Guangdong Electric Power Development Co., Ltd. (000539) 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 Electric Power Development Co., Ltd.

Why is Guangdong Electric Power Development Co., Ltd. ?

Weak Long Term Fundamental Strength with an average Return on Capital Employed (ROCE) of 2.71%

Poor long term growth as Net Sales has grown by an annual rate of 10.73% and Operating profit at -3.89% over the last 5 years
The company is Net-Debt Free

With ROE of 5.72%, it has a very expensive valuation with a 0.85 Price to Book Value

Over the past year, while the stock has generated a return of 45.87%, its profits have risen by 35.5% ; the PEG ratio of the company is 0.4
At the current price, the company has a high dividend yield of 0.3

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 Power)

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

Is Guangdong Electric Power Development Co., Ltd. for you?

High Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Guangdong Electric Power Development Co., Ltd.

43.52%

0.39

55.69%

China Shanghai Composite

16.78%

1.40

13.75%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

10.73%

EBIT Growth (5y)

-3.89%

EBIT to Interest (avg)

0.98

Debt to EBITDA (avg)

16.38

Net Debt to Equity (avg)

3.96

Sales to Capital Employed (avg)

0.45

Tax Ratio

67.56%

Dividend Payout Ratio

17.50%

Pledged Shares

Institutional Holding

ROCE (avg)

2.71%

ROE (avg)

4.50%

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

0.85

EV to EBIT

34.97

EV to EBITDA

13.33

EV to Capital Employed

0.97

EV to Sales

2.06

PEG Ratio

0.42

Dividend Yield

0.26%

ROCE (Latest)

2.77%

ROE (Latest)

5.72%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

No Trend

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

13What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 11,842.08 MM

RAW MATERIAL COST(Y)

Fallen by -97.67% (YoY

INVENTORY TURNOVER RATIO(HY)

Highest at 18.43 times

PRE-TAX PROFIT(Q)

At CNY -223.68 MM has Grown at 60.18%

NET PROFIT(Q)

At CNY -151.65 MM has Grown at 60.39%

-4What is not working for the Company

INTEREST COVERAGE RATIO(Q)

Lowest at 59.67

OPERATING PROFIT(Q)

Lowest at CNY 335.49 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 2.96 %

Here's what is working for Guangdong Electric Power Development Co., Ltd.

Operating Cash Flow

Highest at CNY 11,842.08 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Pre-Tax Profit

At CNY -223.68 MM has Grown at 60.18%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

At CNY -151.65 MM has Grown at 60.39%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

Inventory Turnover Ratio

Highest at 18.43 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Raw Material Cost

Fallen by -97.67% (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 Electric Power Development Co., Ltd.

Interest Coverage Ratio

Lowest at 59.67

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Operating Profit

Lowest at CNY 335.49 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 2.96 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales