Dehua TB New Decoration Material Co., Ltd. (002043) 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

Dehua TB New Decoration Material Co., Ltd.

Why is Dehua TB New Decoration Material Co., Ltd. ?

Positive results in Sep 25

DEBTORS TURNOVER RATIO(HY) Highest at 10.54 times
RAW MATERIAL COST(Y) Fallen by 0.88% (YoY)
CASH AND EQV(HY) Highest at CNY 4,305.23 MM

With ROE of 19.61%, it has a very attractive valuation with a 2.83 Price to Book Value

Over the past year, while the stock has generated a return of 33.27%, its profits have fallen by -11.3%
At the current price, the company has a high dividend yield of 5.8

Market Beating Performance

The stock has generated a return of 33.27% in the last 1 year, much higher than market (China Shanghai Composite) returns of 15.17%

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Dehua TB New Decoration Material Co., Ltd. should be less than 10%
Overall Portfolio exposure to Paper, Forest & Jute Products should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Paper, Forest & Jute Products)

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

Is Dehua TB New Decoration Material Co., Ltd. for you?

Medium Risk, High Return

Absolute

Risk Adjusted

Volatility

Dehua TB New Decoration Material Co., Ltd.

37.61%

0.97

33.50%

China Shanghai Composite

15.17%

1.02

14.86%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

11.42%

EBIT Growth (5y)

3.42%

EBIT to Interest (avg)

53.37

Debt to EBITDA (avg)

0.33

Net Debt to Equity (avg)

-0.40

Sales to Capital Employed (avg)

2.77

Tax Ratio

25.32%

Dividend Payout Ratio

83.25%

Pledged Shares

Institutional Holding

ROCE (avg)

29.92%

ROE (avg)

24.52%

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

2.83

EV to EBIT

11.19

EV to EBITDA

9.54

EV to Capital Employed

6.06

EV to Sales

0.76

PEG Ratio

Dividend Yield

5.78%

ROCE (Latest)

54.14%

ROE (Latest)

19.61%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Sideways

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

Mildly Bullish

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

6What is working for the Company

DEBTORS TURNOVER RATIO(HY)

Highest at 10.54 times

RAW MATERIAL COST(Y)

Fallen by 0.88% (YoY

CASH AND EQV(HY)

Highest at CNY 4,305.23 MM

DEBT-EQUITY RATIO (HY)

Lowest at -64.64 %

EPS(Q)

Highest at CNY 0.44

-7What is not working for the Company

INTEREST(HY)

At CNY 1.87 MM has Grown at 17.7%

OPERATING CASH FLOW(Y)

Lowest at CNY 1,208.44 MM

PRE-TAX PROFIT(Q)

Fallen at -35.13%

NET PROFIT(Q)

Fallen at -36.78%

Here's what is working for Dehua TB New Decoration Material Co., Ltd.

Debtors Turnover Ratio

Highest at 10.54 times and Grown

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

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

EPS

Highest at CNY 0.44

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Cash and Eqv

Highest at CNY 4,305.23 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio

Lowest at -64.64 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Raw Material Cost

Fallen by 0.88% (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 Dehua TB New Decoration Material Co., Ltd.

Interest

At CNY 1.87 MM has Grown at 17.7%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Operating Cash Flow

Lowest at CNY 1,208.44 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CNY MM)

Pre-Tax Profit

Fallen at -35.13%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (CNY MM)

Net Profit

Fallen at -36.78%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CNY MM)