Anhui Quanchai Engine Co., Ltd. (600218) 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 Quanchai Engine Co., Ltd.

Why is Anhui Quanchai Engine Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 2.07%

The company has been able to generate a Return on Capital Employed (avg) of 2.07% signifying low profitability per unit of total capital (equity and debt)

Poor long term growth as Net Sales has grown by an annual rate of -0.67% and Operating profit at -64.48% over the last 5 years

Flat results in Sep 25

INTEREST COVERAGE RATIO(Q) Lowest at 439
NET SALES(Q) At CNY 935.23 MM has Fallen at -9.89%
OPERATING PROFIT(Q) Lowest at CNY 3.83 MM

With ROE of 2.77%, it has a fair valuation with a 1.24 Price to Book Value

Over the past year, while the stock has generated a return of 18.90%, its profits have risen by 29.7% ; the PEG ratio of the company is 1.5
At the current price, the company has a high dividend yield of 0.7

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Anhui Quanchai Engine Co., Ltd. should be less than 10%
Overall Portfolio exposure to Automobiles should be less than 30%

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

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Anhui Quanchai Engine Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Anhui Quanchai Engine Co., Ltd.

-12.97%

1.20

41.04%

China Shanghai Composite

21.43%

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)

-2.31%

EBIT Growth (5y)

-172.82%

EBIT to Interest (avg)

7.45

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.32

Sales to Capital Employed (avg)

1.09

Tax Ratio

Tax Ratio is Negative%

Dividend Payout Ratio

33.78%

Pledged Shares

Institutional Holding

ROCE (avg)

2.07%

ROE (avg)

4.16%

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

1.03

EV to EBIT

-62.61

EV to EBITDA

23.57

EV to Capital Employed

1.05

EV to Sales

0.42

PEG Ratio

Dividend Yield

1.02%

ROCE (Latest)

-1.68%

ROE (Latest)

1.83%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly Bearish

OBV

Mildly 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

OPERATING CASH FLOW(Y)

Highest at CNY 603.57 MM

PRE-TAX PROFIT(Q)

At CNY 32.37 MM has Grown at 133.07%

RAW MATERIAL COST(Y)

Fallen by -21.21% (YoY

CASH AND EQV(HY)

Highest at CNY 4,533.56 MM

DEBT-EQUITY RATIO (HY)

Lowest at -44.42 %

INVENTORY TURNOVER RATIO(HY)

Highest at 5.17 times

NET SALES(Q)

Highest at CNY 1,296.45 MM

NET PROFIT(Q)

At CNY 27.01 MM has Grown at 59.28%

EPS(Q)

Highest at CNY 0.07

-10What is not working for the Company

NET PROFIT(HY)

At CNY 21.95 MM has Grown at -57.19%

ROCE(HY)

Lowest at 2.02%

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

Pre-Tax Profit

At CNY 32.37 MM has Grown at 133.07%

over average net sales of the previous four periods of CNY 13.89 MM

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (CNY MM)

Operating Cash Flow

Highest at CNY 603.57 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Net Sales

Highest at CNY 1,296.45 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Net Sales

At CNY 1,296.45 MM has Grown at 18.38%

over average net sales of the previous four periods of CNY 1,095.12 MM

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Net Profit

At CNY 27.01 MM has Grown at 59.28%

over average net sales of the previous four periods of CNY 16.96 MM

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY 0.07

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Cash and Eqv

Highest at CNY 4,533.56 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio

Lowest at -44.42 %

in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Inventory Turnover Ratio

Highest at 5.17 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 -21.21% (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