Why is Canggang Railway Ltd. ?
1
High Debt company with Weak Long Term Fundamental Strength
- Poor long term growth as Net Sales has grown by an annual rate of -10.63% and Operating profit at -14.70% over the last 5 years
- High Debt Company with a Debt to Equity ratio (avg) at times
2
Flat results in Jun 25
- CASH AND EQV(HY) Lowest at HKD 93.64 MM
- DEBT-EQUITY RATIO (HY) Highest at 58.66 %
- INVENTORY TURNOVER RATIO(HY) Lowest at 2.24 times
3
With ROE of 5.29%, it has a Very Expensive valuation with a 6.46 Price to Book Value
- Over the past year, while the stock has generated a return of -52.03%, its profits have fallen by -32.4%
4
Below par performance in long term as well as near term
- Along with generating -52.03% returns in the last 1 year, the stock has also underperformed Hang Seng Hong Kong in the last 3 years, 1 year and 3 months
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 Construction)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Canggang Railway Ltd. for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Canggang Railway Ltd.
-52.03%
-0.77
56.70%
Hang Seng Hong Kong
8.25%
0.41
19.93%
Quality key factors
Factor
Value
Sales Growth (5y)
-10.63%
EBIT Growth (5y)
-14.70%
EBIT to Interest (avg)
3.83
Debt to EBITDA (avg)
2.39
Net Debt to Equity (avg)
0.47
Sales to Capital Employed (avg)
0.25
Tax Ratio
28.15%
Dividend Payout Ratio
41.40%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
9.08%
ROE (avg)
8.07%
Valuation Key Factors 
Factor
Value
P/E Ratio
122
Industry P/E
Price to Book Value
6.46
EV to EBIT
81.13
EV to EBITDA
52.49
EV to Capital Employed
4.72
EV to Sales
20.48
PEG Ratio
NA
Dividend Yield
0.19%
ROCE (Latest)
5.82%
ROE (Latest)
5.29%
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Mildly Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Bearish
Dow Theory
Mildly Bullish
No Trend
OBV
No Trend
No Trend
Technical Movement
1What is working for the Company
OPERATING PROFIT MARGIN(Q)
Highest at 45.9 %
-4What is not working for the Company
CASH AND EQV(HY)
Lowest at HKD 93.64 MM
DEBT-EQUITY RATIO
(HY)
Highest at 58.66 %
INVENTORY TURNOVER RATIO(HY)
Lowest at 2.24 times
Here's what is working for Canggang Railway Ltd.
Operating Profit Margin
Highest at 45.9 %
in the last five periodsMOJO Watch
Company's profit margin has improved
Operating Profit to Sales
Here's what is not working for Canggang Railway Ltd.
Cash and Eqv
Lowest at HKD 93.64 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is deteriorating
Cash and Cash Equivalents
Debt-Equity Ratio
Highest at 58.66 %
in the last five Semi-Annual periodsMOJO 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 2.24 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling inventory has slowed
Inventory Turnover Ratio






