Beijing Join-Cheer Software Co., Ltd. (002279) 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 Join-Cheer Software Co., Ltd.

Why is Beijing Join-Cheer Software Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 1.69%

The company has been able to generate a Return on Capital Employed (avg) of 1.69% signifying low profitability per unit of total capital (equity and debt)

Poor long term growth as Net Sales has grown by an annual rate of -1.48% and Operating profit at 33.19% over the last 5 years

With ROE of 1.95%, it has a risky valuation with a 4.28 Price to Book Value

Over the past year, while the stock has generated a return of 22.96%, its profits have risen by 111% ; the PEG ratio of the company is 2

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 Computers - Software & Consulting)

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

Is Beijing Join-Cheer Software Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Beijing Join-Cheer Software Co., Ltd.

22.96%

1.70

50.95%

China Shanghai Composite

15.17%

1.02

14.86%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-1.48%

EBIT Growth (5y)

33.19%

EBIT to Interest (avg)

-16.77

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

-0.56

Sales to Capital Employed (avg)

2.38

Tax Ratio

0.16%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

1.69%

ROE (avg)

5.06%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

220

Industry P/E

Price to Book Value

4.28

EV to EBIT

5051.63

EV to EBITDA

125.81

EV to Capital Employed

7.91

EV to Sales

1.62

PEG Ratio

1.98

Dividend Yield

ROCE (Latest)

0.01%

ROE (Latest)

1.95%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

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

15What is working for the Company

PRE-TAX PROFIT(Q)

At CNY 43.27 MM has Grown at 150.9%

NET PROFIT(Q)

At CNY 45.81 MM has Grown at 158.1%

RAW MATERIAL COST(Y)

Fallen by -165.45% (YoY

DEBT-EQUITY RATIO (HY)

Lowest at -56.62 %

-12What is not working for the Company

NET SALES(Q)

At CNY 733.58 MM has Fallen at -24.14%

DEBTORS TURNOVER RATIO(HY)

Lowest at 4.2 times

Here's what is working for Beijing Join-Cheer Software Co., Ltd.

Pre-Tax Profit

At CNY 43.27 MM has Grown at 150.9%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 45.81 MM has Grown at 158.1%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (CNY MM)

Debt-Equity Ratio

Lowest at -56.62 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Raw Material Cost

Fallen by -165.45% (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 Beijing Join-Cheer Software Co., Ltd.

Net Sales

At CNY 733.58 MM has Fallen at -24.14%

Year on Year (YoY)

MOJO Watch

Near term sales trend is extremely negative

Net Sales (CNY MM)

Debtors Turnover Ratio

Lowest at 4.2 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Non Operating Income

Highest at CNY 0.14 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income