Why is China State Construction Engineering Corp. Ltd. ?
1
High Debt Company with a Debt to Equity ratio (avg) at times
- Poor long term growth as Net Sales has grown by an annual rate of 8.15% and Operating profit at 1.21% over the last 5 years
- High Debt Company with a Debt to Equity ratio (avg) at times
- The company has been able to generate a Return on Equity (avg) of 19.30% signifying low profitability per unit of shareholders funds
2
Poor long term growth as Net Sales has grown by an annual rate of 8.15% and Operating profit at 1.21% over the last 5 years
3
Negative results in Mar 25
- NET PROFIT(9M) At CNY 31,754.06 MM has Grown at -21.05%
- ROCE(HY) Lowest at 10.26%
- DEBTORS TURNOVER RATIO(HY) Lowest at 2.68%
4
With ROE of 13.25%, it has a fair valuation with a 0.48 Price to Book Value
- Over the past year, while the stock has generated a return of -13.14%, its profits have fallen by -14.8%
5
Below par performance in long term as well as near term
- Along with generating -13.14% 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 Construction)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is China State Construction Engineering Corp. Ltd. for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
China State Construction Engineering Corp. Ltd.
-100.0%
-0.33
17.06%
China Shanghai Composite
15.19%
1.01
14.58%
Quality key factors
Factor
Value
Sales Growth (5y)
8.15%
EBIT Growth (5y)
1.21%
EBIT to Interest (avg)
6.15
Debt to EBITDA (avg)
3.98
Net Debt to Equity (avg)
1.22
Sales to Capital Employed (avg)
1.69
Tax Ratio
22.59%
Dividend Payout Ratio
24.44%
Pledged Shares
0
Institutional Holding
0.00%
ROCE (avg)
12.70%
ROE (avg)
19.30%
Valuation Key Factors 
Factor
Value
P/E Ratio
4
Industry P/E
Price to Book Value
0.48
EV to EBIT
8.21
EV to EBITDA
7.10
EV to Capital Employed
0.76
EV to Sales
0.37
PEG Ratio
NA
Dividend Yield
4.96%
ROCE (Latest)
9.28%
ROE (Latest)
13.25%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Mildly Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Bearish
Dow Theory
Mildly Bearish
No Trend
OBV
Mildly Bearish
No Trend
Technical Movement
4What is working for the Company
RAW MATERIAL COST(Y)
Fallen by 1.2% (YoY
CASH AND EQV(HY)
Highest at CNY 790,146.51 MM
NET PROFIT(Q)
Highest at CNY 15,014 MM
EPS(Q)
Highest at CNY 0.36
-5What is not working for the Company
NET PROFIT(9M)
At CNY 31,754.06 MM has Grown at -21.05%
ROCE(HY)
Lowest at 10.26%
DEBTORS TURNOVER RATIO(HY)
Lowest at 2.68%
Here's what is working for China State Construction Engineering Corp. Ltd.
Net Profit
Highest at CNY 15,014 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (CNY MM)
EPS
Highest at CNY 0.36
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (CNY)
Cash and Eqv
Highest at CNY 790,146.51 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Raw Material Cost
Fallen by 1.2% (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 State Construction Engineering Corp. Ltd.
Debtors Turnover Ratio
Lowest at 2.68%
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio






