Guangdong Topstar Technology Co., Ltd. (300607) 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 Topstar Technology Co., Ltd.

Why is Guangdong Topstar Technology Co., Ltd. ?

With a growth in Net Profit of 1147.36%, the company declared Very Positive results in Mar 26

The company has declared positive results for the last 3 consecutive quarters
OPERATING CASH FLOW(Y) Highest at CNY 375.78 MM
NET SALES(Q) At CNY 537.68 MM has Grown at 48.53%
RAW MATERIAL COST(Y) Fallen by -8.14% (YoY)

Market Beating performance in long term as well as near term

Along with generating 61.66% returns in the last 1 year, the stock has outperformed China Shanghai Composite in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Guangdong Topstar Technology Co., Ltd. should be less than 10%
Overall Portfolio exposure to Industrial Manufacturing should be less than 30%

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

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

Is Guangdong Topstar Technology Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Guangdong Topstar Technology Co., Ltd.

-9.65%

6.73

51.92%

China Shanghai Composite

3.56%

1.20

14.07%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-2.15%

EBIT Growth (5y)

-29.59%

EBIT to Interest (avg)

1.47

Debt to EBITDA (avg)

1.59

Net Debt to Equity (avg)

-0.04

Sales to Capital Employed (avg)

0.75

Tax Ratio

10.61%

Dividend Payout Ratio

20.66%

Pledged Shares

Institutional Holding

ROCE (avg)

3.18%

ROE (avg)

6.91%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

161

Industry P/E

Price to Book Value

6.47

EV to EBIT

201.55

EV to EBITDA

133.43

EV to Capital Employed

7.06

EV to Sales

6.92

PEG Ratio

1.11

Dividend Yield

0.07%

ROCE (Latest)

3.50%

ROE (Latest)

4.02%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Dow Theory

No Trend

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

30What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 574.27 MM

NET SALES(9M)

At CNY 2,110.64 MM has Grown at 22.53%

ROCE(HY)

Highest at 5.16%

DEBT-EQUITY RATIO (HY)

Lowest at -9.72 %

INTEREST COVERAGE RATIO(Q)

The company hardly has any interest cost

RAW MATERIAL COST(Y)

Fallen by -7.01% (YoY

OPERATING PROFIT(Q)

Highest at CNY 87.07 MM

OPERATING PROFIT MARGIN(Q)

Highest at 11.6 %

PRE-TAX PROFIT(Q)

Highest at CNY 73.65 MM

NET PROFIT(Q)

Highest at CNY 59.19 MM

EPS(Q)

Highest at CNY 0.12

-3What is not working for the Company

INVENTORY TURNOVER RATIO(HY)

Lowest at 2.36 times

CASH AND EQV(HY)

Lowest at CNY 2,463.71 MM

Here's what is working for Guangdong Topstar Technology Co., Ltd.

Net Profit

At CNY 59.19 MM has Grown at 151.16%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (CNY MM)

Debt-Equity Ratio

Lowest at -9.72 % and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Net Sales

At CNY 2,110.64 MM has Grown at 22.53%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Operating Cash Flow

Highest at CNY 574.27 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Operating Profit

Highest at CNY 87.07 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (CNY MM)

Operating Profit Margin

Highest at 11.6 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at CNY 73.65 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Pre-Tax Profit

At CNY 73.65 MM has Grown at 88.67%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

Highest at CNY 59.19 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY 0.12

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Raw Material Cost

Fallen by -7.01% (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 Topstar Technology Co., Ltd.

Inventory Turnover Ratio

Lowest at 2.36 times and Fallen

In each half year in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Cash and Eqv

Lowest at CNY 2,463.71 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents