China Wuyi Co., Ltd. (000797) 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 Wuyi Co., Ltd.

Why is China Wuyi Co., Ltd. ?

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 0.96% and Operating profit at -31.85% 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 5.11% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 0.96% and Operating profit at -31.85% over the last 5 years

With a fall in PBT of -36.03%, the company declared Very Negative results in Sep 25

The company has declared negative results for the last 3 consecutive quarters
The company has declared negative results in Sep 24 after 4 consecutive negative quarters
NET PROFIT(HY) At CNY -102.86 MM has Grown at -3,035.19%
INTEREST(HY) At CNY 93.46 MM has Grown at 13.21%
NET SALES(Q) At CNY 770.28 MM has Fallen at -46.9%

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 -7.19%, its profits have fallen by -127.5%

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 Furniture, Home Furnishing)

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

Is China Wuyi Co., Ltd. for you?

High Risk, Medium Return

Absolute

Risk Adjusted

Volatility

China Wuyi Co., Ltd.

-0.71%

0.19

48.58%

China Shanghai Composite

13.33%

0.90

14.74%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

0.96%

EBIT Growth (5y)

-31.85%

EBIT to Interest (avg)

5.85

Debt to EBITDA (avg)

7.70

Net Debt to Equity (avg)

1.27

Sales to Capital Employed (avg)

0.51

Tax Ratio

82.74%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

6.79%

ROE (avg)

5.11%

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

0.84

EV to EBIT

57.17

EV to EBITDA

36.66

EV to Capital Employed

0.93

EV to Sales

2.24

PEG Ratio

Dividend Yield

ROCE (Latest)

1.63%

ROE (Latest)

-4.77%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Bearish

Bullish

Dow Theory

Mildly Bearish

OBV

No Trend

Mildly Bearish

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

2What is working for the Company

CASH AND EQV(HY)

Highest at CNY 7,242.29 MM

NET PROFIT(Q)

At CNY -54.75 MM has Grown at 64.7%

-36What is not working for the Company

NET PROFIT(HY)

At CNY -102.86 MM has Grown at -3,035.19%

INTEREST(HY)

At CNY 93.46 MM has Grown at 13.21%

NET SALES(Q)

At CNY 770.28 MM has Fallen at -46.9%

ROCE(HY)

Lowest at -3.3%

DEBT-EQUITY RATIO (HY)

Highest at 131.64 %

OPERATING PROFIT(Q)

Lowest at CNY -8.37 MM

OPERATING PROFIT MARGIN(Q)

Lowest at -1.09 %

RAW MATERIAL COST(Y)

Grown by 60.74% (YoY

INVENTORY TURNOVER RATIO(HY)

Lowest at 0.25 times

DEBTORS TURNOVER RATIO(HY)

Lowest at 1.83 times

Here's what is working for China Wuyi Co., Ltd.

Net Profit

At CNY -54.75 MM has Grown at 64.7%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

Cash and Eqv

Highest at CNY 7,242.29 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Here's what is not working for China Wuyi Co., Ltd.

Net Sales

At CNY 770.28 MM has Fallen at -46.9%

Year on Year (YoY)

MOJO Watch

Near term sales trend is extremely negative

Net Sales (CNY MM)

Interest

At CNY 93.46 MM has Grown at 13.21%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Operating Profit

Lowest at CNY -8.37 MM and Fallen

In each period in the last five periods

MOJO Watch

Near term Operating Profit trend is quite negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at -1.09 % and Fallen

In each period in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Debt-Equity Ratio

Highest at 131.64 % and Grown

In each half year 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 0.25 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Debtors Turnover Ratio

Lowest at 1.83 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Raw Material Cost

Grown by 60.74% (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