Chuan Huat Resources Bhd (XKLS:7016) Financial Strength: 3 (As of Jun. 2026) — Near Median

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XKLS:7016 Chuan Huat Resources Bhd XKLS:7016
44 GF Score
Price RM0.29
GF Value RM0.34
Valuation Modestly Undervalued
! 6 Warning Signs
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What is Chuan Huat Resources Bhd Financial Strength?

Chuan Huat Resources Bhd XKLS:7016 +1.75% 44 Financial Strength is 3 as of Jun. 2026, which is at its 10-year median of 3.00. GuruFocus rates XKLS:7016 with a GF Score™ of 44/100 and a GF Value™ of RM0.34 (Modestly Undervalued). The stock has 6 warning signs investors should review.

Chuan Huat Resources Bhd has the Financial Strength Rank of 3. It displays poor financial strength and is likely in financial distress. Usually this is caused by too much debt for the company.

Warning Sign:

Chuan Huat Resources Bhd displays poor financial strength. Usually, this is caused by too much debt for the company.

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is rated on a scale of 1 to 10 and is based on these factors:

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.
2. Debt to revenue ratio. The lower, the better.
3. Altman Z-Score.
4. Other debt related ratios.

A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.

Chuan Huat Resources Bhd's Interest Coverage for the quarter that ended in Jun. 2026 was 12.05. Chuan Huat Resources Bhd's debt to revenue ratio for the quarter that ended in Jun. 2026 was 0.24. As of today, Chuan Huat Resources Bhd's Altman Z-Score is 1.88.


Chuan Huat Resources Bhd  (XKLS:7016) Financial Strength Explanation

The rank is rated on a scale of 1 to 10. A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.

Chuan Huat Resources Bhd has the Financial Strength Rank of 3. It displays poor financial strength and is likely in financial distress. Usually this is caused by too much debt for the company.


Chuan Huat Resources Bhd Financial Strength Related Terms


XKLS:7016 vs TT, JCI, CARR: Financial Strength Comparison

For the Building Products & Equipment subindustry, Chuan Huat Resources Bhd's Financial Strength, along with its competitors' market caps and Financial Strength 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.


Chuan Huat Resources Bhd Financial Strength vs Construction Industry

For the Construction industry and Industrials sector, Chuan Huat Resources Bhd's Financial Strength distribution charts can be found below:

* The bar in red indicates where Chuan Huat Resources Bhd's Financial Strength falls into.


XKLS:7016
44GF Score
Chuan Huat Resources Bhd XKLS:7016
Financial Strength is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Chuan Huat Resources Bhd Financial Strength Calculation

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

Chuan Huat Resources Bhd's Interest Expense for the months ended in Jun. 2026 was RM0.0 Mil. Its Operating Income for the months ended in Jun. 2026 was RM33.6 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2026 was RM8.3 Mil.

Chuan Huat Resources Bhd's Interest Coverage for the quarter that ended in Jun. 2026 is

GuruFocus does not calculate Chuan Huat Resources Bhd's interest coverage with the available data.

The higher the ratio, the stronger the company's financial strength is.

Warning Sign:

Ben Graham prefers companies' interest coverage to be at least 5. Chuan Huat Resources Bhd interest coverage is 3.33, which is low.

2. Debt to revenue ratio. The lower, the better.

Chuan Huat Resources Bhd's Debt to Revenue Ratio for the quarter that ended in Jun. 2026 is

Debt to Revenue Ratio=Total Debt (Q: Jun. 2026 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(223.337 + 8.301) / 947.516
=0.24

3. Altman Z-Score.

Z-Score model is an accurate forecaster of failure up to two years prior to distress. It can be considered the assessment of the distress of industrial corporations.

The zones of discrimination were as such:

When Z-Score is less than 1.81, it is in Distress Zones.
When Z-Score is greater than 2.99, it is in Safe Zones.
When Z-Score is between 1.81 and 2.99, it is in Grey Zones.

Chuan Huat Resources Bhd has a Z-score of 1.88, indicating it is in Grey Zones. This implies that Chuan Huat Resources Bhd is in some kind of financial stress. If it is below 1.81, the company may faces bankrupcy risk.

Warning Sign:

Altman Z-score of 1.88 is in the grey area. This implies that the company is under some kind of financial stress. If it is below 1.8, the company may face bankruptcy risk.

* 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.

Frequently Asked Questions Learn more about Financial Strength →
What does a Financial Strength of 3 mean?
Chuan Huat Resources Bhd (XKLS:7016) has a Financial Strength of 3 as of Jun. 2026. The financial strength rank measures the strength of a company's balance sheet based on revenue and debt. View historical data on Chuan Huat Resources Bhd and its competitors. This is near median its historical median of 3.00. Over the past decade, Chuan Huat Resources Bhd's Financial Strength has ranged from 1.00 to 5.00.
Is Chuan Huat Resources Bhd's Financial Strength too high?
Chuan Huat Resources Bhd's current Financial Strength of 3 is near median its 10-year median of 3.00. Over the past 10 years, this metric has ranged from a low of 1.00 to a high of 5.00. Overall, Chuan Huat Resources Bhd has a GF Score™ of 44/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Chuan Huat Resources Bhd's Financial Strength compare to TT and JCI?
Chuan Huat Resources Bhd's Financial Strength of 3 can be compared against companies in the Construction industry. Historically, Chuan Huat Resources Bhd's own Financial Strength has ranged from 1.00 to 5.00 over the past decade. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Financial Strength for a Construction company?
A good Financial Strength depends on the Construction industry context. However, Financial Strength 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 Financial Strength mean?
A high Financial Strength can signal that a stock is expensive relative to its fundamentals. The financial strength rank measures the strength of a company's balance sheet based on revenue and debt. View historical data on Chuan Huat Resources Bhd and its competitors. Chuan Huat Resources Bhd's current Financial Strength is 3, which is near median its own 10-year median of 3.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Chuan Huat Resources Bhd stock overvalued right now?
Based on GuruFocus' analysis, Chuan Huat Resources Bhd (XKLS:7016) is currently considered Modestly Undervalued. The stock's GF Value™ is RM0.34, compared to a current price of RM0.29 — trading 14.7% below its estimated fair value. The current Financial Strength is 3, which is near median its 10-year median of 3.00. Chuan Huat Resources Bhd's overall GF Score™ is 44/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Financial Strength calculated?
Financial Strength is calculated from a company's financial statements. For Chuan Huat Resources Bhd (XKLS:7016), the current Financial Strength is 3 as of Jun. 2026. 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 Chuan Huat Resources Bhd (XKLS:7016) Overvalued in 2026?

Based on GuruFocus' analysis, Chuan Huat Resources Bhd stock appears to be undervalued. The current stock price of RM0.29 is trading 14.7% below its estimated GF Value™ of RM0.34. GuruFocus considers Chuan Huat Resources Bhd to be Modestly Undervalued.

Key valuation signals for XKLS:7016:

  • Financial Strength: 3 (near median its 10-year median of 3.00)
  • GF Value™: RM0.34 vs. price of RM0.29 (14.7% below fair value)
  • GF Score™: 44/100 with 6 warning signs

No single metric tells the full story. See the XKLS:7016 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Chuan Huat Resources Bhd Business Description

Address 3 Miles, Off Jalan Sungai Besi, Lot 50A, Jalan 1/89B, Wisma Lim Kim Chuan, Kuala Lumpur, SGR, MYS, 57100
Chuan Huat Resources Bhd is engaged in the building material business sector. The company operates in segments that are Hardware and Building materials, Retailing of IT related - products, Property, Restaurant Operations, and Corporate. In terms of revenue, the company earns majority of its revenue from the sales of Hardware and Building Materials. The company only has its operations present in Malaysia.
44GF Score

Get the complete analysis for XKLS:7016

Financial Strength is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

RM0.29
Price
RM0.34
GF Value