439664696.031998. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:08.132Z); FY2025: growth capex 0; upkeep 754759968.31; owner earnings 18073283364.8. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:08.132Z); Dividend observations: [[2016,2783155291.09],[2017,5851967843.71],[2018,7612784022.05],[2019,15032543420.92],[2020,2592822386],[2021,1615603343],[2022,2411128394],[2023,3277208123],[2024,7558780000],[2025,9264108759.53]]. Zero only counted when supported by a complete cash-flow statement.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:08.132Z); FY2025: cash repurchases 777815778.0349998 CNY.

### Are managers owners

Insiders own 65.2% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); 601816.SHG SharesStats.PercentInsiders = 65.17699999999999 percentage points; cache date 2026-10-16.

### What the price says

The price assumes cash profits grow 1.9% yearly over ten years.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:08.132Z); Ten-year compound average after fade. Initial solved rate 0.014978700610173843. Price 5.09; FX 1; discount 0.1; same standard ten-year fade to terminal 0.03.  Closing-price date 2026-10-15.

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

- 2020-01: CNY 7.05 per share

- 2020-02: CNY 6.87 per share

- 2020-03: CNY 6.20 per share

- 2020-04: CNY 6.50 per share

- 2020-05: CNY 6.21 per share

- 2020-06: CNY 6.23 per share

- 2020-07: CNY 6.20 per share

- 2020-08: CNY 6.23 per share

- 2020-09: CNY 5.85 per share

- 2020-10: CNY 5.58 per share

- 2020-11: CNY 5.80 per share

- 2020-12: CNY 5.66 per share

- 2021-01: CNY 5.39 per share

- 2021-02: CNY 5.68 per share

- 2021-03: CNY 5.85 per share

- 2021-04: CNY 5.88 per share

- 2021-05: CNY 5.78 per share

- 2021-06: CNY 5.29 per share

- 2021-07: CNY 4.81 per share

- 2021-08: CNY 4.75 per share

- 2021-09: CNY 4.76 per share

- 2021-10: CNY 4.60 per share

- 2021-11: CNY 4.52 per share

- 2021-12: CNY 4.83 per share

- 2022-01: CNY 5.05 per share

- 2022-02: CNY 5.16 per share

- 2022-03: CNY 4.78 per share

- 2022-04: CNY 4.59 per share

- 2022-05: CNY 4.87 per share

- 2022-06: CNY 5.02 per share

- 2022-07: CNY 4.65 per share

- 2022-08: CNY 4.63 per share

- 2022-09: CNY 4.52 per share

- 2022-10: CNY 4.46 per share

- 2022-11: CNY 4.93 per share

- 2022-12: CNY 4.92 per share

- 2023-01: CNY 4.92 per share

- 2023-02: CNY 4.95 per share

- 2023-03: CNY 5.22 per share

- 2023-04: CNY 5.43 per share

- 2023-05: CNY 5.77 per share

- 2023-06: CNY 5.26 per share

- 2023-07: CNY 5.47 per share

- 2023-08: CNY 5.10 per share

- 2023-09: CNY 5.13 per share

- 2023-10: CNY 5.00 per share

- 2023-11: CNY 5.05 per share

- 2023-12: CNY 4.92 per share

- 2024-01: CNY 4.97 per share

- 2024-02: CNY 5.05 per share

- 2024-03: CNY 5.02 per share

- 2024-04: CNY 5.09 per share

- 2024-05: CNY 5.06 per share

- 2024-06: CNY 5.37 per share

- 2024-07: CNY 5.72 per share

- 2024-08: CNY 5.43 per share

- 2024-09: CNY 6.04 per share

- 2024-10: CNY 5.43 per share

- 2024-11: CNY 5.73 per share

- 2024-12: CNY 6.16 per share

- 2025-01: CNY 5.70 per share

- 2025-02: CNY 5.47 per share

- 2025-03: CNY 5.57 per share

- 2025-04: CNY 5.81 per share

- 2025-05: CNY 5.86 per share

- 2025-06: CNY 5.75 per share

- 2025-07: CNY 5.40 per share

- 2025-08: CNY 5.34 per share

- 2025-09: CNY 5.13 per share

- 2025-10: CNY 5.19 per share

- 2025-11: CNY 5.09 per share

- 2025-12: CNY 5.15 per share

- 2026-01: CNY 4.87 per share

- 2026-02: CNY 4.95 per share

- 2026-03: CNY 5.06 per share

- 2026-04: CNY 4.90 per share

- 2026-05: CNY 5.02 per share

- 2026-06: CNY 4.53 per share

- 2026-07: CNY 5.13 per share

- 2026-08: CNY 4.89 per share

- 2026-09: CNY 4.76 per share

- 2026-10: CNY 4.97 per share

## Annual estimated value (CNY per share)

- FY2020: low CNY 2.44 per share, central CNY 2.75 per share, high CNY 3.17 per share

- FY2021: low CNY 2.70 per share, central CNY 3.05 per share, high CNY 3.52 per share

- FY2022: low CNY 1.12 per share, central CNY 1.27 per share, high CNY 1.46 per share

- FY2023: low CNY 2.40 per share, central CNY 2.70 per share, high CNY 3.10 per share

- FY2024: low CNY 2.43 per share, central CNY 2.74 per share, high CNY 3.16 per share

- FY2025: low CNY 4.07 per share, central CNY 4.60 per share, high CNY 5.29 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.

## Reported holder observations