Asia-Potash International Investment (Guangzhou) Co., Ltd. (000893) 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

Asia-Potash International Investment (Guangzhou) Co., Ltd.

Why is Asia-Potash International Investment (Guangzhou) Co., Ltd. ?

Flat results in Mar 26

INTEREST COVERAGE RATIO(Q) Lowest at 1,696.06
INVENTORY TURNOVER RATIO(HY) Lowest at 4.47 times
INTEREST(Q) Highest at CNY 36.96 MM

With ROE of 13.10%, it has a fair valuation with a 2.75 Price to Book Value

Over the past year, while the stock has generated a return of 44.45%, its profits have risen by 48.8% ; the PEG ratio of the company is 0.4

Market Beating Performance

The stock has generated a return of 44.45% in the last 1 year, much higher than market (China Shanghai Composite) returns of 21.43%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Asia-Potash International Investment (Guangzhou) Co., Ltd. should be less than 10%
Overall Portfolio exposure to Minerals & Mining should be less than 30%

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

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

Is Asia-Potash International Investment (Guangzhou) Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Asia-Potash International Investment (Guangzhou) Co., Ltd.

46.16%

2.98

45.41%

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)

68.90%

EBIT Growth (5y)

93.78%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

0.51

Net Debt to Equity (avg)

0.27

Sales to Capital Employed (avg)

0.28

Tax Ratio

10.91%

Dividend Payout Ratio

6.01%

Pledged Shares

Institutional Holding

ROCE (avg)

12.69%

ROE (avg)

12.89%

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

2.75

EV to EBIT

19.62

EV to EBITDA

15.50

EV to Capital Employed

2.46

EV to Sales

7.31

PEG Ratio

0.43

Dividend Yield

0.27%

ROCE (Latest)

12.55%

ROE (Latest)

13.10%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Bullish

RSI

No Signal

Bullish

Bollinger Bands

Mildly Bearish

Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bearish

Bullish

Dow Theory

No Trend

Mildly Bearish

OBV

No Trend

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

14What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 2,628.04 MM

NET SALES(Q)

Highest at CNY 1,487.83 MM

RAW MATERIAL COST(Y)

Fallen by -11.89% (YoY

NET PROFIT(Q)

Highest at CNY 532.51 MM

EPS(Q)

Highest at CNY 0.58

-15What is not working for the Company

INTEREST COVERAGE RATIO(Q)

Lowest at 1,696.06

INVENTORY TURNOVER RATIO(HY)

Lowest at 4.47 times

INTEREST(Q)

Highest at CNY 36.96 MM

Here's what is working for Asia-Potash International Investment (Guangzhou) Co., Ltd.

Operating Cash Flow

Highest at CNY 2,628.04 MM and Grown

In each year 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 1,487.83 MM and Grown

In each period in the last five periods

MOJO Watch

Near term sales trend is very positive

Net Sales (CNY MM)

Net Profit

Highest at CNY 532.51 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY 0.58

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Raw Material Cost

Fallen by -11.89% (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 Asia-Potash International Investment (Guangzhou) Co., Ltd.

Interest

At CNY 36.96 MM has Grown at 78.03%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Interest Coverage Ratio

Lowest at 1,696.06

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Interest

Highest at CNY 36.96 MM

in the last five periods and Increased by 78.03% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Inventory Turnover Ratio

Lowest at 4.47 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio