Dongguan Tarry Electronics Co. Ltd. () 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 Tarry Electronics Co. Ltd.

Why is Dongguan Tarry Electronics Co. Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of 25.90% and Operating profit at 9.97% over the last 5 years

The company has declared Positive results for the last 4 consecutive quarters

OPERATING CASH FLOW(Y) Highest at CNY 152.05 MM
ROCE(HY) Highest at 8.45%
NET SALES(Q) Highest at CNY 873.46 MM

With ROE of 8.65%, it has a attractive valuation with a 2.68 Price to Book Value

Over the past year, while the stock has generated a return of 13.70%, its profits have risen by 94.3% ; the PEG ratio of the company is 0.8

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Dongguan Tarry Electronics Co. Ltd. should be less than 10%
Overall Portfolio exposure to Electronics & Appliances should be less than 30%

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

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

Is Dongguan Tarry Electronics Co. Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Dongguan Tarry Electronics Co. Ltd.

13.7%

1.62

54.80%

China Shanghai Composite

17.07%

1.14

14.96%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

25.90%

EBIT Growth (5y)

9.97%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.32

Sales to Capital Employed (avg)

0.62

Tax Ratio

13.56%

Dividend Payout Ratio

30.69%

Pledged Shares

Institutional Holding

ROCE (avg)

16.89%

ROE (avg)

9.80%

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

2.68

EV to EBIT

25.23

EV to EBITDA

18.97

EV to Capital Employed

3.78

EV to Sales

2.76

PEG Ratio

0.80

Dividend Yield

ROCE (Latest)

14.97%

ROE (Latest)

8.65%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bearish

Bullish

Dow Theory

Mildly Bearish

OBV

Mildly Bearish

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

13What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 152.05 MM

ROCE(HY)

Highest at 8.45%

NET SALES(Q)

Highest at CNY 873.46 MM

NET PROFIT(Q)

Highest at CNY 97.46 MM

EPS(Q)

Highest at CNY 0.75

-12What is not working for the Company

INTEREST(HY)

At CNY 0.96 MM has Grown at 172.34%

DEBT-EQUITY RATIO (HY)

Highest at -30.81 %

RAW MATERIAL COST(Y)

Grown by 7.12% (YoY

OPERATING PROFIT MARGIN(Q)

Lowest at 12.24 %

Here's what is working for Dongguan Tarry Electronics Co. Ltd.

Operating Cash Flow

Highest at CNY 152.05 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Net Sales

Highest at CNY 873.46 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Net Sales

At CNY 873.46 MM has Grown at 29.48%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Net Profit

Highest at CNY 97.46 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY 0.75

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Here's what is not working for Dongguan Tarry Electronics Co. Ltd.

Interest

At CNY 0.96 MM has Grown at 172.34%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Debt-Equity Ratio

Highest at -30.81 % and Grown

In each half year 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

Operating Profit Margin

Lowest at 12.24 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Raw Material Cost

Grown by 7.12% (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