Beijing Centergate Technologies (Holding) Co., Ltd. (000931) 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

Beijing Centergate Technologies (Holding) Co., Ltd.

Why is Beijing Centergate Technologies (Holding) Co., Ltd. ?

The company is Net-Debt Free

Poor long term growth as Net Sales has grown by an annual rate of 4.51% and Operating profit at -2.19% over the last 5 years
The company is Net-Debt Free
The company has been able to generate a Return on Equity (avg) of 2.68% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 4.51% and Operating profit at -2.19% over the last 5 years

With a fall in EPS of -235.85%, the company declared Very Negative results in Mar 26

The company has declared negative results for the last 2 consecutive quarters
OPERATING CASH FLOW(Y) Lowest at CNY 46.96 MM
INTEREST(HY) At CNY 29.3 MM has Grown at 17.04%
ROCE(HY) Lowest at 0.98%

With ROE of 1.70%, it has a very expensive valuation with a 1.88 Price to Book Value

Over the past year, while the stock has generated a return of -15.81%, its profits have fallen by -66.8%

Below par performance in long term as well as near term

Along with generating -15.81% returns in the last 1 year, the stock has also underperformed China Shanghai Composite in the last 3 years, 1 year and 3 months

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 Pharmaceuticals & Biotechnology)

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

Is Beijing Centergate Technologies (Holding) Co., Ltd. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Beijing Centergate Technologies (Holding) Co., Ltd.

-15.81%

0.43

27.75%

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)

4.51%

EBIT Growth (5y)

-2.19%

EBIT to Interest (avg)

1.64

Debt to EBITDA (avg)

2.15

Net Debt to Equity (avg)

0.24

Sales to Capital Employed (avg)

1.08

Tax Ratio

33.74%

Dividend Payout Ratio

31.45%

Pledged Shares

Institutional Holding

ROCE (avg)

4.64%

ROE (avg)

2.68%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

110

Industry P/E

Price to Book Value

1.88

EV to EBIT

29.20

EV to EBITDA

12.79

EV to Capital Employed

1.67

EV to Sales

1.54

PEG Ratio

Dividend Yield

ROCE (Latest)

5.72%

ROE (Latest)

1.70%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

No Trend

Mildly Bearish

OBV

No Trend

Mildly Bearish

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

INVENTORY TURNOVER RATIO(HY)

Highest at 5.54 times

-41What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at CNY 46.96 MM

INTEREST(HY)

At CNY 29.3 MM has Grown at 17.04%

ROCE(HY)

Lowest at 0.98%

INTEREST COVERAGE RATIO(Q)

Lowest at 68.94

RAW MATERIAL COST(Y)

Grown by 20.12% (YoY

DEBT-EQUITY RATIO (HY)

Highest at 60.12 %

DEBTORS TURNOVER RATIO(HY)

Lowest at 2.06 times

NET SALES(Q)

Lowest at CNY 472.36 MM

OPERATING PROFIT(Q)

Lowest at CNY 10.11 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 2.14 %

PRE-TAX PROFIT(Q)

Lowest at CNY -4.12 MM

NET PROFIT(Q)

Lowest at CNY -16.25 MM

EPS(Q)

Lowest at CNY -0.02

Here's what is working for Beijing Centergate Technologies (Holding) Co., Ltd.

Inventory Turnover Ratio

Highest at 5.54 times

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 Beijing Centergate Technologies (Holding) Co., Ltd.

Net Sales

At CNY 472.36 MM has Fallen at -22.4%

over average net sales of the previous four periods of CNY 608.69 MM

MOJO Watch

Near term sales trend is extremely negative

Net Sales (CNY MM)

Pre-Tax Profit

At CNY -4.12 MM has Fallen at -115.55%

over average net sales of the previous four periods of CNY 26.52 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Net Profit

At CNY -16.25 MM has Fallen at -235.77%

over average net sales of the previous four periods of CNY 11.97 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Interest

At CNY 29.3 MM has Grown at 17.04%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Operating Cash Flow

Lowest at CNY 46.96 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)

Interest Coverage Ratio

Lowest at 68.94

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Net Sales

Lowest at CNY 472.36 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Operating Profit

Lowest at CNY 10.11 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 2.14 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at CNY -4.12 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (CNY MM)

Net Profit

Lowest at CNY -16.25 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CNY MM)

EPS

Lowest at CNY -0.02

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (CNY)

Debt-Equity Ratio

Highest at 60.12 %

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 2.06 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Raw Material Cost

Grown by 20.12% (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