Beijing SL Pharmaceutical Co., Ltd. (002038) 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

Beijing SL Pharmaceutical Co., Ltd.

Why is Beijing SL Pharmaceutical Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 3.40%

The company has been able to generate a Return on Capital Employed (avg) of 3.40% 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 -17.72% and Operating profit at -182.88% over the last 5 years

The company has declared Negative results for the last 4 consecutive quarters

NET SALES(Q) At CNY 168.15 MM has Fallen at -30.95%
PRE-TAX PROFIT(Q) At CNY 22.5 MM has Fallen at -80.47%
NET PROFIT(Q) At CNY 21.72 MM has Fallen at -80.82%

With ROE of -0.45%, it has a fair valuation with a 1.06 Price to Book Value

Over the past year, while the stock has generated a return of 2.89%, its profits have fallen by -115%
At the current price, the company has a high dividend yield of 0.3

Underperformed the market in the last 1 year

The stock has generated a return of 2.89% 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 hold?

Overall Portfolio exposure to Beijing SL Pharmaceutical Co., Ltd. should be less than 10%
Overall Portfolio exposure to Pharmaceuticals & Biotechnology should be less than 30%

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

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Beijing SL Pharmaceutical Co., Ltd. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Beijing SL Pharmaceutical Co., Ltd.

-100.0%

-0.00

34.60%

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)

-17.72%

EBIT Growth (5y)

-182.88%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.14

Sales to Capital Employed (avg)

0.15

Tax Ratio

33.92%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

3.40%

ROE (avg)

3.84%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

1.06

EV to EBIT

-50.61

EV to EBITDA

51.58

EV to Capital Employed

1.09

EV to Sales

7.29

PEG Ratio

Dividend Yield

0.34%

ROCE (Latest)

-2.16%

ROE (Latest)

-0.45%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bullish

Sideways

Moving Averages

Bullish (Daily)

KST

Mildly Bearish

Mildly Bullish

Dow Theory

No Trend

OBV

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

0What is working for the Company

NO KEY POSITIVE TRIGGERS

-35What is not working for the Company

NET SALES(Q)

At CNY 168.15 MM has Fallen at -30.95%

PRE-TAX PROFIT(Q)

At CNY 22.5 MM has Fallen at -80.47%

NET PROFIT(Q)

At CNY 21.72 MM has Fallen at -80.82%

OPERATING CASH FLOW(Y)

Lowest at CNY 93.1 MM

ROCE(HY)

Lowest at -1.71%

RAW MATERIAL COST(Y)

Grown by 7.15% (YoY

DEBT-EQUITY RATIO (HY)

Highest at -13.78 %

INVENTORY TURNOVER RATIO(HY)

Lowest at 1.12%

DEBTORS TURNOVER RATIO(HY)

Lowest at 3.35%

Here's what is not working for Beijing SL Pharmaceutical Co., Ltd.

Net Sales

At CNY 168.15 MM has Fallen at -30.95%

Year on Year (YoY)

MOJO Watch

Near term sales trend is extremely negative

Net Sales (CNY MM)

Pre-Tax Profit

At CNY 22.5 MM has Fallen at -80.47%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 21.72 MM has Fallen at -80.82%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Operating Cash Flow

Lowest at CNY 93.1 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CNY MM)

Debt-Equity Ratio

Highest at -13.78 %

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 1.12%

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 3.35%

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 7.15% (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