Guangdong Brandmax Marketing Co., Ltd. (300805) 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

Guangdong Brandmax Marketing Co., Ltd.

Why is Guangdong Brandmax Marketing Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 3.44%

The company has been able to generate a Return on Capital Employed (avg) of 3.44% signifying low profitability per unit of total capital (equity and debt)

Poor long term growth as Net Sales has grown by an annual rate of -5.91% and Operating profit at -38.24% over the last 5 years

With a growth in Net Sales of 7.94%, the company declared Very Positive results in Sep 25

ROCE(HY) Highest at 2.7%
RAW MATERIAL COST(Y) Fallen by -27.25% (YoY)
CASH AND EQV(HY) Highest at CNY 2,084.06 MM

With ROE of 1.75%, it has a expensive valuation with a 3.25 Price to Book Value

Over the past year, while the stock has generated a return of 5.00%, its profits have risen by 101.3% ; the PEG ratio of the company is 1.8
At the current price, the company has a high dividend yield of 0.2

Underperformed the market in the last 1 year

The stock has generated a return of 5.00% in the last 1 year, much lower than market (China Shanghai Composite) returns of 16.01%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Guangdong Brandmax Marketing 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 Guangdong Brandmax Marketing Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Guangdong Brandmax Marketing Co., Ltd.

5.0%

1.36

53.98%

China Shanghai Composite

16.01%

1.07

14.99%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-5.91%

EBIT Growth (5y)

-38.24%

EBIT to Interest (avg)

6.65

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.43

Sales to Capital Employed (avg)

1.34

Tax Ratio

2.19%

Dividend Payout Ratio

60.24%

Pledged Shares

Institutional Holding

ROCE (avg)

3.44%

ROE (avg)

2.19%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

186

Industry P/E

Price to Book Value

3.25

EV to EBIT

827.03

EV to EBITDA

133.48

EV to Capital Employed

5.04

EV to Sales

1.81

PEG Ratio

1.83

Dividend Yield

0.17%

ROCE (Latest)

0.61%

ROE (Latest)

1.75%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

Mildly Bearish

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

19What is working for the Company

ROCE(HY)

Highest at 2.7%

RAW MATERIAL COST(Y)

Fallen by -27.25% (YoY

CASH AND EQV(HY)

Highest at CNY 2,084.06 MM

INVENTORY TURNOVER RATIO(HY)

Highest at 38.19 times

DEBTORS TURNOVER RATIO(HY)

Highest at 3.97 times

PRE-TAX PROFIT(Q)

At CNY 11.59 MM has Grown at 74.61%

NET PROFIT(Q)

At CNY 10.71 MM has Grown at 58.03%

-10What is not working for the Company

INTEREST(HY)

At CNY 2.21 MM has Grown at 150.04%

OPERATING CASH FLOW(Y)

Lowest at CNY -112.01 MM

Here's what is working for Guangdong Brandmax Marketing Co., Ltd.

Pre-Tax Profit

At CNY 11.59 MM has Grown at 74.61%

over average net sales of the previous four periods of CNY 6.64 MM

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 10.71 MM has Grown at 58.03%

over average net sales of the previous four periods of CNY 6.78 MM

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

Cash and Eqv

Highest at CNY 2,084.06 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Inventory Turnover Ratio

Highest at 38.19 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Debtors Turnover Ratio

Highest at 3.97 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by -27.25% (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 Guangdong Brandmax Marketing Co., Ltd.

Interest

At CNY 2.21 MM has Grown at 150.04%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Operating Cash Flow

Lowest at CNY -112.01 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CNY MM)