Why is Fujian Longking Co., Ltd. ?
1
Poor Management Efficiency with a low ROCE of 9.91%
- The company has been able to generate a Return on Capital Employed (avg) of 9.91% signifying low profitability per unit of total capital (equity and debt)
2
The company is Net-Debt Free
- Poor long term growth as Net Sales has grown by an annual rate of 3.04% and Operating profit at 7.80% over the last 5 years
- The company is Net-Debt Free
- The company has been able to generate a Return on Equity (avg) of 12.65% signifying low profitability per unit of shareholders funds
3
Poor long term growth as Net Sales has grown by an annual rate of 3.04% and Operating profit at 7.80% over the last 5 years
4
Flat results in Jun 26
- OPERATING CASH FLOW(Y) Lowest at CNY 1,574.9 MM
5
With ROE of 10.65%, it has a very attractive valuation with a 1.67 Price to Book Value
- Over the past year, while the stock has generated a return of 26.79%, its profits have risen by 47.5% ; the PEG ratio of the company is 0.3
- At the current price, the company has a high dividend yield of 2.2
How much should you hold?
- Overall Portfolio exposure to Fujian Longking Co., Ltd. should be less than 10%
- Overall Portfolio exposure to Industrial Manufacturing should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Industrial Manufacturing)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Fujian Longking Co., Ltd. for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Fujian Longking Co., Ltd.
26.61%
1.38
35.77%
China Shanghai Composite
0.9%
0.22
14.72%
Quality key factors
Factor
Value
Sales Growth (5y)
3.04%
EBIT Growth (5y)
7.80%
EBIT to Interest (avg)
7.20
Debt to EBITDA (avg)
1.51
Net Debt to Equity (avg)
0.24
Sales to Capital Employed (avg)
0.71
Tax Ratio
11.97%
Dividend Payout Ratio
43.13%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
9.46%
ROE (avg)
12.65%
Valuation Key Factors 
Factor
Value
P/E Ratio
16
Industry P/E
Price to Book Value
1.67
EV to EBIT
17.48
EV to EBITDA
13.35
EV to Capital Employed
1.50
EV to Sales
1.84
PEG Ratio
0.33
Dividend Yield
2.17%
ROCE (Latest)
8.55%
ROE (Latest)
10.65%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Mildly Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Bullish
Bullish
Dow Theory
Mildly Bearish
Mildly Bullish
OBV
Bullish
Bullish
Technical Movement
6What is working for the Company
NET PROFIT(9M)
At CNY 915.33 MM has Grown at 45.66%
ROCE(HY)
Highest at 11.54%
RAW MATERIAL COST(Y)
Fallen by -7.39% (YoY
OPERATING PROFIT(Q)
Highest at CNY 532.55 MM
-3What is not working for the Company
OPERATING CASH FLOW(Y)
Lowest at CNY 1,574.9 MM
Here's what is working for Fujian Longking Co., Ltd.
Net Profit
At CNY 915.33 MM has Grown at 45.66%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is positive
Net Profit (CNY MM)
Operating Profit
Highest at CNY 532.55 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (CNY MM)
Raw Material Cost
Fallen by -7.39% (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 Fujian Longking Co., Ltd.
Operating Cash Flow
Lowest at CNY 1,574.9 MM and Fallen
In each year in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (CNY MM)
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