GD Power Development Co., Ltd. (600795) 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

GD Power Development Co., Ltd.

Why is GD Power Development Co., Ltd. ?

Weak Long Term Fundamental Strength with an average Return on Capital Employed (ROCE) of 5.66%

Poor long term growth as Net Sales has grown by an annual rate of 8.45% and Operating profit at 14.43% over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times

Flat results in Sep 25

NET PROFIT(HY) At CNY 4,966.18 MM has Grown at -32.95%
DEBTORS TURNOVER RATIO(HY) Lowest at 5.72 times
OPERATING PROFIT(Q) Lowest at CNY 7,361.03 MM

With ROE of 23.00%, it has a very attractive valuation with a 1.54 Price to Book Value

Over the past year, while the stock has generated a return of 18.94%, its profits have fallen by -19.3%
At the current price, the company has a high dividend yield of 4.2

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 Power)

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

Is GD Power Development Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

GD Power Development Co., Ltd.

8.26%

-0.77

21.84%

China Shanghai Composite

8.25%

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)

5.78%

EBIT Growth (5y)

0.94%

EBIT to Interest (avg)

2.42

Debt to EBITDA (avg)

7.35

Net Debt to Equity (avg)

4.70

Sales to Capital Employed (avg)

0.51

Tax Ratio

26.08%

Dividend Payout Ratio

60.02%

Pledged Shares

Institutional Holding

ROCE (avg)

5.17%

ROE (avg)

17.81%

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

1.37

EV to EBIT

17.65

EV to EBITDA

9.70

EV to Capital Employed

1.07

EV to Sales

2.12

PEG Ratio

Dividend Yield

4.93%

ROCE (Latest)

6.04%

ROE (Latest)

21.29%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Mildly Bearish (Daily)

KST

Bearish

Bullish

Dow Theory

Mildly Bullish

Mildly Bearish

OBV

Mildly Bullish

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

3What is working for the Company

INVENTORY TURNOVER RATIO(HY)

Highest at 32.76 times

DEBT-EQUITY RATIO (HY)

Lowest at 457.76 %

-12What is not working for the Company

NET PROFIT(HY)

At CNY 1,782.63 MM has Grown at -27.26%

ROCE(HY)

Lowest at 11.34%

INTEREST COVERAGE RATIO(Q)

Lowest at 290.31

RAW MATERIAL COST(Y)

Grown by 11.29% (YoY

INVENTORY TURNOVER RATIO(HY)

Lowest at 28.97 times

NET SALES(Q)

At CNY 39,168.73 MM has Fallen at -7.97%

OPERATING PROFIT(Q)

Lowest at CNY 4,122.38 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 10.52 %

PRE-TAX PROFIT(Q)

At CNY 2,789.86 MM has Fallen at -28.81%

Here's what is working for GD Power Development Co., Ltd.

Inventory Turnover Ratio

Highest at 32.76 times and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Debt-Equity Ratio

Lowest at 457.76 %

in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Here's what is not working for GD Power Development Co., Ltd.

Interest Coverage Ratio

Lowest at 290.31

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Net Profit

At CNY 1,782.63 MM has Grown at -27.26%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CNY MM)

Net Sales

At CNY 39,168.73 MM has Fallen at -7.97%

over average net sales of the previous four periods of CNY 42,561 MM

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Operating Profit

Lowest at CNY 4,122.38 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 10.52 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

At CNY 2,789.86 MM has Fallen at -28.81%

over average net sales of the previous four periods of CNY 3,918.92 MM

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (CNY MM)

Inventory Turnover Ratio

Lowest at 28.97 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Raw Material Cost

Grown by 11.29% (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