CECEP Guozhen Environmental Protection Technology Co., Ltd. (300388) 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

CECEP Guozhen Environmental Protection Technology Co., Ltd.

Why is CECEP Guozhen Environmental Protection Technology Co., Ltd. ?

High Debt Company with a Debt to Equity ratio (avg) at times

Poor long term growth as Net Sales has grown by an annual rate of -2.55% and Operating profit at -0.95% over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times
The company has been able to generate a Return on Equity (avg) of 10.31% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of -2.55% and Operating profit at -0.95% over the last 5 years

The company has declared Negative results for the last 3 consecutive quarters

ROCE(HY) Lowest at 8.04%
DEBTORS TURNOVER RATIO(HY) Lowest at 0.79 times
INTEREST COVERAGE RATIO(Q) Lowest at 280.44

With ROE of 8.43%, it has a very expensive valuation with a 1.38 Price to Book Value

Over the past year, while the stock has generated a return of 3.72%, its profits have fallen by -9.3%
At the current price, the company has a high dividend yield of 1.4

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 Construction)

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

Is CECEP Guozhen Environmental Protection Technology Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

CECEP Guozhen Environmental Protection Technology Co., Ltd.

3.72%

0.91

36.66%

China Shanghai Composite

13.33%

0.90

14.74%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-2.55%

EBIT Growth (5y)

-0.95%

EBIT to Interest (avg)

3.54

Debt to EBITDA (avg)

6.01

Net Debt to Equity (avg)

1.84

Sales to Capital Employed (avg)

0.31

Tax Ratio

16.95%

Dividend Payout Ratio

24.15%

Pledged Shares

Institutional Holding

ROCE (avg)

8.15%

ROE (avg)

10.31%

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

1.38

EV to EBIT

22.31

EV to EBITDA

12.56

EV to Capital Employed

1.13

EV to Sales

4.14

PEG Ratio

Dividend Yield

1.44%

ROCE (Latest)

5.09%

ROE (Latest)

8.43%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bearish

Bullish

Dow Theory

Mildly Bearish

No Trend

OBV

No Trend

Mildly Bearish

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

4What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 834.08 MM

DIVIDEND PAYOUT RATIO(Y)

Highest at 60.3%

DIVIDEND PER SHARE(HY)

Highest at CNY 0.79

-9What is not working for the Company

ROCE(HY)

Lowest at 8.04%

DEBTORS TURNOVER RATIO(HY)

Lowest at 0.79 times

INTEREST COVERAGE RATIO(Q)

Lowest at 280.44

CASH AND EQV(HY)

Lowest at CNY 1,608.43 MM

OPERATING PROFIT(Q)

Lowest at CNY 162.64 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 18.49 %

Here's what is working for CECEP Guozhen Environmental Protection Technology Co., Ltd.

Operating Cash Flow

Highest at CNY 834.08 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Dividend per share

Highest at CNY 0.79

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (CNY)

Dividend Payout Ratio

Highest at 60.3%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Here's what is not working for CECEP Guozhen Environmental Protection Technology Co., Ltd.

Interest Coverage Ratio

Lowest at 280.44

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Debtors Turnover Ratio

Lowest at 0.79 times and Fallen

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

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Operating Profit

Lowest at CNY 162.64 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 18.49 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Cash and Eqv

Lowest at CNY 1,608.43 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents