Dongguan Kingsun Optoelectronic Co., Ltd. (002638) 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

Dongguan Kingsun Optoelectronic Co., Ltd.

Why is Dongguan Kingsun Optoelectronic Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 0%

The company has reported losses and also has negative networth. This is not a good sign for the investors. Either company will have to raise fresh capital or report profits to sustain going forward

Poor long term growth as Net Sales has grown by an annual rate of -20.37% and Operating profit at -215.20% over the last 5 years

Flat results in Mar 26

NET SALES(HY) At CNY 188.59 MM has Grown at -20.44%
NET PROFIT(9M) At CNY -325.41 MM has Grown at -35.59%

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of 70.69%, its profits have fallen by -34.2%

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 Tour, Travel Related Services)

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

Is Dongguan Kingsun Optoelectronic Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Dongguan Kingsun Optoelectronic Co., Ltd.

65.69%

2.95

48.50%

China Shanghai Composite

21.43%

1.55

13.83%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-20.37%

EBIT Growth (5y)

-215.20%

EBIT to Interest (avg)

-127.50

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

-0.37

Sales to Capital Employed (avg)

0.17

Tax Ratio

0.63%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

ROE (avg)

0.65%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

2.17

EV to EBIT

-32.28

EV to EBITDA

-40.68

EV to Capital Employed

3.85

EV to Sales

8.51

PEG Ratio

Dividend Yield

ROCE (Latest)

-11.91%

ROE (Latest)

-18.38%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

Mildly Bullish

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

9What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -35.85% (YoY

CASH AND EQV(HY)

Highest at CNY 2,321.07 MM

DEBT-EQUITY RATIO (HY)

Lowest at -59.01 %

INVENTORY TURNOVER RATIO(HY)

Highest at 3.29 times

NET SALES(Q)

At CNY 113.48 MM has Grown at 17.86%

PRE-TAX PROFIT(Q)

At CNY -23.46 MM has Grown at 57.2%

NET PROFIT(Q)

At CNY -24.9 MM has Grown at 69.9%

-12What is not working for the Company

NET SALES(HY)

At CNY 188.59 MM has Grown at -20.44%

NET PROFIT(9M)

At CNY -325.41 MM has Grown at -35.59%

Here's what is working for Dongguan Kingsun Optoelectronic Co., Ltd.

Net Sales

At CNY 113.48 MM has Grown at 17.86%

over average net sales of the previous four periods of CNY 96.28 MM

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Pre-Tax Profit

At CNY -23.46 MM has Grown at 57.2%

over average net sales of the previous four periods of CNY -54.81 MM

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

At CNY -24.9 MM has Grown at 69.9%

over average net sales of the previous four periods of CNY -82.73 MM

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

Cash and Eqv

Highest at CNY 2,321.07 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio

Lowest at -59.01 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Inventory Turnover Ratio

Highest at 3.29 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 -35.85% (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