Baotou Dongbao Bio-Tech Co., Ltd. (300239) 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

Baotou Dongbao Bio-Tech Co., Ltd.

Why is Baotou Dongbao Bio-Tech Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 5.59%

The company has been able to generate a Return on Capital Employed (avg) of 5.59% signifying low profitability per unit of total capital (equity and debt)

The company has declared Negative results for the last 7 consecutive quarters

INTEREST(HY) At CNY 1.72 MM has Grown at 28.89%
NET PROFIT(HY) At CNY 25.58 MM has Grown at -33.99%
NET SALES(9M) At CNY 564.05 MM has Grown at -9.99%

Underperformed the market in the last 1 year

The stock has generated a return of 3.11% in the last 1 year, much lower than market (China Shanghai Composite) returns of 21.43%

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

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

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Baotou Dongbao Bio-Tech Co., Ltd. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Baotou Dongbao Bio-Tech Co., Ltd.

3.11%

0.41

33.60%

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)

8.51%

EBIT Growth (5y)

20.73%

EBIT to Interest (avg)

19.13

Debt to EBITDA (avg)

0.48

Net Debt to Equity (avg)

0.08

Sales to Capital Employed (avg)

0.37

Tax Ratio

13.34%

Dividend Payout Ratio

12.93%

Pledged Shares

Institutional Holding

ROCE (avg)

5.59%

ROE (avg)

5.20%

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

1.06

EV to EBIT

38.42

EV to EBITDA

15.70

EV to Capital Employed

1.05

EV to Sales

2.64

PEG Ratio

Dividend Yield

1.21%

ROCE (Latest)

2.74%

ROE (Latest)

3.20%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bollinger Bands

Bullish

Sideways

Moving Averages

Mildly Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly Bullish

Mildly Bearish

OBV

No Trend

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

RAW MATERIAL COST(Y)

Fallen by -9.34% (YoY

PRE-TAX PROFIT(Q)

Highest at CNY 23.66 MM

NET PROFIT(Q)

Highest at CNY 19.69 MM

EPS(Q)

Highest at CNY 0.03

-27What is not working for the Company

INTEREST(HY)

At CNY 1.72 MM has Grown at 28.89%

NET PROFIT(HY)

At CNY 25.58 MM has Grown at -33.99%

NET SALES(9M)

At CNY 564.05 MM has Grown at -9.99%

ROCE(HY)

Lowest at 3.22%

INVENTORY TURNOVER RATIO(HY)

Lowest at 1.49 times

INTEREST COVERAGE RATIO(Q)

Lowest at 2,401.86

OPERATING PROFIT(Q)

Lowest at CNY 20.56 MM

DEBT-EQUITY RATIO (HY)

Highest at 8.71 %

DEBTORS TURNOVER RATIO(HY)

Lowest at 2.5 times

OPERATING PROFIT MARGIN(Q)

Lowest at 10.79 %

Here's what is working for Baotou Dongbao Bio-Tech Co., Ltd.

Pre-Tax Profit

Highest at CNY 23.66 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 19.69 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY 0.03

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Raw Material Cost

Fallen by -9.34% (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 Baotou Dongbao Bio-Tech Co., Ltd.

Interest

At CNY 1.72 MM has Grown at 28.89%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Interest Coverage Ratio

Lowest at 2,401.86

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 20.56 MM and Fallen

In each period in the last five periods

MOJO Watch

Near term Operating Profit trend is quite negative

Operating Profit (CNY MM)

Inventory Turnover Ratio

Lowest at 1.49 times and Fallen

In each half year in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Net Sales

At CNY 564.05 MM has Grown at -9.99%

Year on Year (YoY)

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Operating Profit Margin

Lowest at 10.79 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Debt-Equity Ratio

Highest at 8.71 %

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

Debtors Turnover Ratio

Lowest at 2.5 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio