Dashang Co., Ltd. (600694) 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

Dashang Co., Ltd.

Why is Dashang Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of -10.11% and Operating profit at -0.02% over the last 5 years

With a fall in Net Sales of -5.06%, the company declared Very Negative results in Sep 25

OPERATING CASH FLOW(Y) Lowest at CNY 803.37 MM
ROCE(HY) Lowest at 5.72%
INVENTORY TURNOVER RATIO(HY) Lowest at 0.81 times

Below par performance in long term as well as near term

Along with generating -24.10% 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 hold?

Overall Portfolio exposure to Dashang Co., Ltd. should be less than 10%
Overall Portfolio exposure to Retailing should be less than 30%

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

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

Is Dashang Co., Ltd. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Dashang Co., Ltd.

-15.81%

0.25

33.40%

China Shanghai Composite

21.43%

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)

-5.71%

EBIT Growth (5y)

3.55%

EBIT to Interest (avg)

5.75

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.44

Sales to Capital Employed (avg)

0.70

Tax Ratio

31.10%

Dividend Payout Ratio

63.81%

Pledged Shares

Institutional Holding

ROCE (avg)

21.50%

ROE (avg)

7.34%

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

0.59

EV to EBIT

1.77

EV to EBITDA

1.12

EV to Capital Employed

0.28

EV to Sales

0.23

PEG Ratio

Dividend Yield

11.16%

ROCE (Latest)

15.88%

ROE (Latest)

5.87%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

Mildly 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

9What is working for the Company

DEBT-EQUITY RATIO (HY)

Lowest at -23.26 %

NET SALES(Q)

Highest at CNY 1,976.42 MM

PRE-TAX PROFIT(Q)

Highest at CNY 400.28 MM

NET PROFIT(Q)

Highest at CNY 273.22 MM

EPS(Q)

Highest at CNY 0.72

-8What is not working for the Company

ROCE(HY)

Lowest at 5.52%

INVENTORY TURNOVER RATIO(HY)

Lowest at 0.75 times

INTEREST(Q)

At CNY 25.63 MM has Grown at 34.99%

RAW MATERIAL COST(Y)

Grown by 5.05% (YoY

DEBTORS TURNOVER RATIO(HY)

Lowest at 13.79 times

Here's what is working for Dashang Co., Ltd.

Net Profit

At CNY 273.22 MM has Grown at 133.25%

over average net sales of the previous four periods of CNY 117.14 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (CNY MM)

Net Sales

Highest at CNY 1,976.42 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Net Sales

At CNY 1,976.42 MM has Grown at 27.46%

over average net sales of the previous four periods of CNY 1,550.56 MM

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Pre-Tax Profit

Highest at CNY 400.28 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Pre-Tax Profit

At CNY 400.28 MM has Grown at 106.61%

over average net sales of the previous four periods of CNY 193.73 MM

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

Highest at CNY 273.22 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY 0.72

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Debt-Equity Ratio

Lowest at -23.26 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Here's what is not working for Dashang Co., Ltd.

Interest

At CNY 25.63 MM has Grown at 34.99%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Inventory Turnover Ratio

Lowest at 0.75 times and Fallen

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

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Debtors Turnover Ratio

Lowest at 13.79 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Raw Material Cost

Grown by 5.05% (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