Guanghui Logistics Co., Ltd. (600603) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Guanghui Logistics Co., Ltd.

Why is Guanghui Logistics Co., Ltd. ?

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 6.40% and Operating profit at -1.70% 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 9.36% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 6.40% and Operating profit at -1.70% over the last 5 years

The company has declared negative results for the last 6 consecutive quarters

The company has declared negative results in Dec 23 after 4 consecutive negative quarters
NET SALES(HY) At CNY 1,767.69 MM has Grown at -52.5%
ROCE(HY) Lowest at 7.34%
CASH AND EQV(HY) Lowest at CNY 203.19 MM

With ROE of 7.03%, it has a expensive valuation with a 1.48 Price to Book Value

Over the past year, while the stock has generated a return of -35.31%, its profits have fallen by -13%

Below par performance in long term as well as near term

Along with generating -35.31% returns in the last 1 year, the stock has also underperformed China Shanghai Composite in the last 3 years, 1 year and 3 months

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 Realty)

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

Is Guanghui Logistics Co., Ltd. for you?

High Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Guanghui Logistics Co., Ltd.

-35.31%

0.52

36.33%

China Shanghai Composite

14.77%

1.01

14.58%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

6.40%

EBIT Growth (5y)

-1.70%

EBIT to Interest (avg)

4.14

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

Tax Ratio

16.87%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

12.18%

ROE (avg)

9.36%

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

1.48

EV to EBIT

14.77

EV to EBITDA

10.76

EV to Capital Employed

1.29

EV to Sales

4.31

PEG Ratio

Dividend Yield

ROCE (Latest)

8.75%

ROE (Latest)

7.03%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly Bearish

OBV

Mildly Bearish

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

6What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 2,145.85 MM

RAW MATERIAL COST(Y)

Fallen by -14.97% (YoY

PRE-TAX PROFIT(Q)

Highest at CNY 260.75 MM

NET PROFIT(Q)

Highest at CNY 207.26 MM

EPS(Q)

Highest at CNY 0.18

-17What is not working for the Company

NET SALES(HY)

At CNY 1,767.69 MM has Grown at -52.5%

ROCE(HY)

Lowest at 7.34%

CASH AND EQV(HY)

Lowest at CNY 203.19 MM

INVENTORY TURNOVER RATIO(HY)

Lowest at 0.63%

DEBTORS TURNOVER RATIO(HY)

Lowest at 2.67%

Here's what is working for Guanghui Logistics Co., Ltd.

Operating Cash Flow

Highest at CNY 2,145.85 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

Highest at CNY 260.75 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 207.26 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY 0.18

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Raw Material Cost

Fallen by -14.97% (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 Guanghui Logistics Co., Ltd.

Net Sales

At CNY 721.1 MM has Fallen at -26.41%

Year on Year (YoY)

MOJO Watch

Near term sales trend is extremely negative

Net Sales (CNY MM)

Net Sales

Lowest at CNY 721.1 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Cash and Eqv

Lowest at CNY 203.19 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Inventory Turnover Ratio

Lowest at 0.63%

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Debtors Turnover Ratio

Lowest at 2.67%

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio