Fujian Yanjing Huiquan Brewery Co., Ltd. (600573) 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 Yanjing Huiquan Brewery Co., Ltd.

Why is Fujian Yanjing Huiquan Brewery Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 11.27%

The company has been able to generate a Return on Capital Employed (avg) of 11.27% signifying low profitability per unit of total capital (equity and debt)

Flat results in Sep 25

INTEREST(HY) At CNY 0.94 MM has Grown at 40.99%
OPERATING CASH FLOW(Y) Lowest at CNY 121.75 MM
DEBTORS TURNOVER RATIO(HY) Lowest at 360.08 times

With ROE of 5.42%, it has a fair valuation with a 2.14 Price to Book Value

Over the past year, while the stock has generated a return of 10.19%, its profits have risen by 25.1% ; the PEG ratio of the company is 1.6

Underperformed the market in the last 1 year

The stock has generated a return of 10.19% in the last 1 year, much lower than market (China Shanghai Composite) returns of 22.49%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Fujian Yanjing Huiquan Brewery Co., Ltd. should be less than 10%
Overall Portfolio exposure to Beverages should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Beverages)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Fujian Yanjing Huiquan Brewery Co., Ltd. for you?

Medium Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Fujian Yanjing Huiquan Brewery Co., Ltd.

6.65%

0.73

32.28%

China Shanghai Composite

16.01%

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)

0.31%

EBIT Growth (5y)

28.42%

EBIT to Interest (avg)

13.85

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.90

Sales to Capital Employed (avg)

0.46

Tax Ratio

11.98%

Dividend Payout Ratio

30.85%

Pledged Shares

Institutional Holding

ROCE (avg)

11.27%

ROE (avg)

3.68%

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

2.14

EV to EBIT

34.39

EV to EBITDA

22.77

EV to Capital Employed

29.23

EV to Sales

2.72

PEG Ratio

1.58

Dividend Yield

0.70%

ROCE (Latest)

84.99%

ROE (Latest)

5.42%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Mildly Bullish

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bearish

Dow Theory

Mildly Bearish

No Trend

OBV

Mildly Bearish

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

12What is working for the Company

ROCE(HY)

Highest at 6.23%

RAW MATERIAL COST(Y)

Fallen by -18.22% (YoY

CASH AND EQV(HY)

Highest at CNY 2,781.7 MM

OPERATING PROFIT(Q)

Highest at CNY 56.11 MM

OPERATING PROFIT MARGIN(Q)

Highest at 25 %

PRE-TAX PROFIT(Q)

Highest at CNY 69.21 MM

NET PROFIT(Q)

Highest at CNY 59.41 MM

EPS(Q)

Highest at CNY 0.24

-12What is not working for the Company

INTEREST(HY)

At CNY 0.94 MM has Grown at 40.99%

OPERATING CASH FLOW(Y)

Lowest at CNY 121.75 MM

DEBTORS TURNOVER RATIO(HY)

Lowest at 360.08 times

Here's what is working for Fujian Yanjing Huiquan Brewery Co., Ltd.

Operating Profit

Highest at CNY 56.11 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (CNY MM)

Operating Profit Margin

Highest at 25 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at CNY 69.21 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

Highest at CNY 59.41 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY 0.24

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Cash and Eqv

Highest at CNY 2,781.7 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Raw Material Cost

Fallen by -18.22% (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 Yanjing Huiquan Brewery Co., Ltd.

Interest

At CNY 0.94 MM has Grown at 40.99%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Debtors Turnover Ratio

Lowest at 360.08 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 121.75 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CNY MM)