Aeolus Tyre Co. Ltd. (600469) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Aeolus Tyre Co. Ltd.

Why is Aeolus Tyre Co. Ltd. ?

High Debt Company with a Debt to Equity ratio (avg) at times

Poor long term growth as Net Sales has grown by an annual rate of 5.70% and Operating profit at 6.52% over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times
The company has been able to generate a Return on Equity (avg) of 6.26% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 5.70% and Operating profit at 6.52% over the last 5 years

The company has declared Negative results for the last 3 consecutive quarters

ROCE(HY) Lowest at 6.62%

With ROE of 4.51%, it has a very expensive valuation with a 1.24 Price to Book Value

Over the past year, while the stock has generated a return of 26.72%, its profits have fallen by -62.6%
At the current price, the company has a high dividend yield of 2.6

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Auto Components & Equipments)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Aeolus Tyre Co. Ltd. for you?

Medium Risk, High Return

Absolute

Risk Adjusted

Volatility

Aeolus Tyre Co. Ltd.

9.82%

1.24

28.01%

China Shanghai Composite

16.01%

1.58

14.20%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

5.70%

EBIT Growth (5y)

6.52%

EBIT to Interest (avg)

5.73

Debt to EBITDA (avg)

4.39

Net Debt to Equity (avg)

0.48

Sales to Capital Employed (avg)

1.11

Tax Ratio

14.07%

Dividend Payout Ratio

41.55%

Pledged Shares

Institutional Holding

ROCE (avg)

5.17%

ROE (avg)

6.26%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

1.24

EV to EBIT

22.40

EV to EBITDA

10.31

EV to Capital Employed

1.16

EV to Sales

0.84

PEG Ratio

Dividend Yield

2.61%

ROCE (Latest)

5.20%

ROE (Latest)

4.51%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bearish

OBV

Mildly Bearish

Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

12What is working for the Company

INTEREST COVERAGE RATIO(Q)

Highest at 2,335.37

RAW MATERIAL COST(Y)

Fallen by -19.59% (YoY

INVENTORY TURNOVER RATIO(HY)

Highest at 4.98 times

NET SALES(Q)

Highest at CNY 2,025.41 MM

PRE-TAX PROFIT(Q)

Highest at CNY 163.82 MM

NET PROFIT(Q)

Highest at CNY 120.71 MM

EPS(Q)

Highest at CNY 0.17

-2What is not working for the Company

ROCE(HY)

Lowest at 6.62%

Here's what is working for Aeolus Tyre Co. Ltd.

Interest Coverage Ratio

Highest at 2,335.37

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Pre-Tax Profit

At CNY 163.82 MM has Grown at 132.35%

over average net sales of the previous four periods of CNY 70.5 MM

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 120.71 MM has Grown at 215.22%

over average net sales of the previous four periods of CNY 38.29 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (CNY MM)

Net Sales

Highest at CNY 2,025.41 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Pre-Tax Profit

Highest at CNY 163.82 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

Highest at CNY 120.71 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY 0.17

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Inventory Turnover Ratio

Highest at 4.98 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Raw Material Cost

Fallen by -19.59% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales