FCF Margin % is calculated as Free Cash Flow divided by its Revenue. Honghua Group's Free Cash Flow for the
six
months ended in Dec. 2025 was HK$-254 Mil. Honghua Group's Revenue for the
six
months ended in Dec. 2025 was HK$3,195 Mil. Therefore, Honghua Group's FCF Margin % for the quarter that ended in Dec. 2025 was -7.94%.
The historical rank and industry rank for Honghua Group's FCF Margin % or its related term are showing as below:
HKSE:00196'
s FCF Margin % Range Over the Past 10 Years
Min: -36.31 Med: -4.71 Max: 12.81
Current: -3.79
During the past 13 years, the highest FCF Margin % of Honghua Group was 12.81%. The lowest was -36.31%. And the median was -4.71%.
HKSE:00196's FCF Margin % is ranked worse than 69.38% of 908
companies
in the Oil & Gas industry
Industry Median: 3.38
vs HKSE:00196: -3.79
Honghua Group FCF Margin % Related Terms
Honghua Group FCF Margin % Historical Data
* Premium members only.
The historical data trend for Honghua Group's FCF Margin % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
HKSE:00196 vs SLB, BKR, HAL: FCF Margin % Comparison
For the Oil & Gas Equipment & Services subindustry, Honghua Group's FCF Margin %, along with its competitors' market caps and FCF Margin % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Honghua Group FCF Margin % vs Oil & Gas Industry
For the Oil & Gas industry and Energy sector, Honghua Group's FCF Margin % distribution charts can be found below:
* The bar in red indicates where Honghua Group's FCF Margin % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Honghua Group (HKSE:00196) has a FCF Margin % of -7.94% as of Dec. 2025. Free cash flow margin is the ratio of total free cash flow to net sales. View historical data on Honghua Group and its competitors. According to the industry distribution chart, Honghua Group ranks #630 out of 908 companies in the Oil & Gas industry, placing it in the top 69.4%.
Is Honghua Group's FCF Margin % too high?
Honghua Group's current FCF Margin % is -7.94%. Based on the distribution chart, Honghua Group ranks #630 out of 908 companies in the Oil & Gas industry, which is below the industry midpoint. Overall, Honghua Group has a GF Score™ of 36/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Honghua Group's FCF Margin % compare to SLB and BKR?
According to the Oil & Gas industry distribution chart, Honghua Group ranks #630 out of 908 companies for FCF Margin %. This places Honghua Group in the lower half of its industry. The industry median FCF Margin % is 3.38. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good FCF Margin % for an Oil & Gas company?
The median FCF Margin % among Oil & Gas companies is 3.38, based on 908 companies in the industry. Companies in the top quartile (top 25%) have a FCF Margin % significantly above this median, while those in the bottom quartile fall well below. However, FCF Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high FCF Margin % mean?
A high FCF Margin % can signal that a stock is expensive relative to its fundamentals. Free cash flow margin is the ratio of total free cash flow to net sales. View historical data on Honghua Group and its competitors. For the Oil & Gas industry, the median FCF Margin % is 3.38 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Honghua Group's current FCF Margin % is -7.94%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Honghua Group stock overvalued right now?
Based on GuruFocus' analysis, Honghua Group (HKSE:00196) is currently considered Modestly Overvalued. The stock's GF Value™ is HK$0.12, compared to a current price of HK$0.15 — trading 25.8% above its estimated fair value. The current FCF Margin % is -7.94%. Honghua Group's overall GF Score™ is 36/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is FCF Margin % calculated?
FCF Margin % is calculated from a company's financial statements. For Honghua Group (HKSE:00196), the current FCF Margin % is -7.94% as of Dec. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Honghua Group (HKSE:00196) Overvalued in 2026?
Based on GuruFocus' analysis, Honghua Group stock appears to be overvalued.
The current stock price of HK$0.15 is trading 25.8% above its estimated GF Value™ of HK$0.12.
GuruFocus considers Honghua Group to be Modestly Overvalued.
Key valuation signals for HKSE:00196:
FCF Margin %: -7.94%
GF Value™: HK$0.12 vs. price of HK$0.15 (25.8% above fair value)
No single metric tells the full story. See the HKSE:00196 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Honghua Group Ltd is an oil and gas exploration and development equipment manufacturing and drilling engineering services company. Its product portfolio includes land drilling rigs, electric fracturing equipment, core parts and components of drilling and completion equipment, offshore engineering equipment manufacturing, drilling engineering services, digital products for drilling and completion, as well as new energy equipment and comprehensive services for oil and gas fields, providing customers with a full products and services for energy development. Its segments include land drilling rigs, parts and components, and others; drilling engineering services; fracturing services; and offshore engineering. The land drilling rigs segment derives the majority of the revenue.
36GF Score
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FCF Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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