Foran Energy Group Co., Ltd. (002911) 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

Foran Energy Group Co., Ltd.

Why is Foran Energy Group Co., Ltd. ?

The company is Net-Debt Free

Poor long term growth as Net Sales has grown by an annual rate of 30.95% and Operating profit at 9.00% over the last 5 years
The company is Net-Debt Free
The company has been able to generate a Return on Equity (avg) of 19.10% signifying low profitability per unit of shareholders funds

Flat results in Mar 26

INTEREST(Q) At CNY 24.39 MM has Grown at 22.6%
DEBT-EQUITY RATIO (HY) Highest at 111.16 %
NET SALES(Q) Lowest at CNY 5,753.5 MM

With ROE of 32.24%, it has a expensive valuation with a 3.18 Price to Book Value

Over the past year, while the stock has generated a return of 1.56%, its profits have risen by 7.6% ; the PEG ratio of the company is 1.3
At the current price, the company has a high dividend yield of 4.8

Underperformed the market in the last 1 year

The stock has generated a return of 1.56% in the last 1 year, much lower than market (China Shanghai Composite) returns of 16.83%

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 Gas)

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

Is Foran Energy Group Co., Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Foran Energy Group Co., Ltd.

6.21%

0.18

41.02%

China Shanghai Composite

8.25%

1.20

14.07%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

30.95%

EBIT Growth (5y)

9.00%

EBIT to Interest (avg)

7.55

Debt to EBITDA (avg)

2.97

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

2.51

Tax Ratio

16.33%

Dividend Payout Ratio

64.53%

Pledged Shares

Institutional Holding

ROCE (avg)

12.40%

ROE (avg)

19.10%

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

2.97

EV to EBIT

14.33

EV to EBITDA

10.87

EV to Capital Employed

1.94

EV to Sales

0.52

PEG Ratio

1.21

Dividend Yield

5.17%

ROCE (Latest)

13.52%

ROE (Latest)

32.24%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

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

4What is working for the Company

ROCE(HY)

Highest at 23.54%

RAW MATERIAL COST(Y)

Fallen by -32.44% (YoY

CASH AND EQV(HY)

Highest at CNY 6,548.84 MM

-7What is not working for the Company

INTEREST(Q)

At CNY 24.39 MM has Grown at 22.6%

DEBT-EQUITY RATIO (HY)

Highest at 111.16 %

INVENTORY TURNOVER RATIO(HY)

Lowest at 21.09 times

NET SALES(Q)

Lowest at CNY 5,753.5 MM

PRE-TAX PROFIT(Q)

Lowest at CNY 140.69 MM

Here's what is working for Foran Energy Group Co., Ltd.

Cash and Eqv

Highest at CNY 6,548.84 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Raw Material Cost

Fallen by -32.44% (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

Here's what is not working for Foran Energy Group Co., Ltd.

Interest

At CNY 24.39 MM has Grown at 22.6%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Net Sales

Lowest at CNY 5,753.5 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Net Sales

Fallen at -12.17%

Year on Year (YoY)

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Pre-Tax Profit

Lowest at CNY 140.69 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (CNY MM)

Debt-Equity Ratio

Highest at 111.16 %

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

Inventory Turnover Ratio

Lowest at 21.09 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio