Bichamp Cutting Technology (Hunan) Co., Ltd. (002843) 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

Bichamp Cutting Technology (Hunan) Co., Ltd.

Why is Bichamp Cutting Technology (Hunan) Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of 29.52% and Operating profit at 0.90% over the last 5 years

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 -1.35%, its profits have fallen by -68.6%
At the current price, the company has a high dividend yield of 0.5

Below par performance in long term as well as near term

Along with generating -1.35% returns in the last 1 year, the stock has also underperformed China Shanghai Composite in the last 3 years, 1 year and 3 months

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 Industrial Manufacturing)

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

Is Bichamp Cutting Technology (Hunan) Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Bichamp Cutting Technology (Hunan) Co., Ltd.

-2.89%

0.70

57.03%

China Shanghai Composite

21.43%

1.55

13.83%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

29.52%

EBIT Growth (5y)

0.90%

EBIT to Interest (avg)

9.47

Debt to EBITDA (avg)

1.38

Net Debt to Equity (avg)

0.07

Sales to Capital Employed (avg)

0.85

Tax Ratio

24.58%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

7.90%

ROE (avg)

10.55%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

132

Industry P/E

Price to Book Value

1.96

EV to EBIT

47.19

EV to EBITDA

20.34

EV to Capital Employed

1.85

EV to Sales

1.78

PEG Ratio

Dividend Yield

0.48%

ROCE (Latest)

3.91%

ROE (Latest)

1.48%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Dow Theory

Mildly Bullish

OBV

Mildly Bullish

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

10What is working for the Company

NET PROFIT(Q)

At CNY 25.01 MM has Grown at 802.17%

RAW MATERIAL COST(Y)

Fallen by -47.02% (YoY

NET SALES(Q)

Highest at CNY 412.54 MM

PRE-TAX PROFIT(Q)

Highest at CNY 25.32 MM

-8What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at CNY 59.82 MM

ROCE(HY)

Lowest at -2.03%

DEBT-EQUITY RATIO (HY)

Highest at 14.63 %

INVENTORY TURNOVER RATIO(HY)

Lowest at 4.72 times

Here's what is working for Bichamp Cutting Technology (Hunan) Co., Ltd.

Net Profit

At CNY 25.01 MM has Grown at 802.17%

over average net sales of the previous four periods of CNY 2.77 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (CNY MM)

Pre-Tax Profit

At CNY 25.32 MM has Grown at 166.41%

over average net sales of the previous four periods of CNY 9.51 MM

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (CNY MM)

Net Sales

Highest at CNY 412.54 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Pre-Tax Profit

Highest at CNY 25.32 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Raw Material Cost

Fallen by -47.02% (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 Bichamp Cutting Technology (Hunan) Co., Ltd.

Operating Cash Flow

Lowest at CNY 59.82 MM and Fallen

In each year 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 14.63 % and Grown

In each half year 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 4.72 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio