Gansu Mogao Industrial Development Co., Ltd. (600543) 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

Gansu Mogao Industrial Development Co., Ltd.

Why is Gansu Mogao Industrial Development Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 0%

The company has reported losses and also has negative networth. This is not a good sign for the investors. Either company will have to raise fresh capital or report profits to sustain going forward

Poor long term growth as Net Sales has grown by an annual rate of 13.10% and Operating profit at -201.48% over the last 5 years

The company has declared negative results for the last 3 consecutive quarters

The company has declared negative results in Sep 24 after 6 consecutive negative quarters
INTEREST(HY) At CNY 1.13 MM has Grown at 98.6%
OPERATING CASH FLOW(Y) Lowest at CNY -134.14 MM
NET PROFIT(HY) At CNY -39.86 MM has Grown at -42.13%

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of 6.86%, its profits have fallen by -106.4%

Underperformed the market in the last 1 year

The stock has generated a return of 6.86% 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 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 Beverages)

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

Is Gansu Mogao Industrial Development Co., Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Gansu Mogao Industrial Development Co., Ltd.

1.66%

0.28

40.05%

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)

13.10%

EBIT Growth (5y)

-201.48%

EBIT to Interest (avg)

-66.14

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

-0.05

Sales to Capital Employed (avg)

0.28

Tax Ratio

0.64%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

ROE (avg)

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

2.43

EV to EBIT

-25.10

EV to EBITDA

-65.17

EV to Capital Employed

2.42

EV to Sales

6.81

PEG Ratio

Dividend Yield

ROCE (Latest)

-9.66%

ROE (Latest)

-9.78%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Bullish

Dow Theory

Mildly Bearish

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

4What is working for the Company

NET PROFIT(HY)

Higher at CNY -39.86 MM

RAW MATERIAL COST(Y)

Fallen by -172.19% (YoY

-39What is not working for the Company

INTEREST(HY)

At CNY 1.13 MM has Grown at 98.6%

OPERATING CASH FLOW(Y)

Lowest at CNY -134.14 MM

NET PROFIT(HY)

At CNY -39.86 MM has Grown at -42.13%

ROCE(HY)

Lowest at -9.37%

CASH AND EQV(HY)

Lowest at CNY 152.05 MM

DEBT-EQUITY RATIO (HY)

Highest at 8.28 %

NET SALES(Q)

Lowest at CNY 21.35 MM

OPERATING PROFIT(Q)

Lowest at CNY -18.36 MM

OPERATING PROFIT MARGIN(Q)

Lowest at -85.98 %

Here's what is working for Gansu Mogao Industrial Development Co., Ltd.

Net Profit

Higher at CNY -39.86 MM

than preceding 12 month period ended Sep 2025

MOJO Watch

In the half year the company has already crossed Net Profit of the previous twelve months

Net Profit (CNY MM)

Raw Material Cost

Fallen by -172.19% (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 Gansu Mogao Industrial Development Co., Ltd.

Interest

At CNY 1.13 MM has Grown at 98.6%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Net Sales

At CNY 21.35 MM has Fallen at -66.27%

Year on Year (YoY)

MOJO Watch

Near term sales trend is extremely negative

Net Sales (CNY MM)

Net Profit

At CNY -39.86 MM has Grown at -42.13%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Operating Cash Flow

Lowest at CNY -134.14 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CNY MM)

Net Sales

Lowest at CNY 21.35 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Operating Profit

Lowest at CNY -18.36 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at -85.98 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Cash and Eqv

Lowest at CNY 152.05 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debt-Equity Ratio

Highest at 8.28 %

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