Why is Fujian Zhangzhou Development Co. Ltd. ?
1
Poor Management Efficiency with a low ROCE of 1.61%
- The company has been able to generate a Return on Capital Employed (avg) of 1.61% signifying low profitability per unit of total capital (equity and debt)
2
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 4.18% and Operating profit at -163.74% 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 4.22% signifying low profitability per unit of shareholders funds
3
Poor long term growth as Net Sales has grown by an annual rate of 4.18% and Operating profit at -163.74% over the last 5 years
4
The company has declared Negative results for the last 4 consecutive quarters
- NET PROFIT(HY) At CNY 20.84 MM has Grown at -58.65%
- DEBT-EQUITY RATIO (HY) Highest at 167.2 %
- OPERATING PROFIT MARGIN(Q) Lowest at -0.86 %
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 Retailing)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Fujian Zhangzhou Development Co. Ltd. for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Fujian Zhangzhou Development Co. Ltd.
24.04%
3.85
63.57%
China Shanghai Composite
15.19%
1.01
15.10%
Quality key factors
Factor
Value
Sales Growth (5y)
4.18%
EBIT Growth (5y)
-163.74%
EBIT to Interest (avg)
1.04
Debt to EBITDA (avg)
24.78
Net Debt to Equity (avg)
1.62
Sales to Capital Employed (avg)
0.47
Tax Ratio
24.26%
Dividend Payout Ratio
37.11%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
1.61%
ROE (avg)
4.22%
Valuation Key Factors 
Factor
Value
P/E Ratio
86
Industry P/E
Price to Book Value
1.93
EV to EBIT
-557.00
EV to EBITDA
70.07
EV to Capital Employed
1.43
EV to Sales
3.15
PEG Ratio
NA
Dividend Yield
0.31%
ROCE (Latest)
-0.26%
ROE (Latest)
2.24%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Bullish
Dow Theory
Mildly Bearish
No Trend
OBV
Bullish
Bullish
Technical Movement
1What is working for the Company
RAW MATERIAL COST(Y)
Fallen by -58.29% (YoY
-17What is not working for the Company
NET PROFIT(HY)
At CNY 20.84 MM has Grown at -58.65%
DEBT-EQUITY RATIO
(HY)
Highest at 167.2 %
OPERATING PROFIT MARGIN(Q)
Lowest at -0.86 %
DEBTORS TURNOVER RATIO(HY)
Lowest at 1.42%
NET SALES(Q)
Lowest at CNY 525.12 MM
OPERATING PROFIT(Q)
Lowest at CNY -4.51 MM
Here's what is working for Fujian Zhangzhou Development Co. Ltd.
Raw Material Cost
Fallen by -58.29% (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 Zhangzhou Development Co. Ltd.
Net Profit
At CNY 20.84 MM has Grown at -58.65%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is very negative
Net Profit (CNY MM)
Operating Profit Margin
Lowest at -0.86 % and Fallen
In each period in the last five periodsMOJO Watch
Company's profit margin has deteriorated
Operating Profit to Sales
Debt-Equity Ratio
Highest at 167.2 % and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
Net Sales
Lowest at CNY 525.12 MM
in the last five periodsMOJO Watch
Near term sales trend is negative
Net Sales (CNY MM)
Operating Profit
Lowest at CNY -4.51 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is negative
Operating Profit (CNY MM)
Debtors Turnover Ratio
Lowest at 1.42%
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio






