Chipsea Technologies (Shenzhen) Corp., Ltd. (688595) 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

Chipsea Technologies (Shenzhen) Corp., Ltd.

Why is Chipsea Technologies (Shenzhen) Corp., Ltd. ?

Poor Management Efficiency with a low ROCE of 3.61%

The company has been able to generate a Return on Capital Employed (avg) of 3.61% 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 17.37% and Operating profit at -217.14% over the last 5 years

The company has declared Negative results for the last 3 consecutive quarters

INTEREST(HY) At CNY 7.79 MM has Grown at 88.66%
DEBT-EQUITY RATIO (HY) Highest at 37.16 %

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 -9.69%, its profits have fallen by -18.4%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -9.69% 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 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 Electronics & Appliances)

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

Is Chipsea Technologies (Shenzhen) Corp., Ltd. for you?

High Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Chipsea Technologies (Shenzhen) Corp., Ltd.

10.7%

0.46

49.45%

China Shanghai Composite

21.43%

1.58

14.20%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

16.14%

EBIT Growth (5y)

-229.82%

EBIT to Interest (avg)

0.46

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

0.29

Sales to Capital Employed (avg)

0.51

Tax Ratio

12.76%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

3.61%

ROE (avg)

3.68%

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

7.44

EV to EBIT

-35.90

EV to EBITDA

-52.70

EV to Capital Employed

5.41

EV to Sales

6.49

PEG Ratio

Dividend Yield

ROCE (Latest)

-15.06%

ROE (Latest)

-16.36%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Mildly Bearish

Dow Theory

Mildly Bullish

OBV

No Trend

Bullish

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

10What is working for the Company

NET SALES(HY)

At CNY 410.93 MM has Grown at 18.66%

NET PROFIT(HY)

Higher at CNY -81.47 MM

DEBTORS TURNOVER RATIO(HY)

Highest at 4.54 times

RAW MATERIAL COST(Y)

Fallen by -2.22% (YoY

-16What is not working for the Company

INTEREST(HY)

At CNY 6.34 MM has Grown at 27.53%

NET SALES(Q)

At CNY 177.5 MM has Fallen at -16.22%

DEBT-EQUITY RATIO (HY)

Highest at 49.1 %

NET PROFIT(Q)

At CNY -38.99 MM has Fallen at -47.82%

CASH AND EQV(HY)

Lowest at CNY 529.47 MM

Here's what is working for Chipsea Technologies (Shenzhen) Corp., Ltd.

Debtors Turnover Ratio

Highest at 4.54 times and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by -2.22% (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 Chipsea Technologies (Shenzhen) Corp., Ltd.

Interest

At CNY 6.34 MM has Grown at 27.53%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Net Sales

At CNY 177.5 MM has Fallen at -16.22%

over average net sales of the previous four periods of CNY 211.85 MM

MOJO Watch

Near term sales trend is extremely negative

Net Sales (CNY MM)

Net Profit

At CNY -38.99 MM has Fallen at -47.82%

over average net sales of the previous four periods of CNY -26.37 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Debt-Equity Ratio

Highest at 49.1 % 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

Cash and Eqv

Lowest at CNY 529.47 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents