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

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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)

With a fall in Net Sales of -3.88%, the company declared Very Negative results in Mar 25

The company has declared negative results for the last 3 consecutive quarters
OPERATING CASH FLOW(Y) Lowest at CNY 41.01 MM
NET PROFIT(HY) At CNY 38.75 MM has Grown at -23.39%
ROCE(HY) Lowest at 4.72%

Underperformed the market in the last 1 year

The stock has generated a return of 1.38% in the last 1 year, much lower than market (China Shanghai Composite) returns of 15.18%

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?

High Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Baotou Dongbao Bio-Tech Co., Ltd.

-3.06%

0.48

39.12%

China Shanghai Composite

14.77%

1.01

15.10%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

12.56%

EBIT Growth (5y)

30.05%

EBIT to Interest (avg)

19.13

Debt to EBITDA (avg)

0.48

Net Debt to Equity (avg)

0.08

Sales to Capital Employed (avg)

0.42

Tax Ratio

13.34%

Dividend Payout Ratio

17.27%

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

1.21

EV to EBIT

29.42

EV to EBITDA

13.07

EV to Capital Employed

1.19

EV to Sales

2.73

PEG Ratio

Dividend Yield

0.73%

ROCE (Latest)

4.06%

ROE (Latest)

4.33%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Sideways

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Bearish

Bullish

Dow Theory

No Trend

OBV

Mildly Bullish

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

1What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -33.08% (YoY

-21What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at CNY 41.01 MM

NET PROFIT(HY)

At CNY 38.75 MM has Grown at -23.39%

ROCE(HY)

Lowest at 4.72%

INTEREST COVERAGE RATIO(Q)

Lowest at 2,812.52

DEBT-EQUITY RATIO (HY)

Highest at 8.34 %

INVENTORY TURNOVER RATIO(HY)

Lowest at 1.94%

DEBTORS TURNOVER RATIO(HY)

Lowest at 2.54%

NET SALES(Q)

Lowest at CNY 185.43 MM

OPERATING PROFIT(Q)

Lowest at CNY 20.45 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 11.03 %

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

Raw Material Cost

Fallen by -33.08% (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.

Net Sales

At CNY 185.43 MM has Fallen at -15.24%

over average net sales of the previous four periods of CNY 218.78 MM

MOJO Watch

Near term sales trend is very negative

Net Sales (CNY MM)

Interest Coverage Ratio

Lowest at 2,812.52

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Net Profit

At CNY 38.75 MM has Grown at -23.39%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CNY MM)

Operating Cash Flow

Lowest at CNY 41.01 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CNY MM)

Net Sales

Lowest at CNY 185.43 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Operating Profit

Lowest at CNY 20.45 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 11.03 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Debt-Equity Ratio

Highest at 8.34 %

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

Inventory Turnover Ratio

Lowest at 1.94%

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Debtors Turnover Ratio

Lowest at 2.54%

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio