China Everbright Environment Group Ltd. (257) 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

China Communications Services Corp. Ltd.

China State Construction International Holdings Ltd.

Beijing Enterprises Water Group Ltd.

NWS Holdings Ltd.

Central New Energy Holding Group Ltd.

China Railway Construction Corp. Ltd.

China Energy Engineering Corp. Ltd.

China Railway Group Ltd.

China Everbright Environment Group Ltd.

China Communications Construction Co. Ltd.

Canvest Environmental Protection Group Co. Ltd.

Why is China Everbright Environment Group Ltd. ?

High Debt company with Weak Long Term Fundamental Strength

Poor long term growth as Operating profit has grown by an annual rate -2.04% of over the last 5 years
The company is Net-Debt Free

Flat results in Dec 25

DEBTORS TURNOVER RATIO(HY) Lowest at 0.77 times
NET SALES(Q) Lowest at HKD 13,216.58 MM
RAW MATERIAL COST(Y) Grown by 14.5% (YoY)

With ROE of 7.29%, it has a Very Expensive valuation with a 0.61 Price to Book Value

Over the past year, while the stock has generated a return of 48.02%, its profits have fallen by -22.6%

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 China Everbright Environment Group Ltd. for you?

Low Risk, High Return

Absolute

Risk Adjusted

Volatility

China Everbright Environment Group Ltd.

48.02%

23.00

27.33%

Hang Seng Hong Kong

8.76%

0.45

19.63%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-6.12%

EBIT Growth (5y)

-2.04%

EBIT to Interest (avg)

3.61

Debt to EBITDA (avg)

6.64

Net Debt to Equity (avg)

1.87

Sales to Capital Employed (avg)

0.25

Tax Ratio

18.31%

Dividend Payout Ratio

42.25%

Pledged Shares

Institutional Holding

ROCE (avg)

8.33%

ROE (avg)

12.76%

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

0.61

EV to EBIT

13.91

EV to EBITDA

11.16

EV to Capital Employed

0.86

EV to Sales

4.25

PEG Ratio

Dividend Yield

0.39%

ROCE (Latest)

6.19%

ROE (Latest)

7.29%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bullish

OBV

Mildly Bearish

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

8What is working for the Company

OPERATING CASH FLOW(Y)

Highest at HKD 13,204.83 MM

PRE-TAX PROFIT(Q)

At HKD 2,175.57 MM has Grown at 106.13%

CASH AND EQV(HY)

Highest at HKD 10,524.16 MM

DEBT-EQUITY RATIO (HY)

Lowest at 164.47 %

NET PROFIT(Q)

At HKD 1,970.06 MM has Grown at 98.5%

-7What is not working for the Company

DEBTORS TURNOVER RATIO(HY)

Lowest at 0.77 times

NET SALES(Q)

Lowest at HKD 13,216.58 MM

RAW MATERIAL COST(Y)

Grown by 14.5% (YoY

OPERATING PROFIT(Q)

Lowest at HKD 4,213.36 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 31.88 %

Here's what is working for China Everbright Environment Group Ltd.

Operating Cash Flow

Highest at HKD 13,204.83 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 (HKD MM)

Pre-Tax Profit

At HKD 2,175.57 MM has Grown at 106.13%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (HKD MM)

Net Profit

At HKD 1,970.06 MM has Grown at 98.5%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is positive

Net Profit (HKD MM)

Cash and Eqv

Highest at HKD 10,524.16 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio

Lowest at 164.47 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Depreciation

Highest at HKD 1,132.23 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 China Everbright Environment Group Ltd.

Net Sales

Lowest at HKD 13,216.58 MM and Fallen

In each period in the last five periods

MOJO Watch

Near term sales trend is very negative

Net Sales (HKD MM)

Debtors Turnover Ratio

Lowest at 0.77 times and Fallen

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

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Operating Profit

Lowest at HKD 4,213.36 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (HKD MM)

Operating Profit Margin

Lowest at 31.88 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Raw Material Cost

Grown by 14.5% (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