Baoshan Iron & Steel Co., Ltd. (600019) 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

Baoshan Iron & Steel Co., Ltd.

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

With ROE of 4.43%, it has a very attractive valuation with a 0.75 Price to Book Value

Over the past year, while the stock has generated a return of -1.24%, its profits have fallen by -33.4%
At the current price, the company has a high dividend yield of 3.1

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Baoshan Iron & Steel Co., Ltd. should be less than 10%
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.

-13.34%

0.12

22.57%

China Shanghai Composite

15.45%

1.58

14.20%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

2.50%

EBIT Growth (5y)

-5.41%

EBIT to Interest (avg)

8.80

Debt to EBITDA (avg)

1.34

Net Debt to Equity (avg)

0.15

Sales to Capital Employed (avg)

1.30

Tax Ratio

9.48%

Dividend Payout Ratio

61.48%

Pledged Shares

Institutional Holding

ROCE (avg)

5.46%

ROE (avg)

7.88%

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

0.75

EV to EBIT

21.71

EV to EBITDA

5.74

EV to Capital Employed

0.75

EV to Sales

0.50

PEG Ratio

Dividend Yield

3.14%

ROCE (Latest)

3.45%

ROE (Latest)

4.43%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

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

10What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 44,953.1 MM

RAW MATERIAL COST(Y)

Fallen by -126.85% (YoY

DEBT-EQUITY RATIO (HY)

Lowest at 11.16 %

INVENTORY TURNOVER RATIO(HY)

Highest at 7.25 times

NET SALES(Q)

Highest at CNY 81,064.09 MM

PRE-TAX PROFIT(Q)

Highest at CNY 3,248.52 MM

NET PROFIT(Q)

Highest at CNY 3,049.06 MM

EPS(Q)

Highest at CNY 0.15

-4What is not working for the Company

INTEREST COVERAGE RATIO(Q)

Lowest at 1,147.11

OPERATING PROFIT(Q)

Lowest at CNY 3,428.44 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 4.23 %

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

Operating Cash Flow

Highest at CNY 44,953.1 MM

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 81,064.09 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Pre-Tax Profit

Highest at CNY 3,248.52 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

Highest at CNY 3,049.06 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY 0.15

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Debt-Equity Ratio

Lowest at 11.16 %

in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Inventory Turnover Ratio

Highest at 7.25 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Raw Material Cost

Fallen by -126.85% (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 Baoshan Iron & Steel Co., Ltd.

Interest Coverage Ratio

Lowest at 1,147.11

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Operating Profit

Lowest at CNY 3,428.44 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 4.23 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales