Changchun FAWAY Automobile Components Co., Ltd. (600742) 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

Changchun FAWAY Automobile Components Co., Ltd.

Why is Changchun FAWAY Automobile Components Co., Ltd. ?

With ROE of 9.34%, it has a very attractive valuation with a 0.88 Price to Book Value

Over the past year, while the stock has generated a return of 18.12%, its profits have risen by 3.3% ; the PEG ratio of the company is 2.9
At the current price, the company has a high dividend yield of 3.3

Company is among the highest 1% of companies rated by MarketsMojo across all 4,000 stocks

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 Auto Components & Equipments)

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

Is Changchun FAWAY Automobile Components Co., Ltd. for you?

Medium Risk, High Return

Absolute

Risk Adjusted

Volatility

Changchun FAWAY Automobile Components Co., Ltd.

-18.68%

1.27

26.92%

China Shanghai Composite

23.91%

1.58

14.20%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-2.65%

EBIT Growth (5y)

-12.58%

EBIT to Interest (avg)

42.78

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.63

Sales to Capital Employed (avg)

1.65

Tax Ratio

33.59%

Dividend Payout Ratio

83.08%

Pledged Shares

Institutional Holding

ROCE (avg)

16.23%

ROE (avg)

12.15%

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

0.69

EV to EBIT

1.11

EV to EBITDA

0.51

EV to Capital Employed

0.17

EV to Sales

0.03

PEG Ratio

Dividend Yield

8.97%

ROCE (Latest)

15.24%

ROE (Latest)

8.56%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly 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 CNY 2,079.23 MM

RAW MATERIAL COST(Y)

Fallen by -19.16% (YoY

CASH AND EQV(HY)

Highest at CNY 19,028.77 MM

-16What is not working for the Company

ROCE(HY)

Lowest at 5.24%

INTEREST COVERAGE RATIO(Q)

Lowest at 1,072.75

DEBTORS TURNOVER RATIO(HY)

Lowest at 3.15 times

NET SALES(Q)

Lowest at CNY 3,907.7 MM

OPERATING PROFIT(Q)

Lowest at CNY 87.46 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 2.24 %

PRE-TAX PROFIT(Q)

Lowest at CNY 128.84 MM

NET PROFIT(Q)

At CNY 81.87 MM has Fallen at -29.59%

Here's what is working for Changchun FAWAY Automobile Components Co., Ltd.

Operating Cash Flow

Highest at CNY 2,079.23 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Cash and Eqv

Highest at CNY 19,028.77 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Raw Material Cost

Fallen by -19.16% (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 Changchun FAWAY Automobile Components Co., Ltd.

Net Sales

At CNY 3,907.7 MM has Fallen at -21.33%

over average net sales of the previous four periods of CNY 4,966.96 MM

MOJO Watch

Near term sales trend is extremely negative

Net Sales (CNY MM)

Interest Coverage Ratio

Lowest at 1,072.75

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Net Sales

Lowest at CNY 3,907.7 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Operating Profit

Lowest at CNY 87.46 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 2.24 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at CNY 128.84 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (CNY MM)

Pre-Tax Profit

At CNY 128.84 MM has Fallen at -30.18%

over average net sales of the previous four periods of CNY 184.53 MM

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 81.87 MM has Fallen at -29.59%

over average net sales of the previous four periods of CNY 116.27 MM

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CNY MM)

Debtors Turnover Ratio

Lowest at 3.15 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio