Guangdong Tengen Industrial Group Co., Ltd. (003003) 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 Tengen Industrial Group Co., Ltd.

Why is Guangdong Tengen Industrial Group Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 2.72%

The company has been able to generate a Return on Capital Employed (avg) of 2.72% signifying low profitability per unit of total capital (equity and debt)

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 1.89% and Operating profit at -5.06% 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 3.04% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 1.89% and Operating profit at -5.06% over the last 5 years

Flat results in Sep 25

OPERATING CASH FLOW(Y) Lowest at CNY 191.28 MM
NET SALES(9M) At CNY 766.97 MM has Grown at -13.35%
INTEREST(HY) At CNY 2.35 MM has Grown at 14.36%

With ROE of 4.88%, it has a fair valuation with a 1.66 Price to Book Value

Over the past year, while the stock has generated a return of 31.44%, its profits have risen by 10.4% ; the PEG ratio of the company is 3.3
At the current price, the company has a high dividend yield of 1.7

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Guangdong Tengen Industrial Group Co., Ltd. should be less than 10%
Overall Portfolio exposure to Packaging should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Packaging)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Guangdong Tengen Industrial Group Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Guangdong Tengen Industrial Group Co., Ltd.

31.44%

1.17

52.51%

China Shanghai Composite

16.01%

1.07

14.97%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

1.89%

EBIT Growth (5y)

-5.06%

EBIT to Interest (avg)

14.87

Debt to EBITDA (avg)

0.43

Net Debt to Equity (avg)

-0.05

Sales to Capital Employed (avg)

0.84

Tax Ratio

4.85%

Dividend Payout Ratio

54.56%

Pledged Shares

Institutional Holding

ROCE (avg)

2.72%

ROE (avg)

3.04%

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

1.66

EV to EBIT

40.43

EV to EBITDA

21.79

EV to Capital Employed

1.67

EV to Sales

2.04

PEG Ratio

3.25

Dividend Yield

1.68%

ROCE (Latest)

4.14%

ROE (Latest)

4.88%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bearish

OBV

Mildly Bearish

Mildly 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

4What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -9.33% (YoY

PRE-TAX PROFIT(Q)

Highest at CNY 19.78 MM

NET PROFIT(Q)

Highest at CNY 17.51 MM

EPS(Q)

Highest at CNY 0.1

-11What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at CNY 191.28 MM

NET SALES(9M)

At CNY 766.97 MM has Grown at -13.35%

INTEREST(HY)

At CNY 2.35 MM has Grown at 14.36%

OPERATING PROFIT(Q)

Lowest at CNY 16.66 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 6.17 %

Here's what is working for Guangdong Tengen Industrial Group Co., Ltd.

Pre-Tax Profit

Highest at CNY 19.78 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

Highest at CNY 17.51 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY 0.1

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Raw Material Cost

Fallen by -9.33% (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 Tengen Industrial Group Co., Ltd.

Interest

At CNY 2.35 MM has Grown at 14.36%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Net Sales

At CNY 766.97 MM has Grown at -13.35%

Year on Year (YoY)

MOJO Watch

Near term sales trend is very negative

Net Sales (CNY MM)

Operating Cash Flow

Lowest at CNY 191.28 MM and Fallen

In each year 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 16.66 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 6.17 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales