Bafang Electric (Suzhou) Co., Ltd. (603489) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

MarketsMojo — Loved in India, Now Global

The power of Mojo is now in 29 countries. Explore global equities with the same cutting-edge features you love.Unlock 29 Markets

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Bafang Electric (Suzhou) Co., Ltd.

Why is Bafang Electric (Suzhou) Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of 2.33% and Operating profit at -36.57% over the last 5 years

The company has declared Negative results for the last 10 consecutive quarters

OPERATING CASH FLOW(Y) Lowest at CNY 218.27 MM
INTEREST(HY) At CNY 0.35 MM has Grown at 11.68%
DEBT-EQUITY RATIO (HY) Highest at -47.88 %

With ROE of 1.68%, it has a expensive valuation with a 2.37 Price to Book Value

Over the past year, while the stock has generated a return of 20.49%, its profits have fallen by -39.2%
At the current price, the company has a high dividend yield of 0.3

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Bafang Electric (Suzhou) 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 Bafang Electric (Suzhou) Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Bafang Electric (Suzhou) Co., Ltd.

20.49%

0.94

44.29%

China Shanghai Composite

14.77%

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)

2.33%

EBIT Growth (5y)

-36.57%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.48

Sales to Capital Employed (avg)

0.58

Tax Ratio

23.14%

Dividend Payout Ratio

36.81%

Pledged Shares

Institutional Holding

ROCE (avg)

37.39%

ROE (avg)

12.34%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

141

Industry P/E

Price to Book Value

2.37

EV to EBIT

136.08

EV to EBITDA

51.49

EV to Capital Employed

3.66

EV to Sales

3.86

PEG Ratio

Dividend Yield

0.27%

ROCE (Latest)

2.69%

ROE (Latest)

1.68%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bullish

OBV

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

5What is working for the Company

NET PROFIT(HY)

At CNY 34.53 MM has Grown at 44.96%

INTEREST COVERAGE RATIO(Q)

Highest at 19,721.05

INVENTORY TURNOVER RATIO(HY)

Highest at 4.94%

-13What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at CNY 218.27 MM

INTEREST(HY)

At CNY 0.35 MM has Grown at 11.68%

DEBT-EQUITY RATIO (HY)

Highest at -47.88 %

RAW MATERIAL COST(Y)

Grown by 8.46% (YoY

CASH AND EQV(HY)

Lowest at CNY 2,762.92 MM

NET SALES(Q)

At CNY 297.16 MM has Fallen at -11.49%

Here's what is working for Bafang Electric (Suzhou) Co., Ltd.

Interest Coverage Ratio

Highest at 19,721.05

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Net Profit

At CNY 34.53 MM has Grown at 44.96%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

Inventory Turnover Ratio

Highest at 4.94%

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Here's what is not working for Bafang Electric (Suzhou) Co., Ltd.

Interest

At CNY 0.35 MM has Grown at 11.68%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Operating Cash Flow

Lowest at CNY 218.27 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CNY MM)

Debt-Equity Ratio

Highest at -47.88 % 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

Net Sales

At CNY 297.16 MM has Fallen at -11.49%

over average net sales of the previous four periods of CNY 335.75 MM

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Cash and Eqv

Lowest at CNY 2,762.92 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Raw Material Cost

Grown by 8.46% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales