Fujian Newchoice Pipe Technology Co., Ltd. (300198) 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

Fujian Newchoice Pipe Technology Co., Ltd.

Why is Fujian Newchoice Pipe Technology Co., Ltd. ?

With a Operating Losses, the company has a Weak Long Term Fundamental Strength

Poor long term growth as Net Sales has grown by an annual rate of -37.20% and Operating profit at -235.47% over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times

The company has declared Negative results for the last 6 consecutive quarters

NET SALES(Q) At CNY 22.39 MM has Fallen at -31.54%
OPERATING CASH FLOW(Y) Lowest at CNY 7.1 MM
NET PROFIT(HY) At CNY -65.33 MM has Grown at -28.54%

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 -2.19%, its profits have fallen by -10.4%

Underperformed the market in the last 1 year

Even though the market (China Shanghai Composite) has generated returns of 15.17% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -2.19% returns

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 Construction)

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

Is Fujian Newchoice Pipe Technology Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Fujian Newchoice Pipe Technology Co., Ltd.

12.76%

2.19

52.24%

China Shanghai Composite

15.17%

1.02

14.86%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-37.20%

EBIT Growth (5y)

-235.47%

EBIT to Interest (avg)

-2.82

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

12.54

Sales to Capital Employed (avg)

0.14

Tax Ratio

6.44%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

ROE (avg)

0.61%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

47.20

EV to EBIT

-14.65

EV to EBITDA

-16.11

EV to Capital Employed

2.81

EV to Sales

39.34

PEG Ratio

Dividend Yield

ROCE (Latest)

-19.19%

ROE (Latest)

-698.42%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bullish

OBV

Mildly Bearish

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

6What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -440.47% (YoY

NET PROFIT(Q)

Highest at CNY -31.69 MM

EPS(Q)

Highest at CNY -0.03

-26What is not working for the Company

NET SALES(Q)

At CNY 22.39 MM has Fallen at -31.54%

OPERATING CASH FLOW(Y)

Lowest at CNY 7.1 MM

NET PROFIT(HY)

At CNY -65.33 MM has Grown at -28.54%

ROCE(HY)

Lowest at -179.58%

DEBT-EQUITY RATIO (HY)

Highest at 5,396.5 %

DEBTORS TURNOVER RATIO(HY)

Lowest at 0.12 times

CASH AND EQV(HY)

Lowest at CNY 25.42 MM

INVENTORY TURNOVER RATIO(HY)

Lowest at 1.93 times

Here's what is working for Fujian Newchoice Pipe Technology Co., Ltd.

Net Profit

Highest at CNY -31.69 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY -0.03

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Raw Material Cost

Fallen by -440.47% (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 Newchoice Pipe Technology Co., Ltd.

Net Sales

At CNY 22.39 MM has Fallen at -31.54%

Year on Year (YoY)

MOJO Watch

Near term sales trend is extremely negative

Net Sales (CNY MM)

Debt-Equity Ratio

Highest at 5,396.5 % and Grown

In each half year 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

Debtors Turnover Ratio

Lowest at 0.12 times and Fallen

In each half year in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Operating Cash Flow

Lowest at CNY 7.1 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CNY MM)

Cash and Eqv

Lowest at CNY 25.42 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Inventory Turnover Ratio

Lowest at 1.93 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio