Grandblue Environment Co., Ltd. (600323) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Grandblue Environment Co., Ltd.

Why is Grandblue Environment Co., Ltd. ?

High Debt Company with a Debt to Equity ratio (avg) at times

Poor long term growth as Net Sales has grown by an annual rate of 12.12% and Operating profit at 14.79% over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times
The company has been able to generate a Return on Equity (avg) of 12.47% signifying low profitability per unit of shareholders funds

Flat results in Mar 25

INTEREST(HY) At CNY 249.32 MM has Grown at 5.98%
DEBTORS TURNOVER RATIO(HY) Lowest at 2.16%
NET SALES(Q) At CNY 2,555.9 MM has Fallen at -13.2%

With ROE of 13.41%, it has a very attractive valuation with a 1.52 Price to Book Value

Over the past year, while the stock has generated a return of 40.13%, its profits have risen by 12.4% ; the PEG ratio of the company is 0.9
At the current price, the company has a high dividend yield of 3.1

Market Beating performance in long term as well as near term

Along with generating 40.13% 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 Grandblue Environment Co., Ltd. should be less than 10%
Overall Portfolio exposure to Miscellaneous should be less than 30%

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

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

Is Grandblue Environment Co., Ltd. for you?

Medium Risk, High Return

Absolute

Risk Adjusted

Volatility

Grandblue Environment Co., Ltd.

40.13%

1.83

25.75%

China Shanghai Composite

14.77%

1.01

14.58%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

12.12%

EBIT Growth (5y)

14.79%

EBIT to Interest (avg)

3.95

Debt to EBITDA (avg)

4.13

Net Debt to Equity (avg)

0.81

Sales to Capital Employed (avg)

0.41

Tax Ratio

20.20%

Dividend Payout Ratio

39.20%

Pledged Shares

Institutional Holding

ROCE (avg)

8.23%

ROE (avg)

12.47%

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

1.52

EV to EBIT

22.34

EV to EBITDA

14.91

EV to Capital Employed

1.16

EV to Sales

4.55

PEG Ratio

0.92

Dividend Yield

3.11%

ROCE (Latest)

5.18%

ROE (Latest)

13.41%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bearish

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

No Trend

OBV

No Trend

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

7What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 3,557.42 MM

DEBT-EQUITY RATIO (HY)

Lowest at 80.91 %

RAW MATERIAL COST(Y)

Fallen by -9.78% (YoY

CASH AND EQV(HY)

Highest at CNY 10,349.13 MM

-8What is not working for the Company

INTEREST(HY)

At CNY 249.32 MM has Grown at 5.98%

DEBTORS TURNOVER RATIO(HY)

Lowest at 2.16%

NET SALES(Q)

At CNY 2,555.9 MM has Fallen at -13.2%

OPERATING PROFIT(Q)

Lowest at CNY 579.52 MM

Here's what is working for Grandblue Environment Co., Ltd.

Operating Cash Flow

Highest at CNY 3,557.42 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Debt-Equity Ratio

Lowest at 80.91 % and Grown

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

MOJO Watch

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

Debt-Equity Ratio

Cash and Eqv

Highest at CNY 10,349.13 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Raw Material Cost

Fallen by -9.78% (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 Grandblue Environment Co., Ltd.

Net Sales

At CNY 2,555.9 MM has Fallen at -13.2%

over average net sales of the previous four periods of CNY 2,944.45 MM

MOJO Watch

Near term sales trend is very negative

Net Sales (CNY MM)

Interest

At CNY 249.32 MM has Grown at 5.98%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Debtors Turnover Ratio

Lowest at 2.16% 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

Net Sales

Lowest at CNY 2,555.9 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Operating Profit

Lowest at CNY 579.52 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)