Central China Real Estate Ltd. (832) 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

Zhong An Intelligent Living Service Ltd.

Starjoy Wellness & Travel Co., Ltd.

Central China Real Estate Ltd.

eSun Holdings Ltd.

Zensun Enterprises Ltd.

Zhong Ao Home Group Ltd.

Xinji Shaxi Group Co., Ltd.

Million Cities Holdings Ltd.

First Service Holding Ltd.

Glory Health Industry Ltd.

Yida China Holdings Ltd.

Why is Central China Real Estate Ltd. ?

With a Negative Book Value, the company has a Weak Long Term Fundamental Strength

Negative results in Dec 25

INTEREST(HY) At HKD 552.58 MM has Grown at 56.64%
PRE-TAX PROFIT(Q) At HKD -1,774.95 MM has Fallen at -458.44%
DEBT-EQUITY RATIO (HY) Highest at -278.08 %

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 -52.94%, its profits have risen by 49.1%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -52.94% returns in the last 1 year, the stock has also underperformed Hang Seng Hong Kong in each of the last 3 annual periods

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 Realty)

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

Is Central China Real Estate Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Central China Real Estate Ltd.

-52.94%

-0.87

75.17%

Hang Seng Hong Kong

8.76%

0.45

19.63%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-15.58%

EBIT Growth (5y)

-163.89%

EBIT to Interest (avg)

2.00

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

Tax Ratio

22.15%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

ROE (avg)

4.57%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

-0.02

EV to EBIT

1.46

EV to EBITDA

4.39

EV to Capital Employed

0.11

EV to Sales

-0.06

PEG Ratio

Dividend Yield

ROCE (Latest)

7.33%

ROE (Latest)

Negative BV

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

RSI

Bullish

No Signal

Bollinger Bands

Mildly Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bullish

Bearish

Dow Theory

No Trend

Bearish

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 HKD -2,893.25 MM

NET PROFIT(HY)

Higher at HKD -1,879.17 MM

-16What is not working for the Company

INTEREST(HY)

At HKD 552.58 MM has Grown at 56.64%

PRE-TAX PROFIT(Q)

At HKD -1,774.95 MM has Fallen at -458.44%

DEBT-EQUITY RATIO (HY)

Highest at -278.08 %

NET PROFIT(Q)

At HKD -1,879.17 MM has Fallen at -140.55%

RAW MATERIAL COST(Y)

Grown by 65.5% (YoY

CASH AND EQV(HY)

Lowest at HKD 953.01 MM

INVENTORY TURNOVER RATIO(HY)

Lowest at 0.18 times

DEBTORS TURNOVER RATIO(HY)

Lowest at 1.4 times

NET SALES(Q)

Lowest at HKD 5,738.34 MM

Here's what is working for Central China Real Estate Ltd.

Operating Cash Flow

Highest at HKD -2,893.25 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (HKD MM)

Depreciation

At HKD 244.45 MM has Grown at 16.77%

period on period (QoQ)

MOJO Watch

The expenditure on assets done by the company has gone into productive use which should positively reflect in the future sales

Depreciation (HKD MM)

Here's what is not working for Central China Real Estate Ltd.

Pre-Tax Profit

At HKD -1,774.95 MM has Fallen at -458.44%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (HKD MM)

Interest

At HKD 552.58 MM has Grown at 56.64%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (HKD MM)

Net Profit

At HKD -1,879.17 MM has Fallen at -140.55%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (HKD MM)

Debt-Equity Ratio

Highest at -278.08 % 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

Net Sales

Lowest at HKD 5,738.34 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (HKD MM)

Net Sales

Fallen at -40.27%

Year on Year (YoY)

MOJO Watch

Near term sales trend is negative

Net Sales (HKD MM)

Cash and Eqv

Lowest at HKD 953.01 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Inventory Turnover Ratio

Lowest at 0.18 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Debtors Turnover Ratio

Lowest at 1.4 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Raw Material Cost

Grown by 65.5% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales