Bestsun Energy Co., Ltd. (600681) 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

Bestsun Energy Co., Ltd.

Why is Bestsun Energy Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 12.84%

The company has been able to generate a Return on Capital Employed (avg) of 12.84% signifying low profitability per unit of total capital (equity and debt)

The company is Net-Debt Free

Poor long term growth as Net Sales has grown by an annual rate of 2.54% and Operating profit at -7.30% over the last 5 years
The company is Net-Debt Free
The company has been able to generate a Return on Equity (avg) of 11.32% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 2.54% and Operating profit at -7.30% over the last 5 years

Negative results in Jun 26

OPERATING CASH FLOW(Y) Lowest at CNY 589.68 MM
ROCE(HY) Lowest at 6.03%
INTEREST(Q) At CNY 19.89 MM has Grown at 31.08%

With ROE of 7.91%, it has a attractive valuation with a 1.17 Price to Book Value

Over the past year, while the stock has generated a return of -12.21%, its profits have fallen by -16.4%
At the current price, the company has a high dividend yield of 0.3

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Bestsun Energy Co., Ltd. should be less than 10%
Overall Portfolio exposure to Media & Entertainment should be less than 30%

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

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

Is Bestsun Energy Co., Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Bestsun Energy Co., Ltd.

-12.63%

-0.10

43.88%

China Shanghai Composite

3.0%

0.22

14.72%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

2.54%

EBIT Growth (5y)

-7.30%

EBIT to Interest (avg)

7.71

Debt to EBITDA (avg)

1.87

Net Debt to Equity (avg)

0.36

Sales to Capital Employed (avg)

0.91

Tax Ratio

36.85%

Dividend Payout Ratio

84.79%

Pledged Shares

Institutional Holding

ROCE (avg)

11.35%

ROE (avg)

11.32%

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

1.17

EV to EBIT

11.67

EV to EBITDA

8.43

EV to Capital Employed

1.12

EV to Sales

1.18

PEG Ratio

Dividend Yield

0.31%

ROCE (Latest)

9.60%

ROE (Latest)

7.91%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Mildly Bullish

Mildly Bearish

Dow Theory

No Trend

Mildly Bearish

OBV

Mildly Bearish

Mildly 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

2What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -20.58% (YoY

OPERATING PROFIT MARGIN(Q)

Highest at 18.14 %

-17What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at CNY 589.68 MM

ROCE(HY)

Lowest at 6.03%

INTEREST(Q)

At CNY 19.89 MM has Grown at 31.08%

NET PROFIT(Q)

At CNY 33.34 MM has Fallen at -44.62%

DIVIDEND PAYOUT RATIO(Y)

Lowest at 0%

DEBT-EQUITY RATIO (HY)

Highest at 52.22 %

INVENTORY TURNOVER RATIO(HY)

Lowest at 14.8 times

DIVIDEND PER SHARE(HY)

Lowest at CNY 15.63

NET SALES(Q)

Lowest at CNY 761.11 MM

PRE-TAX PROFIT(Q)

Lowest at CNY 48.62 MM

Here's what is working for Bestsun Energy Co., Ltd.

Operating Profit Margin

Highest at 18.14 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Raw Material Cost

Fallen by -20.58% (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 Bestsun Energy Co., Ltd.

Interest

At CNY 19.89 MM has Grown at 31.08%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Net Profit

At CNY 33.34 MM has Fallen at -44.62%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Operating Cash Flow

Lowest at CNY 589.68 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 761.11 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Pre-Tax Profit

Lowest at CNY 48.62 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (CNY MM)

Pre-Tax Profit

Fallen at -37.58%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (CNY MM)

Debt-Equity Ratio

Highest at 52.22 %

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 14.8 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Dividend per share

Lowest at CNY 15.63

in the last five years

MOJO Watch

Company is distributing lower dividend than previous years

DPS (CNY)

Dividend Payout Ratio

Lowest at 0%

in the last five years

MOJO Watch

Company is distributing lower proportion of profits generated as dividend

DPR (%)

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