Grinm Advanced Materials Co., Ltd. (600206) 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

Grinm Advanced Materials Co., Ltd.

Why is Grinm Advanced Materials Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of -5.24% and Operating profit at -2.03% over the last 5 years

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

NET PROFIT(9M) At CNY 237.3 MM has Grown at -63.18%
INVENTORY TURNOVER RATIO(HY) Lowest at 4.73 times
DEBTORS TURNOVER RATIO(HY) Lowest at 6.47 times

With ROE of 1.13%, it has a fair valuation with a 4.57 Price to Book Value

Over the past year, while the stock has generated a return of 15.45%, its profits have fallen by -73.7%
At the current price, the company has a high dividend yield of 0.5

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 Minerals & Mining)

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

Is Grinm Advanced Materials Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Grinm Advanced Materials Co., Ltd.

248.51%

3.79

43.55%

China Shanghai Composite

18.87%

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)

-5.82%

EBIT Growth (5y)

5.66%

EBIT to Interest (avg)

7.19

Debt to EBITDA (avg)

Net Debt is too low

Net Debt to Equity (avg)

-0.11

Sales to Capital Employed (avg)

1.85

Tax Ratio

81.41%

Dividend Payout Ratio

30.69%

Pledged Shares

Institutional Holding

ROCE (avg)

4.76%

ROE (avg)

5.02%

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

5.41

EV to EBIT

79.09

EV to EBITDA

55.75

EV to Capital Employed

5.33

EV to Sales

2.21

PEG Ratio

0.04

Dividend Yield

0.74%

ROCE (Latest)

6.74%

ROE (Latest)

6.13%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

Bearish

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Bullish

OBV

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

8What is working for the Company

NET SALES(Q)

Highest at CNY 2,956.91 MM

RAW MATERIAL COST(Y)

Fallen by -1.69% (YoY

-10What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at CNY -968.68 MM

NET PROFIT(HY)

At CNY 80.12 MM has Grown at -22.26%

DEBT-EQUITY RATIO (HY)

Highest at 2.8 %

OPERATING PROFIT(Q)

Lowest at CNY 42.63 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 1.44 %

Here's what is working for Grinm Advanced Materials Co., Ltd.

Net Sales

Highest at CNY 2,956.91 MM and Grown

In each period in the last five periods

MOJO Watch

Near term sales trend is very positive

Net Sales (CNY MM)

Net Sales

At CNY 2,956.91 MM has Grown at 23.95%

over average net sales of the previous four periods of CNY 2,385.53 MM

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Raw Material Cost

Fallen by -1.69% (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 Grinm Advanced Materials Co., Ltd.

Net Profit

At CNY 80.12 MM has Grown at -22.26%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CNY MM)

Operating Cash Flow

Lowest at CNY -968.68 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CNY MM)

Operating Profit

Lowest at CNY 42.63 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 1.44 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Debt-Equity Ratio

Highest at 2.8 %

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