Chongqing Zaisheng Technology Corp. Ltd. (603601) 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 Zaisheng Technology Corp. Ltd.

Why is Chongqing Zaisheng Technology Corp. Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of -4.34% and Operating profit at -34.20% over the last 5 years

Negative results in Sep 25

NET SALES(HY) At CNY 660.64 MM has Grown at -12.6%
INTEREST COVERAGE RATIO(Q) Lowest at 114.81
RAW MATERIAL COST(Y) Grown by 12.19% (YoY)

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 Industrial Manufacturing)

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

Is Chongqing Zaisheng Technology Corp. Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Chongqing Zaisheng Technology Corp. Ltd.

202.72%

4.37

67.21%

China Shanghai Composite

13.33%

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)

-4.34%

EBIT Growth (5y)

-34.20%

EBIT to Interest (avg)

14.91

Debt to EBITDA (avg)

Net Debt is too low

Net Debt to Equity (avg)

-0.12

Sales to Capital Employed (avg)

0.56

Tax Ratio

21.82%

Dividend Payout Ratio

78.83%

Pledged Shares

Institutional Holding

ROCE (avg)

9.06%

ROE (avg)

9.25%

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

2.46

EV to EBIT

83.72

EV to EBITDA

26.41

EV to Capital Employed

2.62

EV to Sales

3.68

PEG Ratio

0.62

Dividend Yield

0.78%

ROCE (Latest)

3.13%

ROE (Latest)

4.01%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bearish

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

5What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 431.3 MM

DEBT-EQUITY RATIO (HY)

Lowest at -22.29 %

CASH AND EQV(HY)

Highest at CNY 1,805.26 MM

-19What is not working for the Company

NET SALES(HY)

At CNY 660.64 MM has Grown at -12.6%

INTEREST COVERAGE RATIO(Q)

Lowest at 114.81

RAW MATERIAL COST(Y)

Grown by 12.19% (YoY

INTEREST(Q)

Highest at CNY 7.51 MM

OPERATING PROFIT(Q)

Lowest at CNY 8.62 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 2.64 %

Here's what is working for Chongqing Zaisheng Technology Corp. Ltd.

Debt-Equity Ratio

Lowest at -22.29 % and Grown

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

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Operating Cash Flow

Highest at CNY 431.3 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Cash and Eqv

Highest at CNY 1,805.26 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 Chongqing Zaisheng Technology Corp. Ltd.

Interest

At CNY 7.51 MM has Grown at 26.84%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Interest Coverage Ratio

Lowest at 114.81

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Net Sales

At CNY 660.64 MM has Grown at -12.6%

Year on Year (YoY)

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Interest

Highest at CNY 7.51 MM

in the last five periods and Increased by 26.84% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Operating Profit

Lowest at CNY 8.62 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 2.64 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Raw Material Cost

Grown by 12.19% (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