Avary Holding (Shenzhen) Co., Ltd. (002938) 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

Avary Holding (Shenzhen) Co., Ltd.

Why is Avary Holding (Shenzhen) Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of 7.56% and Operating profit at 6.31% over the last 5 years

Negative results in Sep 25

INTEREST COVERAGE RATIO(Q) Lowest at 3,661.16
INTEREST(Q) Highest at CNY 33.82 MM
OPERATING PROFIT(Q) Lowest at CNY 1,238.27 MM

With ROE of 12.92%, it has a very attractive valuation with a 4.15 Price to Book Value

Over the past year, while the stock has generated a return of 34.93%, its profits have risen by 22.4% ; the PEG ratio of the company is 1.4
At the current price, the company has a high dividend yield of 1.8

Market Beating Performance

The stock has generated a return of 34.93% in the last 1 year, much higher than market (China Shanghai Composite) returns of 15.17%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Avary Holding (Shenzhen) Co., Ltd. should be less than 10%
Overall Portfolio exposure to Electronics & Appliances should be less than 30%

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

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

Is Avary Holding (Shenzhen) Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Avary Holding (Shenzhen) Co., Ltd.

39.97%

0.99

63.02%

China Shanghai Composite

15.17%

1.02

14.86%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

7.56%

EBIT Growth (5y)

6.31%

EBIT to Interest (avg)

79.10

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.34

Sales to Capital Employed (avg)

1.01

Tax Ratio

11.30%

Dividend Payout Ratio

63.99%

Pledged Shares

Institutional Holding

ROCE (avg)

17.28%

ROE (avg)

13.36%

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

4.15

EV to EBIT

30.42

EV to EBITDA

16.81

EV to Capital Employed

5.34

EV to Sales

3.17

PEG Ratio

1.43

Dividend Yield

1.79%

ROCE (Latest)

17.54%

ROE (Latest)

12.92%

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

Bullish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

Mildly Bearish

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

4What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 8,450.34 MM

RAW MATERIAL COST(Y)

Fallen by -2.17% (YoY

CASH AND EQV(HY)

Highest at CNY 24,808.47 MM

-15What is not working for the Company

INTEREST COVERAGE RATIO(Q)

Lowest at 3,661.16

INTEREST(Q)

Highest at CNY 33.82 MM

OPERATING PROFIT(Q)

Lowest at CNY 1,238.27 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 11.82 %

Here's what is working for Avary Holding (Shenzhen) Co., Ltd.

Operating Cash Flow

Highest at CNY 8,450.34 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Cash and Eqv

Highest at CNY 24,808.47 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Raw Material Cost

Fallen by -2.17% (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 Avary Holding (Shenzhen) Co., Ltd.

Interest

At CNY 33.82 MM has Grown at 18.1%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Interest Coverage Ratio

Lowest at 3,661.16

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 33.82 MM

in the last five periods and Increased by 18.1% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Operating Profit

Lowest at CNY 1,238.27 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 11.82 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales