Glarun Technology Co., Ltd. (600562) 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

Glarun Technology Co., Ltd.

Why is Glarun Technology Co., Ltd. ?

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

INTEREST(HY) At CNY 2.52 MM has Grown at 10.04%
INTEREST COVERAGE RATIO(Q) Lowest at 6,061.84
OPERATING PROFIT(Q) Lowest at CNY 64.49 MM

With ROE of 10.32%, it has a expensive valuation with a 6.24 Price to Book Value

Over the past year, while the stock has generated a return of 52.50%, its profits have risen by 3.5% ; the PEG ratio of the company is 27.2
At the current price, the company has a high dividend yield of 0.5

Market Beating performance in long term as well as near term

Along with generating 52.50% returns in the last 1 year, the stock has outperformed China Shanghai Composite in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Glarun Technology Co., Ltd. should be less than 10%
Overall Portfolio exposure to Aerospace & Defense should be less than 30%

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

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

Is Glarun Technology Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Glarun Technology Co., Ltd.

-31.23%

2.21

49.67%

China Shanghai Composite

16.78%

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)

-4.13%

EBIT Growth (5y)

2.83%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.03

Sales to Capital Employed (avg)

0.50

Tax Ratio

12.40%

Dividend Payout Ratio

49.20%

Pledged Shares

Institutional Holding

ROCE (avg)

13.41%

ROE (avg)

11.04%

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

3.92

EV to EBIT

33.79

EV to EBITDA

32.20

EV to Capital Employed

4.31

EV to Sales

7.30

PEG Ratio

5.15

Dividend Yield

1.20%

ROCE (Latest)

12.76%

ROE (Latest)

9.53%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly Bullish

Mildly Bearish

OBV

Mildly 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

3What is working for the Company

CASH AND EQV(HY)

Highest at CNY 3,304.25 MM

INVENTORY TURNOVER RATIO(HY)

Highest at 1.12 times

NET SALES(Q)

At CNY 507.42 MM has Grown at 39.66%

-6What is not working for the Company

INTEREST(9M)

At CNY 4.5 MM has Grown at 9.02%

ROCE(HY)

Lowest at 9.84%

RAW MATERIAL COST(Y)

Grown by 15.72% (YoY

DEBTORS TURNOVER RATIO(HY)

Lowest at 0.65 times

Here's what is working for Glarun Technology Co., Ltd.

Net Sales

At CNY 507.42 MM has Grown at 39.66%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Cash and Eqv

Highest at CNY 3,304.25 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Inventory Turnover Ratio

Highest at 1.12 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

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

Interest

At CNY 4.5 MM has Grown at 9.02%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Debtors Turnover Ratio

Lowest at 0.65 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Raw Material Cost

Grown by 15.72% (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