China State Construction Engineering Corporation Limited (601668.SS) stock analysis

In our weekly check, China State Construction Engineering Corporation Limited is graded C (A to F). Of 25 checks on debt, profit, cash flow and trend: 13 pass, warnings: 8, red flags: 4.

About China State Construction Engineering Corporation Limited

China State Construction Engineering Corporation Limited is an Industrials company (Engineering & Construction) based in China, listed on SHH as 601668.SS.

What our checks show for 601668.SS

Red flags

• The net margin fell by 1.1 points over 5 years, to 1.6%: the company keeps less of each sale as profit.
• Revenue fell 1.7% a year over the last 3 years.
• The net margin is only 1.6%: little room if costs rise.
• The stock has fallen as much as 61% from a peak. Would you have held through that?

Warning signs

• Net debt is 4.3x a year of EBITDA (debt/equity 1.57). That limits room in a downturn and raises refinancing risk.
• The gross margin fell by 1 points, to 10.3%: costs are rising faster than prices.
• Analysts expect only about 3.2% a year of growth in revenue.
• Earnings per share fell 15.1% a year over the last 3 years.
• Net profit fell 14.7% a year over the last 3 years.
• Free cash flow is only 3% of revenue.
• The dividend takes 92% of profit: little cushion if profit falls.
• Return on capital (ROCE) is only 6.1%.

Strengths

• Operating cash flow is 2.78x net profit: the profit arrives as real cash.
• The price is 6.2 times earnings (P/E), reasonable for its growth.
• A large company: market value $28.92 billion.
• The price moves calmly: 16.7% annual volatility.
• Beta 0.27: the stock usually moves less than the market.
• Actively traded: about 222 million shares a day.

Next earnings report: 2026-10-31

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Questions

What grade does China State Construction Engineering Corporation Limited (601668.SS) have?

In our weekly check, China State Construction Engineering Corporation Limited is graded C (A to F). Of 25 checks on debt, profit, cash flow and trend: 13 pass, warnings: 8, red flags: 4. The grade is a risk check, not a buy or sell recommendation.

What are the main risks of 601668.SS stock?

This week's biggest flags for China State Construction Engineering Corporation Limited: Margins falling, Weak revenue growth, Thin margins. In total 12 of 25 checks show a warning or a red flag.

What does China State Construction Engineering Corporation Limited do?

China State Construction Engineering Corporation Limited is an Industrials company (Engineering & Construction) based in China, listed on SHH as 601668.SS.

When does China State Construction Engineering Corporation Limited report earnings next?

The next earnings report is expected on 2026-10-31. We re-run the checks every week, so the grade can change after it.

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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