Arrow Home Group Co., Ltd. () 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

Arrow Home Group Co., Ltd.

Why is Arrow Home Group Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of -5.50% and Operating profit at -67.48% over the last 5 years

The company has declared Negative results for the last 6 consecutive quarters

PRE-TAX PROFIT(Q) At CNY -0.27 MM has Fallen at -113.35%
ROCE(HY) Lowest at 1.41%
DEBT-EQUITY RATIO (HY) Highest at 34.27 %

With ROE of 1.13%, it has a attractive valuation with a 1.64 Price to Book Value

Over the past year, while the stock has generated a return of -10.14%, its profits have fallen by -81.5%
At the current price, the company has a high dividend yield of 0.3

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -10.14% returns in the last 1 year, the stock has also underperformed China Shanghai Composite in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Arrow Home Group 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 Arrow Home Group Co., Ltd. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Arrow Home Group Co., Ltd.

-8.88%

-0.35

28.94%

China Shanghai Composite

15.45%

1.03

14.98%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-5.50%

EBIT Growth (5y)

-67.48%

EBIT to Interest (avg)

11.43

Debt to EBITDA (avg)

1.83

Net Debt to Equity (avg)

0.34

Sales to Capital Employed (avg)

1.01

Tax Ratio

Tax Ratio is Negative%

Dividend Payout Ratio

188.83%

Pledged Shares

Institutional Holding

ROCE (avg)

15,135.26%

ROE (avg)

14,709.21%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

145

Industry P/E

Price to Book Value

1.64

EV to EBIT

335.83

EV to EBITDA

16.99

EV to Capital Employed

1.48

EV to Sales

1.38

PEG Ratio

Dividend Yield

0.26%

ROCE (Latest)

0.44%

ROE (Latest)

1.13%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly 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

5What is working for the Company

NET PROFIT(Q)

At CNY 4.11 MM has Grown at 168.38%

RAW MATERIAL COST(Y)

Fallen by -26.52% (YoY

-11What is not working for the Company

PRE-TAX PROFIT(Q)

At CNY -0.27 MM has Fallen at -113.35%

ROCE(HY)

Lowest at 1.41%

DEBT-EQUITY RATIO (HY)

Highest at 34.27 %

INVENTORY TURNOVER RATIO(HY)

Lowest at 3.56 times

DEBTORS TURNOVER RATIO(HY)

Lowest at 14.96 times

OPERATING PROFIT(Q)

Lowest at CNY -0.83 MM

OPERATING PROFIT MARGIN(Q)

Lowest at -0.05 %

Here's what is working for Arrow Home Group Co., Ltd.

Net Profit

At CNY 4.11 MM has Grown at 168.38%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (CNY MM)

Raw Material Cost

Fallen by -26.52% (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 Arrow Home Group Co., Ltd.

Pre-Tax Profit

At CNY -0.27 MM has Fallen at -113.35%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Debt-Equity Ratio

Highest at 34.27 % and Grown

In each half year 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

Operating Profit

Lowest at CNY -0.83 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at -0.05 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Inventory Turnover Ratio

Lowest at 3.56 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 14.96 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio