Chongqing Shunbo Aluminum Co., Ltd. (002996) 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 Shunbo Aluminum Co., Ltd.

Why is Chongqing Shunbo Aluminum Co., Ltd. ?

The company is Net-Debt Free

Poor long term growth as Net Sales has grown by an annual rate of 23.88% and Operating profit at -38.11% over the last 5 years
The company is Net-Debt Free
The company has been able to generate a Return on Equity (avg) of 9.20% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 23.88% and Operating profit at -38.11% over the last 5 years

With ROE of 6.98%, it has a very expensive valuation with a 0.74 Price to Book Value

Over the past year, while the stock has generated a return of -10.13%, its profits have risen by 72.7% ; the PEG ratio of the company is 0.3
At the current price, the company has a high dividend yield of 1.9

Below par performance in long term as well as near term

Along with generating -10.13% returns in the last 1 year, the stock has also underperformed China Shanghai Composite in the last 3 years, 1 year and 3 months

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 Non - Ferrous Metals)

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

Is Chongqing Shunbo Aluminum Co., Ltd. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Chongqing Shunbo Aluminum Co., Ltd.

-12.71%

0.05

33.74%

China Shanghai Composite

23.91%

1.73

13.79%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

23.88%

EBIT Growth (5y)

-38.11%

EBIT to Interest (avg)

11.61

Debt to EBITDA (avg)

37.78

Net Debt to Equity (avg)

2.02

Sales to Capital Employed (avg)

1.27

Tax Ratio

11.07%

Dividend Payout Ratio

32.80%

Pledged Shares

Institutional Holding

ROCE (avg)

11.62%

ROE (avg)

9.20%

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

0.74

EV to EBIT

98.21

EV to EBITDA

46.70

EV to Capital Employed

0.92

EV to Sales

0.62

PEG Ratio

0.27

Dividend Yield

1.91%

ROCE (Latest)

0.94%

ROE (Latest)

6.98%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Bullish

Dow Theory

Mildly Bearish

OBV

No Trend

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

14What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -17.07% (YoY

CASH AND EQV(HY)

Highest at CNY 9,171.93 MM

OPERATING PROFIT(Q)

Highest at CNY 133.91 MM

OPERATING PROFIT MARGIN(Q)

Highest at 3.51 %

PRE-TAX PROFIT(Q)

Highest at CNY 162.87 MM

NET PROFIT(Q)

Highest at CNY 143.63 MM

EPS(Q)

Highest at CNY 0.18

-3What is not working for the Company

INTEREST(Q)

At CNY 23.33 MM has Grown at inf%

Here's what is working for Chongqing Shunbo Aluminum Co., Ltd.

Operating Profit

Highest at CNY 133.91 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (CNY MM)

Operating Profit Margin

Highest at 3.51 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at CNY 162.87 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

Highest at CNY 143.63 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY 0.18

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Cash and Eqv

Highest at CNY 9,171.93 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Raw Material Cost

Fallen by -17.07% (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 Shunbo Aluminum Co., Ltd.

Interest

At CNY 23.33 MM has Grown at inf%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)