Chengxin Lithium Group Co., Ltd. (002240) 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

Chengxin Lithium Group Co., Ltd.

Why is Chengxin Lithium Group Co., Ltd. ?

With a growth in Operating Profit of 204.19%, the company declared Outstanding results in Mar 26

The company has declared positive results for the last 2 consecutive quarters
NET SALES(Q) Highest at CNY 3,284.05 MM
RAW MATERIAL COST(Y) Fallen by -1,061.34% (YoY)
INVENTORY TURNOVER RATIO(HY) Highest at 2.46 times

Market Beating performance in long term as well as near term

Along with generating 283.20% returns in the last 1 year, the stock has outperformed China Shanghai Composite in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Chengxin Lithium Group Co., Ltd. should be less than 10%
Overall Portfolio exposure to Minerals & Mining should be less than 30%

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

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

Is Chengxin Lithium Group Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Chengxin Lithium Group Co., Ltd.

246.9%

3.15

65.98%

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)

29.84%

EBIT Growth (5y)

82.11%

EBIT to Interest (avg)

18.28

Debt to EBITDA (avg)

6.07

Net Debt to Equity (avg)

0.46

Sales to Capital Employed (avg)

0.28

Tax Ratio

2.60%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

17.66%

ROE (avg)

15.30%

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

3.37

EV to EBIT

53.14

EV to EBITDA

28.75

EV to Capital Employed

2.56

EV to Sales

5.46

PEG Ratio

Dividend Yield

ROCE (Latest)

4.82%

ROE (Latest)

-2.49%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

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

42What is working for the Company

NET SALES(Q)

Highest at CNY 3,284.05 MM

RAW MATERIAL COST(Y)

Fallen by -1,061.34% (YoY

INVENTORY TURNOVER RATIO(HY)

Highest at 2.46 times

DEBTORS TURNOVER RATIO(HY)

Highest at 6.44 times

OPERATING PROFIT(Q)

Highest at CNY 983.07 MM

PRE-TAX PROFIT(Q)

Highest at CNY 624.91 MM

NET PROFIT(Q)

Highest at CNY 474.91 MM

EPS(Q)

Highest at CNY 0.53

-5What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at CNY 33.94 MM

INTEREST(HY)

At CNY 126.63 MM has Grown at 5.77%

Here's what is working for Chengxin Lithium Group Co., Ltd.

Net Sales

At CNY 3,284.05 MM has Grown at 159.56%

over average net sales of the previous four periods of CNY 1,265.24 MM

MOJO Watch

Near term sales trend is extremely positive

Net Sales (CNY MM)

Pre-Tax Profit

At CNY 624.91 MM has Grown at 403.23%

over average net sales of the previous four periods of CNY -206.08 MM

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 474.91 MM has Grown at 315.96%

over average net sales of the previous four periods of CNY -219.91 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (CNY MM)

Net Sales

Highest at CNY 3,284.05 MM and Grown

In each period in the last five periods

MOJO Watch

Near term sales trend is very positive

Net Sales (CNY MM)

Operating Profit

Highest at CNY 983.07 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (CNY MM)

Pre-Tax Profit

Highest at CNY 624.91 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 474.91 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY 0.53

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Inventory Turnover Ratio

Highest at 2.46 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Debtors Turnover Ratio

Highest at 6.44 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by -1,061.34% (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 Chengxin Lithium Group Co., Ltd.

Operating Cash Flow

Lowest at CNY 33.94 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)

Interest

At CNY 126.63 MM has Grown at 5.77%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)