Fujian Raynen Technology Co., Ltd. (603933) 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 Raynen Technology Co., Ltd.

Why is Fujian Raynen Technology Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 3.49%

The company has been able to generate a Return on Capital Employed (avg) of 3.49% signifying low profitability per unit of total capital (equity and debt)

With a fall in Net Sales of -15.04%, the company declared Very Negative results in Sep 25

The company has declared negative results for the last 2 consecutive quarters
OPERATING CASH FLOW(Y) Lowest at CNY 19.01 MM
ROCE(HY) Lowest at 1.3%
CASH AND EQV(HY) Lowest at CNY 444.5 MM

With ROE of 2.63%, it has a very expensive valuation with a 2.65 Price to Book Value

Over the past year, while the stock has generated a return of 31.43%, its profits have fallen by -48.2%
At the current price, the company has a high dividend yield of 0.5

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 Industrial Manufacturing)

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

Is Fujian Raynen Technology Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Fujian Raynen Technology Co., Ltd.

40.16%

1.30

53.51%

China Shanghai Composite

15.17%

1.58

14.20%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

7.87%

EBIT Growth (5y)

32.39%

EBIT to Interest (avg)

4.95

Debt to EBITDA (avg)

3.15

Net Debt to Equity (avg)

0.33

Sales to Capital Employed (avg)

1.03

Tax Ratio

15.47%

Dividend Payout Ratio

50.59%

Pledged Shares

Institutional Holding

ROCE (avg)

3.49%

ROE (avg)

4.72%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

101

Industry P/E

Price to Book Value

2.65

EV to EBIT

174.81

EV to EBITDA

72.06

EV to Capital Employed

2.22

EV to Sales

1.91

PEG Ratio

Dividend Yield

0.54%

ROCE (Latest)

1.27%

ROE (Latest)

2.63%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bearish

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

2What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -6.83% (YoY

INVENTORY TURNOVER RATIO(HY)

Highest at 2.83 times

-22What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at CNY 19.01 MM

ROCE(HY)

Lowest at 1.3%

CASH AND EQV(HY)

Lowest at CNY 444.5 MM

DEBT-EQUITY RATIO (HY)

Highest at 38.57 %

INTEREST(Q)

Highest at CNY 3.99 MM

NET PROFIT(Q)

At CNY 5.16 MM has Fallen at -30.12%

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

Inventory Turnover Ratio

Highest at 2.83 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Raw Material Cost

Fallen by -6.83% (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 Raynen Technology Co., Ltd.

Interest

At CNY 3.99 MM has Grown at 10.43%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Operating Cash Flow

Lowest at CNY 19.01 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CNY MM)

Interest

Highest at CNY 3.99 MM

in the last five periods and Increased by 10.43% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Net Profit

At CNY 5.16 MM has Fallen at -30.12%

over average net sales of the previous four periods of CNY 7.38 MM

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CNY MM)

Cash and Eqv

Lowest at CNY 444.5 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debt-Equity Ratio

Highest at 38.57 %

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