Ecovacs Robotics Co., Ltd. (603486) 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

Ecovacs Robotics Co., Ltd.

Why is Ecovacs Robotics Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 48.30%

The company has been able to generate a Return on Capital Employed (avg) of 48.30% signifying low profitability per unit of total capital (equity and debt)

The company is Net-Debt Free

Poor long term growth as Net Sales has grown by an annual rate of 18.78% and Operating profit at 10.55% over the last 5 years
The company is Net-Debt Free
The company has been able to generate a Return on Equity (avg) of 20.93% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 18.78% and Operating profit at 10.55% over the last 5 years

The company has declared Positive results for the last 7 consecutive quarters

OPERATING CASH FLOW(Y) Highest at CNY 2,147.27 MM
NET SALES(HY) At CNY 10,340.88 MM has Grown at 19.54%
ROCE(HY) Highest at 22.21%

With ROE of 19.16%, it has a expensive valuation with a 3.07 Price to Book Value

Over the past year, while the stock has generated a return of -52.16%, its profits have risen by 117.9% ; the PEG ratio of the company is 0.1
At the current price, the company has a high dividend yield of 0

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Ecovacs Robotics 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 Ecovacs Robotics Co., Ltd. for you?

High Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Ecovacs Robotics Co., Ltd.

-51.42%

0.03

40.53%

China Shanghai Composite

3.23%

0.23

14.72%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

18.78%

EBIT Growth (5y)

10.55%

EBIT to Interest (avg)

44.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.41

Sales to Capital Employed (avg)

1.68

Tax Ratio

5.95%

Dividend Payout Ratio

29.68%

Pledged Shares

Institutional Holding

ROCE (avg)

39.34%

ROE (avg)

20.93%

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

3.07

EV to EBIT

14.64

EV to EBITDA

11.98

EV to Capital Employed

4.87

EV to Sales

1.22

PEG Ratio

0.14

Dividend Yield

ROCE (Latest)

33.28%

ROE (Latest)

19.16%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bearish

Moving Averages

Bearish (Daily)

KST

Mildly Bullish

Mildly Bearish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

No Trend

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

11What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 2,147.27 MM

NET SALES(HY)

At CNY 10,340.88 MM has Grown at 19.54%

ROCE(HY)

Highest at 22.21%

INTEREST COVERAGE RATIO(Q)

The company hardly has any interest cost

CASH AND EQV(HY)

Highest at CNY 12,292.21 MM

EPS(Q)

Highest at CNY 1.46

-1What is not working for the Company

NO KEY NEGATIVE TRIGGERS

Here's what is working for Ecovacs Robotics Co., Ltd.

Operating Cash Flow

Highest at CNY 2,147.27 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Net Sales

At CNY 10,340.88 MM has Grown at 19.54%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

EPS

Highest at CNY 1.46

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Cash and Eqv

Highest at CNY 12,292.21 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents