Suzhou TFC Optical Communication Co., Ltd. (300394.SZ) stock analysis

In our weekly check, Suzhou TFC Optical Communication Co., Ltd. is graded B (A to F). Of 25 checks on debt, profit, cash flow and trend: 18 pass, warnings: 2, red flags: 5.

About Suzhou TFC Optical Communication Co., Ltd.

Suzhou TFC Optical Communication Co., Ltd. is a Technology company (Communication Equipment) based in China, listed on SHZ as 300394.SZ.

What our checks show for 300394.SZ

Red flags

• Analysts expect the net margin to shrink by 5.2 points from today's 44%.
• The price is 52.9 times earnings (P/E): the market already pays for a lot of future growth.
• The price swings a lot: 89.9% annual volatility. Expect large ups and downs.
• The stock has fallen as much as 72% from a peak. Would you have held through that?
• The share count grew by 96.9% in 2 years: each shareholder owns a smaller slice.

Warning signs

• Operating cash flow is only 0.76x net profit: part of the reported profit does not arrive as cash.
• Recovering from its deepest fall took about 2.3 years.

Strengths

• Debt is low: 0.04x equity.
• Operating profit covers interest 1588 times over.
• The net margin rose by 14.3 points over 5 years, to 44%.
• The gross margin is 61.7% and has risen by 13.1 points: pricing power is holding.
• Analysts expect earnings per share to grow about 71.3% a year over the next years.
• Analysts expect revenue to grow about 88.9% a year over the next years.

Similar companies

6869.HK · 0763.HK · 6285.TW · 300502.SZ · MSI · LITE

Questions

What grade does Suzhou TFC Optical Communication Co., Ltd. (300394.SZ) have?

In our weekly check, Suzhou TFC Optical Communication Co., Ltd. is graded B (A to F). Of 25 checks on debt, profit, cash flow and trend: 18 pass, warnings: 2, red flags: 5. The grade is a risk check, not a buy or sell recommendation.

What are the main risks of 300394.SZ stock?

This week's biggest flags for Suzhou TFC Optical Communication Co., Ltd.: Margins expected to shrink, High P/E, Very volatile. In total 7 of 25 checks show a warning or a red flag.

What does Suzhou TFC Optical Communication Co., Ltd. do?

Suzhou TFC Optical Communication Co., Ltd. is a Technology company (Communication Equipment) based in China, listed on SHZ as 300394.SZ.

The grade is a risk check, not a price forecast, and not investment advice. In our 10-year test (S&P 500, 2016-2026), stocks we graded A or B fell more than 30% 2-3 times less often than D or F, without a lower average return.

Updated 2026-10-31

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