Chaoju Eye Care Holdings Ltd. () 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

Chaoju Eye Care Holdings Ltd.

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Yunkang Group Ltd.

Why is Chaoju Eye Care Holdings Ltd. ?

High Debt company with Weak Long Term Fundamental Strength

The company is Net-Debt Free

Flat results in Dec 25

INTEREST(HY) At HKD 6.69 MM has Grown at 22.5%
INTEREST COVERAGE RATIO(Q) Lowest at 2,795.7
RAW MATERIAL COST(Y) Grown by 5.43% (YoY)

With ROE of 6.53%, it has a Attractive valuation with a 0.65 Price to Book Value

Over the past year, while the stock has generated a return of -14.09%, its profits have fallen by -12%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -14.09% 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 hold?

Overall Portfolio exposure to Chaoju Eye Care Holdings Ltd. should be less than 10%
Overall Portfolio exposure to Pharmaceuticals & Biotechnology should be less than 30%

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

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

Is Chaoju Eye Care Holdings Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Chaoju Eye Care Holdings Ltd.

-14.09%

-1.00

29.22%

Hang Seng Hong Kong

0.26%

0.01

20.12%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

10.60%

EBIT Growth (5y)

4.80%

EBIT to Interest (avg)

21.14

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.63

Sales to Capital Employed (avg)

0.57

Tax Ratio

30.73%

Dividend Payout Ratio

84.48%

Pledged Shares

Institutional Holding

ROCE (avg)

36.11%

ROE (avg)

8.14%

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

0.65

EV to EBIT

0.59

EV to EBITDA

0.37

EV to Capital Employed

0.14

EV to Sales

0.11

PEG Ratio

Dividend Yield

ROCE (Latest)

23.90%

ROE (Latest)

6.53%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bullish

Dow Theory

Mildly Bullish

No Trend

OBV

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

3What is working for the Company

DIVIDEND PAYOUT RATIO(Y)

Highest at 220.67%

INVENTORY TURNOVER RATIO(HY)

Highest at 19.01 times

DIVIDEND PER SHARE(HY)

Highest at HKD 18.84

-8What is not working for the Company

INTEREST(HY)

At HKD 6.69 MM has Grown at 22.5%

INTEREST COVERAGE RATIO(Q)

Lowest at 2,795.7

RAW MATERIAL COST(Y)

Grown by 5.43% (YoY

NET SALES(Q)

Lowest at HKD 724.84 MM

PRE-TAX PROFIT(Q)

Lowest at HKD 68.12 MM

NET PROFIT(Q)

Lowest at HKD 47.53 MM

Here's what is working for Chaoju Eye Care Holdings Ltd.

Inventory Turnover Ratio

Highest at 19.01 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Dividend per share

Highest at HKD 18.84

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (HKD)

Dividend Payout Ratio

Highest at 220.67%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Depreciation

Highest at HKD 80.85 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (HKD MM)

Here's what is not working for Chaoju Eye Care Holdings Ltd.

Interest Coverage Ratio

Lowest at 2,795.7

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Interest

At HKD 6.69 MM has Grown at 22.5%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (HKD MM)

Net Sales

Lowest at HKD 724.84 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (HKD MM)

Pre-Tax Profit

Lowest at HKD 68.12 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (HKD MM)

Net Profit

Lowest at HKD 47.53 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (HKD MM)

Raw Material Cost

Grown by 5.43% (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