NEW YORK (TheStreet) -- China Recycling Energy (CREG - Get Report) was gaining 12.2% to $1.56 on Thursday after the company announced that chairman and CEO Guohua Ku will purchase about 13.8 million shares.
Ku will purchase the shares at $1.37 each. The price is the average closing price of the stock over the 15 trading days before August 25, when the share purchase agreement was approved by the board of directors.
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- The gross profit margin for CHINA RECYCLING ENERGY CORP is currently very high, coming in at 99.81%. It has increased significantly from the same period last year. Along with this, the net profit margin of 48.17% significantly outperformed against the industry average.
- The debt-to-equity ratio is somewhat low, currently at 0.78, and is less than that of the industry average, implying that there has been a relatively successful effort in the management of debt levels. Although the company had a strong debt-to-equity ratio, its quick ratio of 0.89 is somewhat weak and could be cause for future problems.
- The company, on the basis of change in net income from the same quarter one year ago, has underperformed when compared to that of the S&P 500 and greatly underperformed compared to the Commercial Services & Supplies industry average. The net income has decreased by 5.3% when compared to the same quarter one year ago, dropping from $3.30 million to $3.12 million.
- Net operating cash flow has significantly decreased to -$17.75 million or 3186.78% when compared to the same quarter last year. In addition, when comparing to the industry average, the firm's growth rate is much lower.
- You can view the full analysis from the report here: CREG Ratings Report