Why is Guangdong Mingyang Electric Co., Ltd. ?
1
With ROE of 15.14%, it has a very attractive valuation with a 1.73 Price to Book Value
- Over the past year, while the stock has generated a return of 27.16%, its profits have risen by 34% ; the PEG ratio of the company is 0.3
- At the current price, the company has a high dividend yield of 1.7
2
Market Beating Performance
- The stock has generated a return of 27.16% in the last 1 year, much higher than market (China Shanghai Composite) returns of 15.18%
How much should you buy?
- Overall Portfolio exposure to Guangdong Mingyang Electric Co., Ltd. should be less than 10%
- Overall Portfolio exposure to Electronics & Appliances should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Electronics & Appliances)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Guangdong Mingyang Electric Co., Ltd. for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Guangdong Mingyang Electric Co., Ltd.
-3.53%
1.07
54.48%
China Shanghai Composite
14.03%
1.01
15.10%
Quality key factors
Factor
Value
Sales Growth (5y)
40.20%
EBIT Growth (5y)
37.36%
EBIT to Interest (avg)
100.00
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.12
Sales to Capital Employed (avg)
1.11
Tax Ratio
12.21%
Dividend Payout Ratio
33.93%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
19.90%
ROE (avg)
13.45%
Valuation Key Factors 
Factor
Value
P/E Ratio
11
Industry P/E
Price to Book Value
1.73
EV to EBIT
10.36
EV to EBITDA
9.67
EV to Capital Employed
1.79
EV to Sales
1.07
PEG Ratio
0.34
Dividend Yield
1.67%
ROCE (Latest)
17.26%
ROE (Latest)
15.14%
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Bullish
Dow Theory
Mildly Bullish
Mildly Bearish
OBV
No Trend
No Trend
Technical Movement
7What is working for the Company
INVENTORY TURNOVER RATIO(HY)
Highest at 4.67%
DEBTORS TURNOVER RATIO(HY)
Highest at 2.11%
NET SALES(Q)
At CNY 1,298.65 MM has Grown at 25.9%
-6What is not working for the Company
INTEREST COVERAGE RATIO(Q)
Lowest at 9,000.12
INTEREST(Q)
Highest at CNY 1.2 MM
OPERATING PROFIT MARGIN(Q)
Lowest at 8.35 %
Here's what is working for Guangdong Mingyang Electric Co., Ltd.
Net Sales
At CNY 1,298.65 MM has Grown at 25.9%
Year on Year (YoY)MOJO Watch
Near term sales trend is positive
Net Sales (CNY MM)
Inventory Turnover Ratio
Highest at 4.67%
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Debtors Turnover Ratio
Highest at 2.11%
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Here's what is not working for Guangdong Mingyang Electric Co., Ltd.
Interest
At CNY 1.2 MM has Grown at 202.98%
period on period (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (CNY MM)
Interest Coverage Ratio
Lowest at 9,000.12
in the last five periodsMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Interest
Highest at CNY 1.2 MM
in the last five periods and Increased by 202.98% (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (CNY MM)
Operating Profit Margin
Lowest at 8.35 %
in the last five periodsMOJO Watch
Company's profit margin has deteriorated
Operating Profit to Sales






