Why is Flower King Eco-Engineering, Inc. ?
1
Weak Long Term Fundamental Strength with an average Return on Capital Employed (ROCE) of 0.10%
- Poor long term growth as Net Sales has grown by an annual rate of -24.06% and Operating profit at -250.98% over the last 5 years
- High Debt Company with a Debt to Equity ratio (avg) at times
2
With a growth in Net Sales of 1208.47%, the company declared Very Positive results in Sep 25
- The company has declared positive results in Jan 70 after 4 consecutive negative quarters
- CASH AND EQV(HY) Highest at CNY 596.01 MM
- INVENTORY TURNOVER RATIO(HY) Highest at 2.83 times
- DEBTORS TURNOVER RATIO(HY) Highest at 0.34 times
3
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 -23.06%, its profits have fallen by -275%
4
Underperformed the market in the last 1 year
- Even though the market (China Shanghai Composite) has generated returns of 22.49% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -23.06% returns
How much should you hold?
- Overall Portfolio exposure to Flower King Eco-Engineering, Inc. should be less than 10%
- Overall Portfolio exposure to Miscellaneous should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Miscellaneous)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Flower King Eco-Engineering, Inc. for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Flower King Eco-Engineering, Inc.
21.76%
0.70
48.20%
China Shanghai Composite
19.22%
1.58
14.20%
Quality key factors
Factor
Value
Sales Growth (5y)
-1.01%
EBIT Growth (5y)
-217.78%
EBIT to Interest (avg)
-3.71
Debt to EBITDA (avg)
Negative Net Debt
Net Debt to Equity (avg)
-0.40
Sales to Capital Employed (avg)
0.29
Tax Ratio
2.63%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
0.10%
ROE (avg)
0.19%
Valuation Key Factors 
Factor
Value
P/E Ratio
NA (Loss Making)
Industry P/E
Price to Book Value
12.05
EV to EBIT
-10.01
EV to EBITDA
-10.58
EV to Capital Employed
8.97
EV to Sales
5.30
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
-89.58%
ROE (Latest)
-87.06%
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Sideways
Moving Averages
Bullish (Daily)
KST
Mildly Bearish
Mildly Bullish
Dow Theory
Mildly Bullish
Mildly Bearish
OBV
Mildly Bearish
Mildly Bearish
Technical Movement
27What is working for the Company
NET SALES(Q)
At CNY 148.44 MM has Grown at 44.82%
RAW MATERIAL COST(Y)
Fallen by -57.16% (YoY
INVENTORY TURNOVER RATIO(HY)
Highest at 10.22 times
DEBTORS TURNOVER RATIO(HY)
Highest at 1.35 times
PRE-TAX PROFIT(Q)
Highest at CNY 0.54 MM
NET PROFIT(Q)
At CNY -6.09 MM has Grown at 89.33%
-2What is not working for the Company
NO KEY NEGATIVE TRIGGERS
Here's what is working for Flower King Eco-Engineering, Inc.
Net Sales
At CNY 148.44 MM has Grown at 44.82%
over average net sales of the previous four periods of CNY 102.5 MMMOJO Watch
Near term sales trend is very positive
Net Sales (CNY MM)
Pre-Tax Profit
Highest at CNY 0.54 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (CNY MM)
Pre-Tax Profit
At CNY 0.54 MM has Grown at 101.03%
over average net sales of the previous four periods of CNY -51.85 MMMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (CNY MM)
Net Profit
At CNY -6.09 MM has Grown at 89.33%
over average net sales of the previous four periods of CNY -57.02 MMMOJO Watch
Near term Net Profit trend is positive
Net Profit (CNY MM)
Inventory Turnover Ratio
Highest at 10.22 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Debtors Turnover Ratio
Highest at 1.35 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Raw Material Cost
Fallen by -57.16% (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






