Gan & Lee Pharmaceuticals Co., Ltd. (603087) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

MarketsMojo — Loved in India, Now Global

The power of Mojo is now in 29 countries. Explore global equities with the same cutting-edge features you love.Unlock 29 Markets

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Gan & Lee Pharmaceuticals Co., Ltd.

Why is Gan & Lee Pharmaceuticals Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of 3.72% and Operating profit at -13.11% over the last 5 years

The company has declared Positive results for the last 8 consecutive quarters

OPERATING CASH FLOW(Y) Highest at CNY 806.47 MM
ROCE(HY) Highest at 8.38%
RAW MATERIAL COST(Y) Fallen by -4.36% (YoY)

With ROE of 7.85%, it has a expensive valuation with a 3.49 Price to Book Value

Over the past year, while the stock has generated a return of 34.28%, its profits have risen by 117.6% ; the PEG ratio of the company is 0.4
At the current price, the company has a high dividend yield of 2.2

Market Beating Performance

The stock has generated a return of 34.28% in the last 1 year, much higher than market (China Shanghai Composite) returns of 14.77%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Gan & Lee Pharmaceuticals Co., Ltd. should be less than 10%
Overall Portfolio exposure to Pharmaceuticals & Biotechnology should be less than 30%

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

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

Is Gan & Lee Pharmaceuticals Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Gan & Lee Pharmaceuticals Co., Ltd.

38.77%

0.88

36.63%

China Shanghai Composite

15.19%

1.01

14.58%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

3.72%

EBIT Growth (5y)

-13.11%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.21

Sales to Capital Employed (avg)

0.25

Tax Ratio

5.32%

Dividend Payout Ratio

144.23%

Pledged Shares

Institutional Holding

ROCE (avg)

12.46%

ROE (avg)

7.70%

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

3.49

EV to EBIT

52.15

EV to EBITDA

37.27

EV to Capital Employed

4.06

EV to Sales

9.64

PEG Ratio

0.38

Dividend Yield

2.21%

ROCE (Latest)

7.79%

ROE (Latest)

7.85%

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

No Trend

OBV

Mildly Bullish

No Trend

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

29What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 806.47 MM

ROCE(HY)

Highest at 8.38%

RAW MATERIAL COST(Y)

Fallen by -4.36% (YoY

NET SALES(Q)

At CNY 1,072.34 MM has Grown at 24.84%

OPERATING PROFIT(Q)

Highest at CNY 354.47 MM

OPERATING PROFIT MARGIN(Q)

Highest at 33.06 %

PRE-TAX PROFIT(Q)

At CNY 312.66 MM has Grown at 64.75%

NET PROFIT(Q)

Highest at CNY 275.9 MM

-2What is not working for the Company

DEBT-EQUITY RATIO (HY)

Highest at -18.61 %

Here's what is working for Gan & Lee Pharmaceuticals Co., Ltd.

Operating Cash Flow

Highest at CNY 806.47 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Net Sales

Highest at CNY 1,072.34 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Net Sales

At CNY 1,072.34 MM has Grown at 24.84%

over average net sales of the previous four periods of CNY 859 MM

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Operating Profit

Highest at CNY 354.47 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (CNY MM)

Operating Profit Margin

Highest at 33.06 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

At CNY 312.66 MM has Grown at 64.75%

over average net sales of the previous four periods of CNY 189.78 MM

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

Highest at CNY 275.9 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

Raw Material Cost

Fallen by -4.36% (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 Gan & Lee Pharmaceuticals Co., Ltd.

Debt-Equity Ratio

Highest at -18.61 % 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