China Resources Boya Bio-pharmaceutical Group Co., Ltd. (300294) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

China Resources Boya Bio-pharmaceutical Group Co., Ltd.

Why is China Resources Boya Bio-pharmaceutical Group Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 11.74%

The company has been able to generate a Return on Capital Employed (avg) of 11.74% signifying low profitability per unit of total capital (equity and debt)

Poor long term growth as Net Sales has grown by an annual rate of -8.46% and Operating profit at -12.85% over the last 5 years

Negative results in Mar 25

INTEREST(HY) At CNY 0.63 MM has Grown at 915.96%
OPERATING CASH FLOW(Y) Lowest at CNY 233.74 MM
NET SALES(9M) At CNY 1,359.33 MM has Grown at -12.09%

With ROE of 3.29%, it has a fair valuation with a 1.38 Price to Book Value

Over the past year, while the stock has generated a return of -21.21%, its profits have risen by 43.7% ; the PEG ratio of the company is 1
At the current price, the company has a high dividend yield of 1.5

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -21.21% returns in the last 1 year, the stock has also underperformed China Shanghai Composite in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to China Resources Boya Bio-pharmaceutical Group Co., Ltd. should be less than 10%
Overall Portfolio exposure to Pharmaceuticals & Biotechnology should be less than 30%

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

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

Is China Resources Boya Bio-pharmaceutical Group Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

China Resources Boya Bio-pharmaceutical Group Co., Ltd.

-25.86%

-1.09

19.58%

China Shanghai Composite

14.77%

1.01

15.10%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-8.46%

EBIT Growth (5y)

-12.85%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.41

Sales to Capital Employed (avg)

0.30

Tax Ratio

17.37%

Dividend Payout Ratio

40.65%

Pledged Shares

Institutional Holding

ROCE (avg)

11.74%

ROE (avg)

4.93%

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

1.38

EV to EBIT

31.67

EV to EBITDA

19.47

EV to Capital Employed

1.62

EV to Sales

4.14

PEG Ratio

0.96

Dividend Yield

1.53%

ROCE (Latest)

5.12%

ROE (Latest)

3.29%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

Mildly Bearish

OBV

No Trend

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

13What is working for the Company

NET PROFIT(HY)

At CNY 97.91 MM has Grown at 197.39%

NET SALES(Q)

At CNY 530.63 MM has Grown at 23.66%

-17What is not working for the Company

INTEREST(HY)

At CNY 0.63 MM has Grown at 915.96%

OPERATING CASH FLOW(Y)

Lowest at CNY 233.74 MM

NET SALES(9M)

At CNY 1,359.33 MM has Grown at -12.09%

RAW MATERIAL COST(Y)

Grown by 17.83% (YoY

DEBT-EQUITY RATIO (HY)

Highest at -40.79 %

INVENTORY TURNOVER RATIO(HY)

Lowest at 0.98%

Here's what is working for China Resources Boya Bio-pharmaceutical Group Co., Ltd.

Net Profit

At CNY 97.91 MM has Grown at 197.39%

Year on Year (YoY)

MOJO Watch

Net Profit trend is very positive

Net Profit (CNY MM)

Net Sales

Highest at CNY 530.63 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Net Sales

At CNY 530.63 MM has Grown at 23.66%

over average net sales of the previous four periods of CNY 429.11 MM

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Here's what is not working for China Resources Boya Bio-pharmaceutical Group Co., Ltd.

Interest

At CNY 0.63 MM has Grown at 915.96%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Operating Cash Flow

Lowest at CNY 233.74 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)

Debt-Equity Ratio

Highest at -40.79 %

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

Inventory Turnover Ratio

Lowest at 0.98%

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Raw Material Cost

Grown by 17.83% (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

Non Operating Income

Highest at CNY 0.15 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income