Ganfeng Lithium Group Co., Ltd. () Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

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GHW International

Ganfeng Lithium Group Co., Ltd.

Why is Ganfeng Lithium Group Co., Ltd. ?

Weak Long Term Fundamental Strength with an average Return on Capital Employed (ROCE) of 11.61%

High Debt Company with a Debt to Equity ratio (avg) at times

The company has declared Negative results for the last 4 consecutive quarters

ROCE(HY) Lowest at -4.66%
DEBT-EQUITY RATIO (HY) Highest at 69.34 %
DEBTORS TURNOVER RATIO(HY) Lowest at 2.93%

With ROE of -2.59%, it has a Very Expensive valuation with a 0.28 Price to Book Value

Over the past year, while the stock has generated a return of 126.46%, its profits have fallen by -125%

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 Specialty Chemicals)

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

Is Ganfeng Lithium Group Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Ganfeng Lithium Group Co., Ltd.

123.45%

2.31

62.61%

Hang Seng Hong Kong

27.36%

1.03

25.88%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

27.80%

EBIT Growth (5y)

-182.03%

EBIT to Interest (avg)

12.05

Debt to EBITDA (avg)

9.44

Net Debt to Equity (avg)

0.69

Sales to Capital Employed (avg)

0.39

Tax Ratio

13.74%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

0.09%

ROCE (avg)

11.61%

ROE (avg)

15.30%

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

0.28

EV to EBIT

-128.00

EV to EBITDA

38.67

EV to Capital Employed

0.58

EV to Sales

2.14

PEG Ratio

Dividend Yield

ROCE (Latest)

-0.45%

ROE (Latest)

-2.59%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bearish

No Trend

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

Not enough Data to analyse Financial Trend

Here's what is working for Ganfeng Lithium Group Co., Ltd.

Pre-Tax Profit

At HKD -358.59 MM has Grown at 67.41%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (HKD MM)

Depreciation

Highest at HKD 830.04 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (HKD MM)

Depreciation

At HKD 830.04 MM has Grown at 31.51%

period on period (QoQ)

MOJO Watch

The expenditure on assets done by the company has gone into productive use which should positively reflect in the future sales

Depreciation (HKD MM)

Here's what is not working for Ganfeng Lithium Group Co., Ltd.

Net Sales

Lowest at HKD 9,981.75 MM and Fallen

In each period in the last five periods

MOJO Watch

Near term sales trend is very negative

Net Sales (HKD MM)

Net Profit

At HKD -651.75 MM has Fallen at -126.48%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (HKD MM)

Debt-Equity Ratio

Highest at 69.34 % 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 2.93% 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

Net Sales

Fallen at -37.15%

Year on Year (YoY)

MOJO Watch

Near term sales trend is negative

Net Sales (HKD MM)

Interest

Highest at HKD 633.49 MM

in the last five periods and Increased by 15.36% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (HKD MM)

Net Profit

Lowest at HKD -651.75 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (HKD MM)

EPS

Lowest at HKD -0.7

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (HKD)

Cash and Eqv

Lowest at HKD 7,234.54 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Inventory Turnover Ratio

Lowest at 1.98%

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Dividend per share

Lowest at HKD 2.93

in the last five years

MOJO Watch

Company is distributing lower dividend than previous years

DPS (HKD)

Raw Material Cost

Grown by 74.96% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales