Dazzle Fashion Co., Ltd. (603587) 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

Dazzle Fashion Co., Ltd.

Why is Dazzle Fashion Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of -1.42% and Operating profit at -23.77% over the last 5 years

The company has declared Negative results for the last 5 consecutive quarters

NET PROFIT(9M) At CNY 214.63 MM has Grown at -23.04%
ROCE(HY) Lowest at 7.19%
CASH AND EQV(HY) Lowest at CNY 5,690.19 MM

With ROE of 6.14%, it has a fair valuation with a 1.66 Price to Book Value

Over the past year, while the stock has generated a return of 5.28%, its profits have fallen by -46.2%
At the current price, the company has a high dividend yield of 4

Underperformed the market in the last 1 year

The stock has generated a return of 5.28% in the last 1 year, much lower than market (China Shanghai Composite) returns of 22.49%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Dazzle Fashion Co., Ltd. should be less than 10%
Overall Portfolio exposure to Footwear should be less than 30%

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

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

Is Dazzle Fashion Co., Ltd. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Dazzle Fashion Co., Ltd.

-10.88%

0.02

27.43%

China Shanghai Composite

8.25%

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)

-5.04%

EBIT Growth (5y)

-19.87%

EBIT to Interest (avg)

43.57

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.77

Sales to Capital Employed (avg)

0.59

Tax Ratio

21.48%

Dividend Payout Ratio

71.63%

Pledged Shares

Institutional Holding

ROCE (avg)

51.78%

ROE (avg)

13.27%

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

1.41

EV to EBIT

9.70

EV to EBITDA

6.04

EV to Capital Employed

2.40

EV to Sales

1.21

PEG Ratio

1.11

Dividend Yield

ROCE (Latest)

24.72%

ROE (Latest)

7.69%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

No Trend

OBV

Mildly Bearish

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

10What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -4.22% (YoY

DEBTORS TURNOVER RATIO(HY)

Highest at 18.34 times

PRE-TAX PROFIT(Q)

Highest at CNY 130.75 MM

NET PROFIT(Q)

Highest at CNY 100.64 MM

EPS(Q)

Highest at CNY 0.22

-8What is not working for the Company

INVENTORY TURNOVER RATIO(HY)

Lowest at 1.3 times

INTEREST(Q)

At CNY 1.57 MM has Grown at 218.59%

CASH AND EQV(HY)

Lowest at CNY 5,513.44 MM

DEBT-EQUITY RATIO (HY)

Highest at -69.33 %

OPERATING PROFIT(Q)

Lowest at CNY 72.97 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 14.46 %

Here's what is working for Dazzle Fashion Co., Ltd.

Pre-Tax Profit

Highest at CNY 130.75 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 100.64 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY 0.22

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Debtors Turnover Ratio

Highest at 18.34 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by -4.22% (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 Dazzle Fashion Co., Ltd.

Interest

At CNY 1.57 MM has Grown at 218.59%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Inventory Turnover Ratio

Lowest at 1.3 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

Operating Profit

Lowest at CNY 72.97 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 14.46 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Cash and Eqv

Lowest at CNY 5,513.44 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debt-Equity Ratio

Highest at -69.33 %

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

Non Operating Income

Highest at CNY 0.45 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income