Anhui Korrun Co., Ltd. (300577) 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

Anhui Korrun Co., Ltd.

Why is Anhui Korrun Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of 21.52% and Operating profit at 64.44% over the last 5 years

With ROE of 17.40%, it has a very expensive valuation with a 1.02 Price to Book Value

Over the past year, while the stock has generated a return of -21.69%, its profits have fallen by -5.7%
At the current price, the company has a high dividend yield of 2.6

Below par performance in long term as well as near term

Along with generating -21.69% returns in the last 1 year, the stock has also underperformed China Shanghai Composite in the last 3 years, 1 year and 3 months

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 Miscellaneous)

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

Is Anhui Korrun Co., Ltd. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Anhui Korrun Co., Ltd.

-23.31%

-0.85

31.42%

China Shanghai Composite

21.43%

1.55

13.83%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

21.52%

EBIT Growth (5y)

64.44%

EBIT to Interest (avg)

4.42

Debt to EBITDA (avg)

1.25

Net Debt to Equity (avg)

0.42

Sales to Capital Employed (avg)

1.08

Tax Ratio

17.76%

Dividend Payout Ratio

30.16%

Pledged Shares

Institutional Holding

ROCE (avg)

8.10%

ROE (avg)

8.46%

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

1.02

EV to EBIT

6.59

EV to EBITDA

5.47

EV to Capital Employed

1.01

EV to Sales

0.70

PEG Ratio

Dividend Yield

2.63%

ROCE (Latest)

15.33%

ROE (Latest)

17.40%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly Bearish

OBV

Mildly Bearish

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

5What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 751.11 MM

RAW MATERIAL COST(Y)

Fallen by -1.23% (YoY

CASH AND EQV(HY)

Highest at CNY 2,627.66 MM

PRE-TAX PROFIT(Q)

Highest at CNY 142.88 MM

-3What is not working for the Company

DEBT-EQUITY RATIO (HY)

Highest at 56.18 %

INVENTORY TURNOVER RATIO(HY)

Lowest at 4.42 times

DEBTORS TURNOVER RATIO(HY)

Lowest at 4.69 times

Here's what is working for Anhui Korrun Co., Ltd.

Operating Cash Flow

Highest at CNY 751.11 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Pre-Tax Profit

Highest at CNY 142.88 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Cash and Eqv

Highest at CNY 2,627.66 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Raw Material Cost

Fallen by -1.23% (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

Here's what is not working for Anhui Korrun Co., Ltd.

Debt-Equity Ratio

Highest at 56.18 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Inventory Turnover Ratio

Lowest at 4.42 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Debtors Turnover Ratio

Lowest at 4.69 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio