Why is Aofu Environmental Technology Co., Ltd. ?
1
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 3.45% and Operating profit at -176.15% 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 2.72% signifying low profitability per unit of shareholders funds
2
Poor long term growth as Net Sales has grown by an annual rate of 3.45% and Operating profit at -176.15% over the last 5 years
3
With a growth in Net Profit of 174.68%, the company declared Very Positive results in Sep 25
- NET SALES(HY) At CNY 162.7 MM has Grown at 35.27%
- RAW MATERIAL COST(Y) Fallen by -2,088.52% (YoY)
- DEBT-EQUITY RATIO (HY) Lowest at 16.42 %
4
Risky -
- The stock is trading risky as compared to its average historical valuations
- Over the past year, while the stock has generated a return of 111.66%, its profits have risen by 13.1%
5
Market Beating Performance
- The stock has generated a return of 111.66% in the last 1 year, much higher than market (China Shanghai Composite) returns of 22.49%
How much should you hold?
- Overall Portfolio exposure to Aofu Environmental Technology Co., Ltd. should be less than 10%
- Overall Portfolio exposure to Building Products should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Building Products)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Aofu Environmental Technology Co., Ltd. for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Aofu Environmental Technology Co., Ltd.
126.9%
4.08
38.77%
China Shanghai Composite
16.01%
1.58
14.20%
Quality key factors
Factor
Value
Sales Growth (5y)
3.45%
EBIT Growth (5y)
-176.15%
EBIT to Interest (avg)
1.61
Debt to EBITDA (avg)
6.04
Net Debt to Equity (avg)
0.21
Sales to Capital Employed (avg)
0.25
Tax Ratio
1.08%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
3.23%
ROE (avg)
2.72%
Valuation Key Factors 
Factor
Value
P/E Ratio
NA (Loss Making)
Industry P/E
Price to Book Value
1.64
EV to EBIT
-41.10
EV to EBITDA
60.65
EV to Capital Employed
1.54
EV to Sales
4.94
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
-3.74%
ROE (Latest)
-4.33%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
Bearish
No Signal
Bollinger Bands
Mildly Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Bullish
Dow Theory
No Trend
Mildly Bullish
OBV
No Trend
Bullish
Technical Movement
25What is working for the Company
NET SALES(HY)
At CNY 162.7 MM has Grown at 35.27%
RAW MATERIAL COST(Y)
Fallen by -2,088.52% (YoY
DEBT-EQUITY RATIO
(HY)
Lowest at 16.42 %
INVENTORY TURNOVER RATIO(HY)
Highest at 1.22 times
DEBTORS TURNOVER RATIO(HY)
Highest at 2.33 times
PRE-TAX PROFIT(Q)
Highest at CNY 2.76 MM
NET PROFIT(Q)
Highest at CNY 2.33 MM
EPS(Q)
Highest at CNY 0.03
-1What is not working for the Company
CASH AND EQV(HY)
Lowest at CNY 120.2 MM
Here's what is working for Aofu Environmental Technology Co., Ltd.
Pre-Tax Profit
At CNY 2.76 MM has Grown at 130.85%
over average net sales of the previous four periods of CNY -8.96 MMMOJO Watch
Near term Pre-Tax Profit trend is very positive
Pre-Tax Profit (CNY MM)
Net Profit
At CNY 2.33 MM has Grown at 128.32%
over average net sales of the previous four periods of CNY -8.24 MMMOJO Watch
Near term Net Profit trend is very positive
Net Profit (CNY MM)
Net Sales
At CNY 162.7 MM has Grown at 35.27%
Year on Year (YoY)MOJO Watch
Near term sales trend is positive
Net Sales (CNY MM)
Pre-Tax Profit
Highest at CNY 2.76 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (CNY MM)
Net Profit
Highest at CNY 2.33 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (CNY MM)
EPS
Highest at CNY 0.03
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (CNY)
Debt-Equity Ratio
Lowest at 16.42 %
in the last five Semi-Annual periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Inventory Turnover Ratio
Highest at 1.22 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Debtors Turnover Ratio
Highest at 2.33 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Raw Material Cost
Fallen by -2,088.52% (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 Aofu Environmental Technology Co., Ltd.
Cash and Eqv
Lowest at CNY 120.2 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is deteriorating
Cash and Cash Equivalents






