21Vianet Stock Analysis (NASDAQ:VNET)
21Vianet Analysis Video
View 21Vianet stock analysis video. This is our VNET analyst opinion covering the buy and sell arguments for VNET stock.
21Vianet Group Inc Stock Rating (1.4/5)
Our 21Vianet stock opinion is based on fundamentals of the company. This 21Vianet stock analysis is based on latest Q1 earnings for 2017. The stock price analysis takes into account a company's valuation metrics.
Should you buy VNET stock?
- When compared with the Internet Services industry average PS ratio of 2.8, the price-to-sales ratio of 1 for VNET stock is attractive.
Should you sell VNET stock?
- 21Vianet sales declined by -6.3% year on year in 2017 Q1.
- 21Vianet reported an average operating margin of -22% over the Last Twelve Months (LTM).
- 21Vianet posted an average Net loss of -21% in the last twelve months.
- 21Vianet is debt laden and has a high debt/equity ratio of 0.53.
- The company does not have profits. Hence the PE ratio is meaningless for VNET stock.
- The company has a negative Return on Invested Capital of -11.8%, which is a red flag.
- A negative ROE of -13% indicates that the company is not able to generate profits with the money shareholders have invested.
- 21Vianet has a negative FCF (Free Cash Flow) margin of -10.7%.