Better Life Commercial Chain Share Co., Ltd. (002251) 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

Better Life Commercial Chain Share Co., Ltd.

Why is Better Life Commercial Chain Share Co., Ltd. ?

Weak Long Term Fundamental Strength as the company has not declared results in the last 6 months

Poor long term growth as Net Sales has grown by an annual rate of -26.44% and Operating profit at -191.10% over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times

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 9.44%, its profits have risen by 409.2% ; the PEG ratio of the company is 0

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 Retailing)

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

Is Better Life Commercial Chain Share Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Better Life Commercial Chain Share Co., Ltd.

9.44%

0.61

52.98%

China Shanghai Composite

16.1%

1.26

12.73%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-26.44%

EBIT Growth (5y)

-191.10%

EBIT to Interest (avg)

0.83

Debt to EBITDA (avg)

8.06

Net Debt to Equity (avg)

0.69

Sales to Capital Employed (avg)

0.24

Tax Ratio

9.46%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

5.21%

ROE (avg)

4.96%

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

1.84

EV to EBIT

-42.03

EV to EBITDA

728.51

EV to Capital Employed

1.50

EV to Sales

5.44

PEG Ratio

0.02

Dividend Yield

ROCE (Latest)

-3.57%

ROE (Latest)

24.88%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

Bullish

No Signal

Bollinger Bands

Bearish

Mildly Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

No Trend

OBV

Mildly Bearish

No Trend

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

12What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 448.97 MM

DEBTORS TURNOVER RATIO(HY)

Highest at 28.19 times

RAW MATERIAL COST(Y)

Fallen by -60.38% (YoY

DEBT-EQUITY RATIO (HY)

Lowest at 72.74 %

NET SALES(Q)

At CNY 1,067.35 MM has Grown at 33.83%

-22What is not working for the Company

INTEREST(HY)

At CNY 135.01 MM has Grown at 33.41%

PRE-TAX PROFIT(Q)

At CNY 35.59 MM has Fallen at -98.35%

NET PROFIT(Q)

At CNY 24.87 MM has Fallen at -98.81%

Here's what is working for Better Life Commercial Chain Share Co., Ltd.

Operating Cash Flow

Highest at CNY 448.97 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Debtors Turnover Ratio

Highest at 28.19 times and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Net Sales

At CNY 1,067.35 MM has Grown at 33.83%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Debt-Equity Ratio

Lowest at 72.74 %

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 -60.38% (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 Better Life Commercial Chain Share Co., Ltd.

Interest

At CNY 135.01 MM has Grown at 33.41%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Pre-Tax Profit

At CNY 35.59 MM has Fallen at -98.35%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 24.87 MM has Fallen at -98.81%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Non Operating Income

Highest at CNY 2.11 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income