Changgao Electric Group Co., Ltd. (002452) 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

Changgao Electric Group Co., Ltd.

Why is Changgao Electric Group Co., Ltd. ?

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

OPERATING CASH FLOW(Y) Highest at CNY 454.51 MM
ROCE(HY) Highest at 13.92%
RAW MATERIAL COST(Y) Fallen by -8.94% (YoY)

With ROE of 13.08%, it has a very attractive valuation with a 1.69 Price to Book Value

Over the past year, while the stock has generated a return of 66.77%, its profits have risen by 44% ; the PEG ratio of the company is 0.3
At the current price, the company has a high dividend yield of 1.6

Market Beating Performance

The stock has generated a return of 66.77% in the last 1 year, much higher than market (China Shanghai Composite) returns of 23.91%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Changgao Electric Group Co., Ltd. should be less than 10%
Overall Portfolio exposure to Electronics & Appliances should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Electronics & Appliances)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Changgao Electric Group Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Changgao Electric Group Co., Ltd.

61.58%

1.54

38.55%

China Shanghai Composite

21.43%

1.73

13.79%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

0.07%

EBIT Growth (5y)

1.23%

EBIT to Interest (avg)

22.73

Debt to EBITDA (avg)

0.46

Net Debt to Equity (avg)

-0.39

Sales to Capital Employed (avg)

0.61

Tax Ratio

15.96%

Dividend Payout Ratio

21.42%

Pledged Shares

Institutional Holding

ROCE (avg)

11.16%

ROE (avg)

9.57%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

1.69

EV to EBIT

11.97

EV to EBITDA

10.47

EV to Capital Employed

2.28

EV to Sales

2.11

PEG Ratio

0.29

Dividend Yield

1.57%

ROCE (Latest)

19.09%

ROE (Latest)

13.08%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Sideways

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

No Trend

Mildly Bullish

OBV

Mildly Bearish

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

17What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 454.51 MM

ROCE(HY)

Highest at 13.92%

RAW MATERIAL COST(Y)

Fallen by -8.94% (YoY

CASH AND EQV(HY)

Highest at CNY 3,517.58 MM

DEBT-EQUITY RATIO (HY)

Lowest at -46.16 %

PRE-TAX PROFIT(Q)

At CNY 63.59 MM has Grown at 61.38%

NET PROFIT(Q)

At CNY 56.82 MM has Grown at 70.64%

-9What is not working for the Company

INVENTORY TURNOVER RATIO(HY)

Lowest at 2.12 times

NET SALES(Q)

Lowest at CNY 295.83 MM

Here's what is working for Changgao Electric Group Co., Ltd.

Operating Cash Flow

Highest at CNY 454.51 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Pre-Tax Profit

At CNY 63.59 MM has Grown at 61.38%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 56.82 MM has Grown at 70.64%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

Cash and Eqv

Highest at CNY 3,517.58 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio

Lowest at -46.16 %

in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Raw Material Cost

Fallen by -8.94% (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 Changgao Electric Group Co., Ltd.

Net Sales

Lowest at CNY 295.83 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Net Sales

Fallen at -12.76%

Year on Year (YoY)

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Inventory Turnover Ratio

Lowest at 2.12 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio