GemPharmatech 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

Comparison

Company

Score

Quality

Valuation

Financial

Technical

GemPharmatech Co., Ltd.

Why is GemPharmatech Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of 15.36% and Operating profit at 18.33% over the last 5 years

The company has declared Negative results for the last 5 consecutive quarters

OPERATING CASH FLOW(Y) Lowest at CNY 97.58 MM
DEBT-EQUITY RATIO (HY) Highest at 0 %
DEBTORS TURNOVER RATIO(HY) Lowest at 0 times

With ROE of 4.80%, it has a fair valuation with a 1.73 Price to Book Value

Over the past year, while the stock has generated a return of -2.41%, its profits have fallen by -32.6%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -2.41% returns in the last 1 year, the stock has also underperformed China Shanghai Composite in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to GemPharmatech 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 GemPharmatech Co., Ltd. for you?

High Risk, Medium Return

Absolute

Risk Adjusted

Volatility

GemPharmatech Co., Ltd.

1.18%

0.62

46.85%

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)

15.36%

EBIT Growth (5y)

18.33%

EBIT to Interest (avg)

41.84

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.44

Sales to Capital Employed (avg)

0.30

Tax Ratio

9.02%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

7.99%

ROE (avg)

6.83%

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

1.73

EV to EBIT

30.35

EV to EBITDA

14.85

EV to Capital Employed

2.39

EV to Sales

3.81

PEG Ratio

Dividend Yield

ROCE (Latest)

7.88%

ROE (Latest)

4.80%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bearish

Moving Averages

Mildly Bullish (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

14What is working for the Company

NET PROFIT(HY)

At CNY 71.87 MM has Grown at 114.35%

INTEREST COVERAGE RATIO(Q)

The company hardly has any interest cost

NET SALES(Q)

Highest at CNY 217.68 MM

-10What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at CNY 97.58 MM

DEBT-EQUITY RATIO (HY)

Highest at 0 %

DEBTORS TURNOVER RATIO(HY)

Lowest at 0 times

RAW MATERIAL COST(Y)

Grown by 101.82% (YoY

INVENTORY TURNOVER RATIO(HY)

Lowest at 0 times

EPS(Q)

Lowest at CNY 0

Here's what is working for GemPharmatech Co., Ltd.

Net Profit

At CNY 71.87 MM has Grown at 114.35%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (CNY MM)

Net Sales

Highest at CNY 217.68 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Net Sales

At CNY 217.68 MM has Grown at 16.35%

over average net sales of the previous four periods of CNY 187.09 MM

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Here's what is not working for GemPharmatech Co., Ltd.

Operating Cash Flow

Lowest at CNY 97.58 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)

Debt-Equity Ratio

Highest at 0 % 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 0 times 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

EPS

Lowest at CNY 0

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (CNY)

Inventory Turnover Ratio

Lowest at 0 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 101.82% (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