China Resources Chemical Innovative Materials Co., Ltd. () 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 Resources Chemical Innovative Materials Co., Ltd.

Why is China Resources Chemical Innovative Materials Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of 3.24% and Operating profit at -192.77% over the last 5 years

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 3.65%, its profits have fallen by -2.8%

Underperformed the market in the last 1 year

The stock has generated a return of 3.65% in the last 1 year, much lower than market (China Shanghai Composite) returns of 20.36%

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 Chemicals & Petrochemicals)

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

Is China Resources Chemical Innovative Materials Co., Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

China Resources Chemical Innovative Materials Co., Ltd.

3.65%

-0.07

35.61%

China Shanghai Composite

20.36%

1.53

13.29%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

3.24%

EBIT Growth (5y)

-192.77%

EBIT to Interest (avg)

99.72

Debt to EBITDA (avg)

0.30

Net Debt to Equity (avg)

-0.06

Sales to Capital Employed (avg)

2.11

Tax Ratio

9.24%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

17,635.11%

ROE (avg)

14,324.28%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

1.97

EV to EBIT

-25.85

EV to EBITDA

-37.18

EV to Capital Employed

2.12

EV to Sales

0.80

PEG Ratio

Dividend Yield

ROCE (Latest)

-8.19%

ROE (Latest)

-3.60%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

No Trend

OBV

Mildly Bearish

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

16What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 1,664.64 MM

NET PROFIT(Q)

At CNY 15.84 MM has Grown at 186.5%

DEBT-EQUITY RATIO (HY)

Lowest at -25.06 %

PRE-TAX PROFIT(Q)

At CNY 2.57 MM has Grown at 110.92%

-9What is not working for the Company

NET SALES(HY)

At CNY 5,821.77 MM has Grown at -21.44%

RAW MATERIAL COST(Y)

Grown by 200% (YoY

Here's what is working for China Resources Chemical Innovative Materials Co., Ltd.

Operating Cash Flow

Highest at CNY 1,664.64 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 (CNY MM)

Net Profit

At CNY 15.84 MM has Grown at 186.5%

over average net sales of the previous four periods of CNY -18.31 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (CNY MM)

Pre-Tax Profit

At CNY 2.57 MM has Grown at 110.92%

over average net sales of the previous four periods of CNY -23.52 MM

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Debt-Equity Ratio

Lowest at -25.06 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Here's what is not working for China Resources Chemical Innovative Materials Co., Ltd.

Net Sales

At CNY 5,821.77 MM has Grown at -21.44%

Year on Year (YoY)

MOJO Watch

Near term sales trend is very negative

Net Sales (CNY MM)

Raw Material Cost

Grown by 200% (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