CITIC Guoan Information Industry Co., Ltd. (000839) 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

CITIC Guoan Information Industry Co., Ltd.

Why is CITIC Guoan Information Industry Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 0.58%

The company has been able to generate a Return on Capital Employed (avg) of 0.58% signifying low profitability per unit of total capital (equity and debt)

The company is Net-Debt Free

Poor long term growth as Net Sales has grown by an annual rate of 8.05% and Operating profit at 15.93% over the last 5 years
The company is Net-Debt Free
The company has reported losses. Due to this company has reported negative ROE

Poor long term growth as Net Sales has grown by an annual rate of 8.05% and Operating profit at 15.93% over the last 5 years

Flat results in Mar 26

NET PROFIT(Q) At CNY -7.85 MM has Fallen at -128.83%
PRE-TAX PROFIT(Q) At CNY 39.29 MM has Fallen at -45.61%
CASH AND EQV(HY) Lowest at CNY 759.69 MM

With ROE of 6.95%, it has a fair valuation with a 7.19 Price to Book Value

Over the past year, while the stock has generated a return of 14.84%, its profits have risen by 644.7% ; the PEG ratio of the company is 0.2

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to CITIC Guoan Information Industry Co., Ltd. should be less than 10%
Overall Portfolio exposure to Telecom - Equipment & Accessories should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Telecom - Equipment & Accessories)

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

Is CITIC Guoan Information Industry Co., Ltd. for you?

High Risk, Medium Return

Absolute

Risk Adjusted

Volatility

CITIC Guoan Information Industry Co., Ltd.

8.91%

0.53

46.53%

China Shanghai Composite

21.43%

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)

8.05%

EBIT Growth (5y)

15.93%

EBIT to Interest (avg)

-5.11

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

1.49

Sales to Capital Employed (avg)

0.99

Tax Ratio

21.50%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

0.58%

ROE (avg)

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

103

Industry P/E

Price to Book Value

7.19

EV to EBIT

51.85

EV to EBITDA

38.54

EV to Capital Employed

3.89

EV to Sales

3.87

PEG Ratio

0.16

Dividend Yield

ROCE (Latest)

7.51%

ROE (Latest)

6.95%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly Bullish

Mildly Bearish

OBV

Mildly Bearish

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

13What is working for the Company

NET PROFIT(HY)

Higher at CNY 79.97 MM

ROCE(HY)

Highest at 5.93%

RAW MATERIAL COST(Y)

Fallen by -9.86% (YoY

INVENTORY TURNOVER RATIO(HY)

Highest at 2.72 times

-7What is not working for the Company

NET PROFIT(Q)

At CNY -7.85 MM has Fallen at -128.83%

PRE-TAX PROFIT(Q)

At CNY 39.29 MM has Fallen at -45.61%

CASH AND EQV(HY)

Lowest at CNY 759.69 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 4.95 %

Here's what is working for CITIC Guoan Information Industry Co., Ltd.

Inventory Turnover Ratio

Highest at 2.72 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Raw Material Cost

Fallen by -9.86% (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 CITIC Guoan Information Industry Co., Ltd.

Net Profit

At CNY -7.85 MM has Fallen at -128.83%

over average net sales of the previous four periods of CNY 27.24 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Pre-Tax Profit

At CNY 39.29 MM has Fallen at -45.61%

over average net sales of the previous four periods of CNY 72.24 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Operating Profit Margin

Lowest at 4.95 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Cash and Eqv

Lowest at CNY 759.69 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents