ScoreWhy is Guangdong Guanghua Sci-Tech Co., Ltd. ?
1
Poor Management Efficiency with a low ROCE of 1.51%
- The company has been able to generate a Return on Capital Employed (avg) of 1.51% signifying low profitability per unit of total capital (equity and debt)
2
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 8.09% and Operating profit at -248.30% 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 1.98% signifying low profitability per unit of shareholders funds
3
Poor long term growth as Net Sales has grown by an annual rate of 8.09% and Operating profit at -248.30% over the last 5 years
4
With a growth in Net Profit of 23.17%, the company declared Very Positive results in Mar 25
- RAW MATERIAL COST(Y) Fallen by -923.47% (YoY)
- CASH AND EQV(HY) Highest at CNY 1,500.41 MM
- DEBT-EQUITY RATIO (HY) Lowest at 22.8 %
5
Risky -
- The stock is trading risky as compared to its average historical valuations
- Over the past year, while the stock has generated a return of 62.62%, its profits have risen by 21.8%
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Guangdong Guanghua Sci-Tech Co., Ltd. should be less than 10%
- Overall Portfolio exposure to Specialty Chemicals should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Specialty Chemicals)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Guangdong Guanghua Sci-Tech Co., Ltd. for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Guangdong Guanghua Sci-Tech Co., Ltd.
9.99%
1.88
62.14%
China Shanghai Composite
15.19%
1.01
15.10%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
8.09%
EBIT Growth (5y)
-248.30%
EBIT to Interest (avg)
-2.04
Debt to EBITDA (avg)
4.83
Net Debt to Equity (avg)
0.23
Sales to Capital Employed (avg)
0.94
Tax Ratio
4.44%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
1.51%
ROE (avg)
1.98%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
NA (Loss Making)
Industry P/E
Price to Book Value
4.17
EV to EBIT
-81.14
EV to EBITDA
248.06
EV to Capital Employed
3.49
EV to Sales
3.13
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
-4.30%
ROE (Latest)
-8.44%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
Bearish
Bollinger Bands
Bearish
Mildly Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
Mildly Bearish
No Trend
OBV
Bullish
Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend12What is working for the Company
RAW MATERIAL COST(Y)
Fallen by -923.47% (YoY
CASH AND EQV(HY)
Highest at CNY 1,500.41 MM
DEBT-EQUITY RATIO
(HY)
Lowest at 22.8 %
INVENTORY TURNOVER RATIO(HY)
Highest at 8.31%
PRE-TAX PROFIT(Q)
Highest at CNY 27.94 MM
NET PROFIT(Q)
Highest at CNY 25.36 MM
EPS(Q)
Highest at CNY 0.05
-3What is not working for the Company
NET PROFIT(HY)
At CNY -186.52 MM has Grown at -26.67%
NET SALES(Q)
At CNY 584.72 MM has Fallen at -9.12%
Here's what is working for Guangdong Guanghua Sci-Tech Co., Ltd.
Pre-Tax Profit
At CNY 27.94 MM has Grown at 155.75%
over average net sales of the previous four periods of CNY -50.11 MMMOJO Watch
Near term Pre-Tax Profit trend is very positive
Pre-Tax Profit (CNY MM)
Net Profit
At CNY 25.36 MM has Grown at 149.46%
over average net sales of the previous four periods of CNY -51.28 MMMOJO Watch
Near term Net Profit trend is very positive
Net Profit (CNY MM)
Pre-Tax Profit
Highest at CNY 27.94 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (CNY MM)
Net Profit
Highest at CNY 25.36 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (CNY MM)
EPS
Highest at CNY 0.05
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (CNY)
Cash and Eqv
Highest at CNY 1,500.41 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Debt-Equity Ratio
Lowest at 22.8 %
in the last five Semi-Annual periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Inventory Turnover Ratio
Highest at 8.31%
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Raw Material Cost
Fallen by -923.47% (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 Guanghua Sci-Tech Co., Ltd.
Net Sales
At CNY 584.72 MM has Fallen at -9.12%
over average net sales of the previous four periods of CNY 643.43 MMMOJO Watch
Near term sales trend is negative
Net Sales (CNY MM)
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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