DuoLun Technology Corp. Ltd. (603528) 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

DuoLun Technology Corp. Ltd.

Why is DuoLun Technology Corp. Ltd. ?

Poor Management Efficiency with a low ROCE of 3.13%

The company has been able to generate a Return on Capital Employed (avg) of 3.13% signifying low profitability per unit of total capital (equity and debt)

Poor long term growth as Net Sales has grown by an annual rate of -8.31% and Operating profit at -204.04% over the last 5 years

Negative results in Sep 25

NET SALES(HY) At CNY 207.23 MM has Grown at -18.97%
NET PROFIT(HY) At CNY -27.65 MM has Grown at -274.16%
OPERATING CASH FLOW(Y) Lowest at CNY 76.55 MM

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 -1.47%, its profits have risen by 84.6%

Below par performance in long term as well as near term

Along with generating -1.47% 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 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 Miscellaneous)

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

Is DuoLun Technology Corp. Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

DuoLun Technology Corp. Ltd.

-100.0%

1.01

41.44%

China Shanghai Composite

20.18%

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)

-14.84%

EBIT Growth (5y)

-199.51%

EBIT to Interest (avg)

-3.97

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.57

Sales to Capital Employed (avg)

0.24

Tax Ratio

84.07%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

3.13%

ROE (avg)

2.20%

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

2.54

EV to EBIT

-29.44

EV to EBITDA

-54.21

EV to Capital Employed

4.40

EV to Sales

10.00

PEG Ratio

Dividend Yield

0.74%

ROCE (Latest)

-14.96%

ROE (Latest)

-4.84%

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

Mildly Bearish

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

1What is working for the Company

DEBTORS TURNOVER RATIO(HY)

Highest at 1.34 times

-22What is not working for the Company

NET PROFIT(HY)

At CNY -49.55 MM has Grown at -229.77%

OPERATING CASH FLOW(Y)

Lowest at CNY 32.38 MM

RAW MATERIAL COST(Y)

Grown by 20.97% (YoY

NET SALES(Q)

Lowest at CNY 78.46 MM

EPS(Q)

Lowest at CNY -0.03

Here's what is working for DuoLun Technology Corp. Ltd.

Debtors Turnover Ratio

Highest at 1.34 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Here's what is not working for DuoLun Technology Corp. Ltd.

Net Profit

At CNY -49.55 MM has Grown at -229.77%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Net Sales

At CNY 78.46 MM has Fallen at -21.51%

over average net sales of the previous four periods of CNY 99.96 MM

MOJO Watch

Near term sales trend is extremely negative

Net Sales (CNY MM)

Operating Cash Flow

Lowest at CNY 32.38 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CNY MM)

Net Sales

Lowest at CNY 78.46 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

EPS

Lowest at CNY -0.03

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (CNY)

Raw Material Cost

Grown by 20.97% (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