Cho Lon Water Supply JSC (CLW) 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

Cho Lon Water Supply JSC

Binh Duong Water Environment Corp. JSC

Thu Dau Mot Water JSC

Sai Gon Water Infrastructure Corp.

Dong Nai Water JSC

Why is Cho Lon Water Supply JSC ?

High Management Efficiency with a high ROE of 12.28%

Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 8.35

Poor long term growth as Net Sales has grown by an annual rate of 1.82% over the last 5 years

Flat results in Dec 25

INTEREST COVERAGE RATIO(Q) Lowest at 1,065.38
DEBT-EQUITY RATIO (HY) Highest at -17.1 %
DIVIDEND PER SHARE(HY) Lowest at VND 22.33

With ROE of 19.63%, it has a fair valuation with a 2.49 Price to Book Value

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -3.46%, its profits have risen by 42.1% ; the PEG ratio of the company is 0.3
At the current price, the company has a high dividend yield of 4.4

Underperformed the market in the last 1 year

Even though the market (Vietnam VN Ho Chi Minh Index) has generated returns of 43.59% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -3.46% returns

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Cho Lon Water Supply JSC should be less than 10%
Overall Portfolio exposure to Other Utilities should be less than 30%

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

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

Is Cho Lon Water Supply JSC for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Cho Lon Water Supply JSC

-100.0%

0.46

39.96%

Vietnam VN Ho Chi Minh Index

43.59%

1.93

22.62%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

1.82%

EBIT Growth (5y)

33.61%

EBIT to Interest (avg)

8.35

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.05

Sales to Capital Employed (avg)

3.90

Tax Ratio

20.30%

Dividend Payout Ratio

48.20%

Pledged Shares

Institutional Holding

ROCE (avg)

29.77%

ROE (avg)

12.28%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

2.49

EV to EBIT

9.23

EV to EBITDA

5.54

EV to Capital Employed

2.90

EV to Sales

0.42

PEG Ratio

0.30

Dividend Yield

4.40%

ROCE (Latest)

31.39%

ROE (Latest)

19.63%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Mildly Bearish

RSI

Bearish

No Signal

Bollinger Bands

Mildly Bullish

Sideways

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bullish

Mildly Bearish

Dow Theory

No Trend

Bearish

OBV

Mildly 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 PROFIT(HY)

At VND 27,112.58 MM has Grown at 58.3%

ROCE(HY)

Highest at 21.77%

RAW MATERIAL COST(Y)

Fallen by -36.26% (YoY

-6What is not working for the Company

INTEREST COVERAGE RATIO(Q)

Lowest at 1,065.38

DEBT-EQUITY RATIO (HY)

Highest at -17.1 %

DIVIDEND PER SHARE(HY)

Lowest at VND 22.33

OPERATING PROFIT(Q)

Lowest at VND 15,425.23 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 4.75 %

Here's what is working for Cho Lon Water Supply JSC

Net Profit

At VND 27,112.58 MM has Grown at 58.3%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is positive

Net Profit (VND MM)

Raw Material Cost

Fallen by -36.26% (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 Cho Lon Water Supply JSC

Interest Coverage Ratio

Lowest at 1,065.38

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Operating Profit

Lowest at VND 15,425.23 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (VND MM)

Operating Profit Margin

Lowest at 4.75 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Debt-Equity Ratio

Highest at -17.1 %

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

Dividend per share

Lowest at VND 22.33

in the last five years

MOJO Watch

Company is distributing lower dividend than previous years

DPS (VND)