Under the agreement, CREG will buy up to $50 million of YA Global shares over the next two years to help fund its business growth. CREG chairman and CEO Guohua Ku said the equity funding will position the company to grow "as the Chinese government continues to focus on reducing wasted energy and curbing pollution."
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TheStreet Ratings team rates CHINA RECYCLING ENERGY CORP as a Hold with a ratings score of C. TheStreet Ratings Team has this to say about their recommendation:
"We rate CHINA RECYCLING ENERGY CORP (CREG) a HOLD. The primary factors that have impacted our rating are mixed -- some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its attractive valuation levels, expanding profit margins and largely solid financial position with reasonable debt levels by most measures. However, as a counter to these strengths, we also find weaknesses including unimpressive growth in net income, weak operating cash flow and a generally disappointing performance in the stock itself."