Chongqing Sanxia Paints Co., Ltd. (000565) 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

Chongqing Sanxia Paints Co., Ltd.

Why is Chongqing Sanxia Paints Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 0.53%

The company has been able to generate a Return on Capital Employed (avg) of 0.53% 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 -3.43% and Operating profit at -238.28% over the last 5 years

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

DEBT-EQUITY RATIO (HY) Highest at -1.68 %
DEBTORS TURNOVER RATIO(HY) Lowest at 2.29 times
INTEREST(Q) Highest at CNY 1.41 MM

With ROE of 0.28%, it has a very expensive valuation with a 2.82 Price to Book Value

Over the past year, while the stock has generated a return of -13.35%, its profits have fallen by -14.8%

Underperformed the market in the last 1 year

Even though the market (China Shanghai Composite) has generated returns of 25.05% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -13.35% returns

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Chongqing Sanxia Paints Co., Ltd. should be less than 10%
Overall Portfolio exposure to Other Industrial Products should be less than 30%

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

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

Is Chongqing Sanxia Paints Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Chongqing Sanxia Paints Co., Ltd.

-13.35%

1.80

49.77%

China Shanghai Composite

24.7%

1.93

12.95%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-3.43%

EBIT Growth (5y)

-238.28%

EBIT to Interest (avg)

-2.51

Debt to EBITDA (avg)

Net Debt is too low

Net Debt to Equity (avg)

-0.04

Sales to Capital Employed (avg)

0.29

Tax Ratio

1.86%

Dividend Payout Ratio

148.51%

Pledged Shares

Institutional Holding

ROCE (avg)

0.53%

ROE (avg)

2.70%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

1007

Industry P/E

Price to Book Value

2.82

EV to EBIT

-71.66

EV to EBITDA

-112.49

EV to Capital Employed

2.91

EV to Sales

10.08

PEG Ratio

Dividend Yield

0.18%

ROCE (Latest)

-4.07%

ROE (Latest)

0.28%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Mildly Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

No Trend

OBV

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

11What is working for the Company

NET PROFIT(HY)

Higher at CNY 11.24 MM

ROCE(HY)

Highest at 0.47%

RAW MATERIAL COST(Y)

Fallen by -28.61% (YoY

NET SALES(Q)

Highest at CNY 109.71 MM

-8What is not working for the Company

DEBT-EQUITY RATIO (HY)

Highest at -1.68 %

DEBTORS TURNOVER RATIO(HY)

Lowest at 2.29 times

INTEREST(Q)

Highest at CNY 1.41 MM

Here's what is working for Chongqing Sanxia Paints Co., Ltd.

Net Profit

At CNY 11.24 MM has Grown at 193.86%

Year on Year (YoY)

MOJO Watch

Net Profit trend is very positive

Net Profit (CNY MM)

Net Profit

Higher at CNY 11.24 MM

than preceding 12 month period ended Sep 2025

MOJO Watch

In the half year the company has already crossed Net Profit of the previous twelve months

Net Profit (CNY MM)

Net Sales

Highest at CNY 109.71 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Raw Material Cost

Fallen by -28.61% (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 Chongqing Sanxia Paints Co., Ltd.

Interest

At CNY 1.41 MM has Grown at 10.3%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Debt-Equity Ratio

Highest at -1.68 % 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

Interest

Highest at CNY 1.41 MM

in the last five periods and Increased by 10.3% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Debtors Turnover Ratio

Lowest at 2.29 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio