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Baoshan Iron & Steel Co., Ltd.

  • Market Cap: Large Cap
  • Industry: Ferrous Metals
  • ISIN: CNE0000015R4
  • SHG: 600019
CNY
5.75
0.02 (0.35%)

Sep 23

SHG

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  • Price Points
  • Score
  • Mojo Parameters
  • Total Return
  • News and Corporate Actions
  • Key factors
  • Shareholding
  • Financials
  • CompanyCV
stock-recommendationScore
Click here to find our call on this stock
Strong Sell
Sell
Hold
Buy
Strong Buy

Comparison

Company
Score
Quality
Valuation
Financial
Technical
Baoshan Iron & Steel Co., Ltd.

Why is Baoshan Iron & Steel Co., Ltd. ?

1
Poor Management Efficiency with a low ROCE of 5.46%
  • The company has been able to generate a Return on Capital Employed (avg) of 5.46% signifying low profitability per unit of total capital (equity and debt)
2
The company is Net-Debt Free
  • Poor long term growth as Net Sales has grown by an annual rate of 1.02% and Operating profit at -11.10% over the last 5 years
  • The company is Net-Debt Free
  • The company has been able to generate a Return on Equity (avg) of 7.88% signifying low profitability per unit of shareholders funds
3
Poor long term growth as Net Sales has grown by an annual rate of 1.02% and Operating profit at -11.10% over the last 5 years
4
Flat results in Jun 26
  • DIVIDEND PAYOUT RATIO(Y) Lowest at 0%
  • RAW MATERIAL COST(Y) Grown by 20.95% (YoY)
  • DIVIDEND PER SHARE(HY) Lowest at CNY 9.04
5
With ROE of 5.43%, it has a expensive valuation with a 0.56 Price to Book Value
  • Over the past year, while the stock has generated a return of -17.67%, its profits have risen by 25% ; the PEG ratio of the company is 0.4
  • At the current price, the company has a high dividend yield of 5.6
stock-recommendationReal-Time Research Report

Verdict Report

How much should you hold?

  1. Overall Portfolio exposure to Baoshan Iron & Steel Co., Ltd. should be less than 10%
  2. Overall Portfolio exposure to Ferrous Metals should be less than 30%

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

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

Is Baoshan Iron & Steel Co., Ltd. for you?

Low Risk, Low Return

Absolute
Risk Adjusted
Volatility
Baoshan Iron & Steel Co., Ltd.
-16.91%
-0.81
22.39%
China Shanghai Composite
3.0%
0.22
14.72%
stock-recommendationQuality
stock-summaryManagement Risk
stock-summaryGrowth
stock-summaryCapital Structure
stock-recommendation
Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor
Value
Sales Growth (5y)
1.02%
EBIT Growth (5y)
-11.10%
EBIT to Interest (avg)
8.54
Debt to EBITDA (avg)
1.24
Net Debt to Equity (avg)
0.15
Sales to Capital Employed (avg)
1.28
Tax Ratio
15.69%
Dividend Payout Ratio
61.98%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
4.70%
ROE (avg)
7.88%
stock-recommendationValuation

Valuation Scorecard stock-summary

stock-recommendation
Valuation grade scale :

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

Valuation Key Factors stock-summary

Factor
Value
P/E Ratio
10
Industry P/E
Price to Book Value
0.56
EV to EBIT
12.54
EV to EBITDA
5.32
EV to Capital Employed
0.60
EV to Sales
0.42
PEG Ratio
0.42
Dividend Yield
5.57%
ROCE (Latest)
4.78%
ROE (Latest)
5.43%
stock-recommendationTechnicals

Technical key factors

Indicator
Weekly
Monthly
MACD
Mildly Bullish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Mildly Bullish
Bearish
Dow Theory
No Trend
No Trend
OBV
No Trend
Mildly Bearish
stock-recommendation Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish  Turned 
Technical Movement
Analyse All Technical Factors stock-recommendation
stock-recommendationFinancial Trend

Financial Trend Scorecard stock-summary

stock-recommendation
Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

4What is working for the Company
INTEREST COVERAGE RATIO(Q)

Highest at 2,994.09

DIVIDEND PAYOUT RATIO(Y)

Highest at 120.48%

DEBTORS TURNOVER RATIO(HY)

Highest at 9.04 times

-4What is not working for the Company
DIVIDEND PAYOUT RATIO(Y)

Lowest at 0%

RAW MATERIAL COST(Y)

Grown by 20.95% (YoY

DIVIDEND PER SHARE(HY)

Lowest at CNY 9.04

PRE-TAX PROFIT(Q)

Lowest at CNY 2,106.82 MM

Here's what is working for Baoshan Iron & Steel Co., Ltd.

Interest Coverage Ratio
Highest at 2,994.09
in the last five periods
MOJO Watch
The company's ability to manage interest payments is improving

Operating Profit to Interest

Debtors Turnover Ratio
Highest at 9.04 times
in the last five Semi-Annual periods
MOJO Watch
Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Dividend Payout Ratio
Highest at 120.48%
in the last five years
MOJO Watch
Company is distributing higher proportion of profits generated as dividend

DPR (%)

Depreciation
At CNY 4,794.81 MM has Grown at inf%
period on period (QoQ)
MOJO Watch
The expenditure on assets done by the company has gone into productive use which should positively reflect in the future sales

Depreciation (CNY MM)

Here's what is not working for Baoshan Iron & Steel Co., Ltd.

Pre-Tax Profit
Lowest at CNY 2,106.82 MM
in the last five periods
MOJO Watch
Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (CNY MM)

Dividend per share
Lowest at CNY 9.04
in the last five years
MOJO Watch
Company is distributing lower dividend than previous years

DPS (CNY)

Dividend Payout Ratio
Lowest at 0%
in the last five years
MOJO Watch
Company is distributing lower proportion of profits generated as dividend

DPR (%)

Raw Material Cost
Grown by 20.95% (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

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