Why is China National Chemical Engineering Co., Ltd. ?
1
With ROE of 9.90%, it has a very attractive valuation with a 0.69 Price to Book Value
- Over the past year, while the stock has generated a return of 25.69%, its profits have risen by 5.7%
- At the current price, the company has a high dividend yield of 2.5
How much should you buy?
- Overall Portfolio exposure to China National Chemical Engineering Co., Ltd. should be less than 10%
- Overall Portfolio exposure to Construction should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Construction)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is China National Chemical Engineering Co., Ltd. for you?
Medium Risk, Low Return
Absolute
Risk Adjusted
Volatility
China National Chemical Engineering Co., Ltd.
15.85%
0.29
26.65%
China Shanghai Composite
13.33%
1.58
14.20%
Quality key factors
Factor
Value
Sales Growth (5y)
11.86%
EBIT Growth (5y)
12.57%
EBIT to Interest (avg)
19.93
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.16
Sales to Capital Employed (avg)
2.11
Tax Ratio
14.91%
Dividend Payout Ratio
19.85%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
17.12%
ROE (avg)
10.63%
Valuation Key Factors 
Factor
Value
P/E Ratio
7
Industry P/E
Price to Book Value
0.69
EV to EBIT
3.69
EV to EBITDA
3.06
EV to Capital Employed
0.57
EV to Sales
0.14
PEG Ratio
NA
Dividend Yield
2.50%
ROCE (Latest)
15.45%
ROE (Latest)
9.90%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
Bearish
No Signal
Bollinger Bands
Mildly Bullish
Mildly Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Bullish
Bullish
Dow Theory
Mildly Bearish
Mildly Bullish
OBV
No Trend
Bullish
Technical Movement
5What is working for the Company
OPERATING CASH FLOW(Y)
Highest at CNY 8,885.42 MM
RAW MATERIAL COST(Y)
Fallen by -14.07% (YoY
INVENTORY TURNOVER RATIO(HY)
Highest at 24.84 times
-3What is not working for the Company
INTEREST(Q)
At CNY 70.42 MM has Grown at 51.33%
DEBTORS TURNOVER RATIO(HY)
Lowest at 1.8 times
Here's what is working for China National Chemical Engineering Co., Ltd.
Operating Cash Flow
Highest at CNY 8,885.42 MM and Grown
In each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (CNY MM)
Inventory Turnover Ratio
Highest at 24.84 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Raw Material Cost
Fallen by -14.07% (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 China National Chemical Engineering Co., Ltd.
Interest
At CNY 70.42 MM has Grown at 51.33%
period on period (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (CNY MM)
Debtors Turnover Ratio
Lowest at 1.8 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio






