Chengdu Road & Bridge Engineering Co., Ltd. (002628) 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

Chengdu Road & Bridge Engineering Co., Ltd.

Why is Chengdu Road & Bridge Engineering Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 0.42%

The company has been able to generate a Return on Capital Employed (avg) of 0.42% signifying low profitability per unit of total capital (equity and debt)

High Debt Company with a Debt to Equity ratio (avg) at times

Poor long term growth as Net Sales has grown by an annual rate of -18.23% and Operating profit at -319.26% over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times
The company has been able to generate a Return on Equity (avg) of 1.24% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of -18.23% and Operating profit at -319.26% over the last 5 years

The company has declared Negative results for the last 6 consecutive quarters

OPERATING CASH FLOW(Y) Lowest at CNY -65.22 MM
PRE-TAX PROFIT(Q) At CNY -4.12 MM has Fallen at -120.98%
NET PROFIT(Q) At CNY -5.72 MM has Fallen at -147.18%

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 3.31%, its profits have fallen by -1204.5%

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 Construction)

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

Is Chengdu Road & Bridge Engineering Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Chengdu Road & Bridge Engineering Co., Ltd.

9.93%

3.04

40.79%

China Shanghai Composite

13.33%

0.90

14.74%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-18.23%

EBIT Growth (5y)

-319.26%

EBIT to Interest (avg)

-0.60

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

0.45

Sales to Capital Employed (avg)

0.22

Tax Ratio

13.11%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

0.42%

ROE (avg)

1.24%

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

1.24

EV to EBIT

-30.44

EV to EBITDA

-34.78

EV to Capital Employed

1.17

EV to Sales

6.33

PEG Ratio

Dividend Yield

ROCE (Latest)

-3.83%

ROE (Latest)

-1.91%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Mildly Bearish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

No Trend

Bullish

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

5What is working for the Company

NET PROFIT(HY)

Higher at CNY -32.5 MM

RAW MATERIAL COST(Y)

Fallen by -293.33% (YoY

NET SALES(Q)

At CNY 207.39 MM has Grown at 24.62%

-23What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at CNY -65.22 MM

PRE-TAX PROFIT(Q)

At CNY -4.12 MM has Fallen at -120.98%

NET PROFIT(Q)

At CNY -5.72 MM has Fallen at -147.18%

ROCE(HY)

Lowest at -3.42%

INVENTORY TURNOVER RATIO(HY)

Lowest at 9.34 times

CASH AND EQV(HY)

Lowest at CNY 290.28 MM

DEBT-EQUITY RATIO (HY)

Highest at 46.39 %

Here's what is working for Chengdu Road & Bridge Engineering Co., Ltd.

Net Sales

At CNY 207.39 MM has Grown at 24.62%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Raw Material Cost

Fallen by -293.33% (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 Chengdu Road & Bridge Engineering Co., Ltd.

Pre-Tax Profit

At CNY -4.12 MM has Fallen at -120.98%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Net Profit

At CNY -5.72 MM has Fallen at -147.18%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Operating Cash Flow

Lowest at CNY -65.22 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CNY MM)

Inventory Turnover Ratio

Lowest at 9.34 times and Fallen

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

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Cash and Eqv

Lowest at CNY 290.28 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debt-Equity Ratio

Highest at 46.39 %

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