Why is China Reform Health Management & Services Group Co., Ltd. ?
1
Poor Management Efficiency with a low ROCE of 0%
- The company has reported losses and also has negative networth. This is not a good sign for the investors. Either company will have to raise fresh capital or report profits to sustain going forward
2
Poor long term growth as Net Sales has grown by an annual rate of 10.00% and Operating profit at 5.72% over the last 5 years
3
The company has declared negative results for the last 4 consecutive quarters
- NET PROFIT(HY) At CNY -53.28 MM has Grown at -69.97%
- INTEREST(HY) At CNY 6.05 MM has Grown at 26.59%
- ROCE(HY) Lowest at -35.1%
4
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 -39.64%, its profits have fallen by -535.4%
5
Below par performance in long term as well as near term
- Along with generating -39.64% returns in the last 1 year, the stock has also underperformed China Shanghai Composite in the last 3 years, 1 year and 3 months
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 Computers - Software & Consulting)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is China Reform Health Management & Services Group Co., Ltd. for you?
Medium Risk, Low Return
Absolute
Risk Adjusted
Volatility
China Reform Health Management & Services Group Co., Ltd.
-33.3%
-0.47
33.02%
China Shanghai Composite
3.23%
1.20
14.07%
Quality key factors
Factor
Value
Sales Growth (5y)
10.00%
EBIT Growth (5y)
5.72%
EBIT to Interest (avg)
-32.21
Debt to EBITDA (avg)
Negative Net Debt
Net Debt to Equity (avg)
-0.79
Sales to Capital Employed (avg)
0.23
Tax Ratio
0.13%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
0
ROE (avg)
0
Valuation Key Factors 
Factor
Value
P/E Ratio
NA (Loss Making)
Industry P/E
Price to Book Value
6.49
EV to EBIT
-38.72
EV to EBITDA
-49.53
EV to Capital Employed
7.39
EV to Sales
17.39
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
-19.08%
ROE (Latest)
-15.23%
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Mildly Bearish
Moving Averages
Mildly Bearish (Daily)
KST
Mildly Bullish
Bearish
Dow Theory
Mildly Bearish
Mildly Bullish
OBV
Mildly Bearish
Mildly Bullish
Technical Movement
5What is working for the Company
NET PROFIT(HY)
Higher at CNY -102.27 MM
RAW MATERIAL COST(Y)
Fallen by -1.12% (YoY
DEBTORS TURNOVER RATIO(HY)
Highest at 1.75 times
-19What is not working for the Company
ROCE(HY)
Lowest at -33.59%
DEBT-EQUITY RATIO
(HY)
Highest at -47.8 %
INTEREST(Q)
Highest at CNY 3.22 MM
PRE-TAX PROFIT(Q)
Lowest at CNY -57.54 MM
NET PROFIT(Q)
Lowest at CNY -53.64 MM
Here's what is working for China Reform Health Management & Services Group Co., Ltd.
Debtors Turnover Ratio
Highest at 1.75 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Raw Material Cost
Fallen by -1.12% (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 Reform Health Management & Services Group Co., Ltd.
Debt-Equity Ratio
Highest at -47.8 % and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
Interest
Highest at CNY 3.22 MM
in the last five periods and Increased by 8.91% (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (CNY MM)
Pre-Tax Profit
Lowest at CNY -57.54 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is negative
Pre-Tax Profit (CNY MM)
Net Profit
Lowest at CNY -53.64 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is negative
Net Profit (CNY MM)






