Gome Finance Technology Co., Ltd. (628) 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

Zhongguancun Science-Tech Leasing Co. Ltd.

Oi Wah Pawnshop Credit Holdings Ltd.

Guangdong Join-Share Financing Guarantee Investment Co., Ltd.

Gome Finance Technology Co., Ltd.

Hanhua Financial Holding Co. Ltd.

Kaisa Capital Investment Holdings Ltd.

New Century Group Hong Kong Ltd.

China Wood International Holding Co., Ltd.

Dingyi Group Investment Ltd.

National United Resources Holdings Ltd.

Minerva Group Holding Ltd.

Why is Gome Finance Technology Co., Ltd. ?

Weak Long Term Fundamental Strength with an average Return on Equity (ROE) of 1.88%

Poor long term growth as Net Sales has grown by an annual rate of 26.75%

Flat results in Jun 25

INTEREST(HY) At HKD 2.33 MM has Grown at 30,614.84%
RAW MATERIAL COST(Y) Grown by 5.91% (YoY)
CASH AND EQV(HY) Lowest at HKD 79.95 MM

Underperformed the market in the last 1 year

Even though the market (Hang Seng Hong Kong) has generated returns of 8.25% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -13.33% returns

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 Finance)

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

Is Gome Finance Technology Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Gome Finance Technology Co., Ltd.

-13.33%

0.27

70.53%

Hang Seng Hong Kong

8.25%

0.41

19.93%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

26.75%

EBIT Growth (5y)

-0.18%

EBIT to Interest (avg)

15.26

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

0.07

Tax Ratio

13.66%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

9.37%

ROE (avg)

1.88%

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

0.54

EV to EBIT

15.47

EV to EBITDA

12.88

EV to Capital Employed

0.51

EV to Sales

4.29

PEG Ratio

Dividend Yield

ROCE (Latest)

3.28%

ROE (Latest)

2.63%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bearish

RSI

Bullish

Bearish

Bollinger Bands

Mildly Bullish

Mildly Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bullish

Bearish

Dow Theory

No Trend

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

6What is working for the Company

DEBTORS TURNOVER RATIO(HY)

Highest at 0.31 times

NET SALES(Q)

Highest at HKD 236.52 MM

-8What is not working for the Company

INTEREST(HY)

At HKD 2.33 MM has Grown at 30,614.84%

RAW MATERIAL COST(Y)

Grown by 5.91% (YoY

CASH AND EQV(HY)

Lowest at HKD 79.95 MM

DEBT-EQUITY RATIO (HY)

Highest at 0.97 %

PRE-TAX PROFIT(Q)

Fallen at -79.29%

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

Net Sales

At HKD 236.52 MM has Grown at 281.77%

Year on Year (YoY)

MOJO Watch

Near term sales trend is extremely positive

Net Sales (HKD MM)

Debtors Turnover Ratio

Highest at 0.31 times and Grown

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

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Net Sales

Highest at HKD 236.52 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (HKD MM)

Depreciation

Highest at HKD 20.2 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 20.2 MM has Grown at 40.31%

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 Gome Finance Technology Co., Ltd.

Interest

At HKD 2.33 MM has Grown at 30,614.84%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (HKD MM)

Pre-Tax Profit

Fallen at -79.29%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (HKD MM)

Cash and Eqv

Lowest at HKD 79.95 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debt-Equity Ratio

Highest at 0.97 %

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

Raw Material Cost

Grown by 5.91% (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