Argus (Shanghai) Textile Chemicals (603790) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Argus (Shanghai) Textile Chemicals

Why is Argus (Shanghai) Textile Chemicals ?

Poor Management Efficiency with a low ROCE of 4.97%

The company has been able to generate a Return on Capital Employed (avg) of 4.97% 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 1.62% and Operating profit at 0.29% over the last 5 years

Flat results in Mar 25

INTEREST(Q) At CNY 1.46 MM has Grown at 18.05%

With ROE of 4.58%, it has a very expensive valuation with a 0.91 Price to Book Value

Over the past year, while the stock has generated a return of 70.76%, its profits have risen by 12.1% ; the PEG ratio of the company is 1.6
At the current price, the company has a high dividend yield of 0.5

Market Beating performance in long term as well as near term

Along with generating 70.76% returns in the last 1 year, the stock has outperformed China Shanghai Composite in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Argus (Shanghai) Textile Chemicals should be less than 10%
Overall Portfolio exposure to Specialty Chemicals should be less than 30%

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

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

Is Argus (Shanghai) Textile Chemicals for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Argus (Shanghai) Textile Chemicals

-100.0%

1.94

51.25%

China Shanghai Composite

15.19%

1.01

14.58%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

1.62%

EBIT Growth (5y)

0.29%

EBIT to Interest (avg)

21.30

Debt to EBITDA (avg)

0.58

Net Debt to Equity (avg)

0.01

Sales to Capital Employed (avg)

0.55

Tax Ratio

17.26%

Dividend Payout Ratio

40.00%

Pledged Shares

Institutional Holding

ROCE (avg)

4.97%

ROE (avg)

4.40%

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

0.91

EV to EBIT

17.84

EV to EBITDA

10.95

EV to Capital Employed

0.92

EV to Sales

1.46

PEG Ratio

1.64

Dividend Yield

0.51%

ROCE (Latest)

5.15%

ROE (Latest)

4.58%

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

No Trend

OBV

Mildly Bearish

No Trend

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

13What is working for the Company

ROCE(HY)

Highest at 4.89%

INVENTORY TURNOVER RATIO(HY)

Highest at 1.55%

RAW MATERIAL COST(Y)

Fallen by -19.69% (YoY

DEBT-EQUITY RATIO (HY)

Lowest at 3 %

DEBTORS TURNOVER RATIO(HY)

Highest at 2.91%

NET SALES(Q)

Highest at CNY 224.37 MM

PRE-TAX PROFIT(Q)

Highest at CNY 32.41 MM

NET PROFIT(Q)

Highest at CNY 27.53 MM

EPS(Q)

Highest at CNY 0.14

-2What is not working for the Company

INTEREST(Q)

At CNY 1.46 MM has Grown at 18.05%

Here's what is working for Argus (Shanghai) Textile Chemicals

Inventory Turnover Ratio

Highest at 1.55% and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Net Sales

Highest at CNY 224.37 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Pre-Tax Profit

Highest at CNY 32.41 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Pre-Tax Profit

At CNY 32.41 MM has Grown at 87.43%

over average net sales of the previous four periods of CNY 17.29 MM

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

Highest at CNY 27.53 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

Net Profit

At CNY 27.53 MM has Grown at 93.36%

over average net sales of the previous four periods of CNY 14.24 MM

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY 0.14

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Debt-Equity Ratio

Lowest at 3 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Debtors Turnover Ratio

Highest at 2.91%

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by -19.69% (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 Argus (Shanghai) Textile Chemicals

Interest

At CNY 1.46 MM has Grown at 18.05%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)