Why is Beijing Forever Technology Co., Ltd. ?
1
Poor Management Efficiency with a low ROCE of 1.00%
- The company has been able to generate a Return on Capital Employed (avg) of 1.00% signifying low profitability per unit of total capital (equity and debt)
2
Poor long term growth as Net Sales has grown by an annual rate of 3.97% and Operating profit at -190.65% over the last 5 years
3
Risky -
- The stock is trading risky as compared to its average historical valuations
- Over the past year, while the stock has generated a return of -2.21%, its profits have fallen by -910.5%
4
Consistent Underperformance against the benchmark over the last 3 years
- Along with generating -2.21% returns in the last 1 year, the stock has also underperformed China Shanghai Composite in each of the last 3 annual periods
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 Software Products)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Beijing Forever Technology Co., Ltd. for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Beijing Forever Technology Co., Ltd.
-7.25%
0.82
45.65%
China Shanghai Composite
15.19%
1.01
15.10%
Quality key factors
Factor
Value
Sales Growth (5y)
3.97%
EBIT Growth (5y)
-190.65%
EBIT to Interest (avg)
-23.31
Debt to EBITDA (avg)
Negative Net Debt
Net Debt to Equity (avg)
-0.18
Sales to Capital Employed (avg)
0.41
Tax Ratio
11.72%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
1.00%
ROE (avg)
1.35%
Valuation Key Factors 
Factor
Value
P/E Ratio
NA (Loss Making)
Industry P/E
Price to Book Value
1.42
EV to EBIT
-15.99
EV to EBITDA
-17.67
EV to Capital Employed
1.51
EV to Sales
2.10
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
-9.43%
ROE (Latest)
-8.26%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Mildly Bullish
Moving Averages
Bullish (Daily)
KST
Bearish
Bullish
Dow Theory
Mildly Bearish
Mildly Bullish
OBV
Mildly Bearish
Mildly Bullish
Technical Movement
19What is working for the Company
NET SALES(Q)
At CNY 240.31 MM has Grown at 115.04%
DEBTORS TURNOVER RATIO(HY)
Highest at 1.01%
INVENTORY TURNOVER RATIO(HY)
Highest at 2.25%
PRE-TAX PROFIT(Q)
Highest at CNY 4.88 MM
NET PROFIT(Q)
Highest at CNY 4.02 MM
-9What is not working for the Company
NET PROFIT(HY)
At CNY -163.06 MM has Grown at -3,193.55%
RAW MATERIAL COST(Y)
Grown by 59.35% (YoY
Here's what is working for Beijing Forever Technology Co., Ltd.
Net Sales
At CNY 240.31 MM has Grown at 115.04%
Year on Year (YoY)MOJO Watch
Near term sales trend is extremely positive
Net Sales (CNY MM)
Debtors Turnover Ratio
Highest at 1.01% and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Pre-Tax Profit
Highest at CNY 4.88 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (CNY MM)
Pre-Tax Profit
At CNY 4.88 MM has Grown at 84.62%
Year on Year (YoY)MOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (CNY MM)
Net Profit
Highest at CNY 4.02 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (CNY MM)
Net Profit
At CNY 4.02 MM has Grown at 78.56%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is positive
Net Profit (CNY MM)
Inventory Turnover Ratio
Highest at 2.25%
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Here's what is not working for Beijing Forever Technology Co., Ltd.
Raw Material Cost
Grown by 59.35% (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






