Chaozhou Three-Circle (Group) Co., Ltd. (300408) 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

Chaozhou Three-Circle (Group) Co., Ltd.

Why is Chaozhou Three-Circle (Group) Co., Ltd. ?

With a growth in Net Profit of 19.86%, the company declared Very Positive results in Sep 25

The company has declared positive results for the last 5 consecutive quarters
OPERATING CASH FLOW(Y) Highest at CNY 2,965.17 MM
ROCE(HY) Highest at 12.63%
INVENTORY TURNOVER RATIO(HY) Highest at 2.24 times

With ROE of 11.63%, it has a fair valuation with a 4.27 Price to Book Value

Over the past year, while the stock has generated a return of 149.37%, its profits have risen by 28.5% ; the PEG ratio of the company is 1.3
At the current price, the company has a high dividend yield of 0.8

Consistent Returns over the last 3 years

Along with generating 149.37% returns in the last 1 year, the stock has outperformed China Shanghai Composite in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Chaozhou Three-Circle (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 Chaozhou Three-Circle (Group) Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Chaozhou Three-Circle (Group) Co., Ltd.

148.06%

3.88

50.13%

China Shanghai Composite

24.7%

1.93

12.95%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

19.58%

EBIT Growth (5y)

14.91%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.37

Sales to Capital Employed (avg)

0.33

Tax Ratio

12.94%

Dividend Payout Ratio

33.25%

Pledged Shares

Institutional Holding

ROCE (avg)

17.77%

ROE (avg)

11.00%

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

4.27

EV to EBIT

36.07

EV to EBITDA

27.86

EV to Capital Employed

6.00

EV to Sales

9.84

PEG Ratio

1.29

Dividend Yield

0.84%

ROCE (Latest)

16.63%

ROE (Latest)

11.63%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bullish

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

17What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 2,965.17 MM

ROCE(HY)

Highest at 12.63%

INVENTORY TURNOVER RATIO(HY)

Highest at 2.24 times

RAW MATERIAL COST(Y)

Fallen by -1.46% (YoY

NET SALES(Q)

Highest at CNY 2,359.57 MM

PRE-TAX PROFIT(Q)

Highest at CNY 828.71 MM

NET PROFIT(Q)

Highest at CNY 716.2 MM

EPS(Q)

Highest at CNY 0.38

-1What is not working for the Company

OPERATING PROFIT MARGIN(Q)

Lowest at 29.46 %

Here's what is working for Chaozhou Three-Circle (Group) Co., Ltd.

Operating Cash Flow

Highest at CNY 2,965.17 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)

Inventory Turnover Ratio

Highest at 2.24 times and Grown

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

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Net Sales

Highest at CNY 2,359.57 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Net Sales

At CNY 2,359.57 MM has Grown at 16.57%

over average net sales of the previous four periods of CNY 2,024.1 MM

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Pre-Tax Profit

Highest at CNY 828.71 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

Highest at CNY 716.2 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY 0.38

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Raw Material Cost

Fallen by -1.46% (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 Chaozhou Three-Circle (Group) Co., Ltd.

Operating Profit Margin

Lowest at 29.46 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales