Why is Fujian Funeng Co., Ltd. ?
1
High Debt Company with a Debt to Equity ratio (avg) at times
- Poor long term growth as Net Sales has grown by an annual rate of 9.27% and Operating profit at 17.43% over the last 5 years
- High Debt Company with a Debt to Equity ratio (avg) at times
- The company has been able to generate a Return on Equity (avg) of 13.66% signifying low profitability per unit of shareholders funds
2
Poor long term growth as Net Sales has grown by an annual rate of 9.27% and Operating profit at 17.43% over the last 5 years
3
Flat results in Jun 25
- DEBTORS TURNOVER RATIO(HY) Lowest at 2.25%
- NET SALES(Q) At CNY 3,245.42 MM has Fallen at -10.29%
- EPS(Q) Lowest at CNY 0.21
4
With ROE of 14.41%, it has a very attractive valuation with a 0.95 Price to Book Value
- Over the past year, while the stock has generated a return of 4.14%, its profits have risen by 5.5% ; the PEG ratio of the company is 1.2
- At the current price, the company has a high dividend yield of 0.2
5
Underperformed the market in the last 1 year
- The stock has generated a return of 4.14% in the last 1 year, much lower than market (China Shanghai Composite) returns of 14.77%
How much should you hold?
- Overall Portfolio exposure to Fujian Funeng Co., Ltd. should be less than 10%
- Overall Portfolio exposure to Power should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Power)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Fujian Funeng Co., Ltd. for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
Fujian Funeng Co., Ltd.
3.35%
-0.63
18.55%
China Shanghai Composite
15.19%
1.01
14.58%
Quality key factors
Factor
Value
Sales Growth (5y)
9.27%
EBIT Growth (5y)
17.43%
EBIT to Interest (avg)
4.76
Debt to EBITDA (avg)
3.31
Net Debt to Equity (avg)
0.42
Sales to Capital Employed (avg)
0.36
Tax Ratio
20.90%
Dividend Payout Ratio
28.97%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
7.98%
ROE (avg)
13.66%
Valuation Key Factors 
Factor
Value
P/E Ratio
7
Industry P/E
Price to Book Value
0.95
EV to EBIT
10.49
EV to EBITDA
6.92
EV to Capital Employed
0.97
EV to Sales
2.57
PEG Ratio
1.20
Dividend Yield
0.21%
ROCE (Latest)
9.23%
ROE (Latest)
14.41%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Mildly Bearish
Dow Theory
Mildly Bearish
No Trend
OBV
Mildly Bearish
No Trend
Technical Movement
3What is working for the Company
OPERATING CASH FLOW(Y)
Highest at CNY 5,735.47 MM
-4What is not working for the Company
DEBTORS TURNOVER RATIO(HY)
Lowest at 2.25%
NET SALES(Q)
At CNY 3,245.42 MM has Fallen at -10.29%
EPS(Q)
Lowest at CNY 0.21
Here's what is working for Fujian Funeng Co., Ltd.
Operating Cash Flow
Highest at CNY 5,735.47 MM and Grown
In each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (CNY MM)
Here's what is not working for Fujian Funeng Co., Ltd.
Debtors Turnover Ratio
Lowest at 2.25% and Fallen
In each half year in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio
Net Sales
At CNY 3,245.42 MM has Fallen at -10.29%
over average net sales of the previous four periods of CNY 3,617.76 MMMOJO Watch
Near term sales trend is negative
Net Sales (CNY MM)
EPS
Lowest at CNY 0.21
in the last five periodsMOJO Watch
Declining profitability; company has created lower earnings for shareholders
EPS (CNY)
Non Operating Income
Highest at CNY 0.26 MM
in the last five periodsMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating income






