China Kings Resources Group Co., Ltd. (603505) 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 Kings Resources Group Co., Ltd.

Why is China Kings Resources Group Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of 34.83% and Operating profit at 3.32% over the last 5 years

The company has declared Negative results for the last 3 consecutive quarters

INTEREST(HY) At CNY 51.24 MM has Grown at 13.2%
ROCE(HY) Lowest at 14.01%

With ROE of 14.49%, it has a very expensive valuation with a 9.04 Price to Book Value

Over the past year, while the stock has generated a return of 20.33%, its profits have fallen by -41.6%
At the current price, the company has a high dividend yield of 0.5

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 Minerals & Mining)

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

Is China Kings Resources Group Co., Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

China Kings Resources Group Co., Ltd.

-4.29%

-0.68

43.82%

China Shanghai Composite

21.43%

1.58

14.20%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

34.05%

EBIT Growth (5y)

0.80%

EBIT to Interest (avg)

9.59

Debt to EBITDA (avg)

2.32

Net Debt to Equity (avg)

1.66

Sales to Capital Employed (avg)

0.62

Tax Ratio

20.43%

Dividend Payout Ratio

30.93%

Pledged Shares

Institutional Holding

ROCE (avg)

14.85%

ROE (avg)

19.82%

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

7.84

EV to EBIT

56.94

EV to EBITDA

30.35

EV to Capital Employed

3.33

EV to Sales

4.69

PEG Ratio

Dividend Yield

0.66%

ROCE (Latest)

5.85%

ROE (Latest)

18.09%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bullish

Mildly Bearish

Moving Averages

Bullish (Daily)

KST

Bullish

Mildly Bullish

Dow Theory

Mildly Bullish

Mildly Bearish

OBV

Mildly Bullish

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

10What is working for the Company

NET PROFIT(HY)

At CNY 151.39 MM has Grown at 108.44%

NET SALES(9M)

At CNY 3,081.94 MM has Grown at 24%

CASH AND EQV(HY)

Highest at CNY 1,085.9 MM

INVENTORY TURNOVER RATIO(HY)

Highest at 4.15 times

-17What is not working for the Company

INTEREST(Q)

At CNY 26.68 MM has Grown at 13.25%

INTEREST COVERAGE RATIO(Q)

Lowest at 289.01

PRE-TAX PROFIT(Q)

At CNY 45.92 MM has Fallen at -46.84%

RAW MATERIAL COST(Y)

Grown by 16.77% (YoY

DEBT-EQUITY RATIO (HY)

Highest at 193.69 %

OPERATING PROFIT(Q)

Lowest at CNY 77.1 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 8.38 %

Here's what is working for China Kings Resources Group Co., Ltd.

Net Profit

At CNY 151.39 MM has Grown at 108.44%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (CNY MM)

Net Sales

At CNY 3,081.94 MM has Grown at 24%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Cash and Eqv

Highest at CNY 1,085.9 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Inventory Turnover Ratio

Highest at 4.15 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Here's what is not working for China Kings Resources Group Co., Ltd.

Interest

At CNY 26.68 MM has Grown at 13.25%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Interest Coverage Ratio

Lowest at 289.01

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Pre-Tax Profit

At CNY 45.92 MM has Fallen at -46.84%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Operating Profit

Lowest at CNY 77.1 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 8.38 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Debt-Equity Ratio

Highest at 193.69 %

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

Raw Material Cost

Grown by 16.77% (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