ScoreWhy is Guangzhou Hengyun Enterprises Holding Ltd. ?
1
Poor Management Efficiency with a low ROCE of 2.50%
- The company has been able to generate a Return on Capital Employed (avg) of 2.50% 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 4.40% and Operating profit at -12.07% 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 4.58% signifying low profitability per unit of shareholders funds
3
Poor long term growth as Net Sales has grown by an annual rate of 4.40% and Operating profit at -12.07% over the last 5 years
- OPERATING CASH FLOW(Y) Highest at CNY 756.55 MM
- RAW MATERIAL COST(Y) Fallen by -41.95% (YoY)
- PRE-TAX PROFIT(Q) Highest at CNY 17.92 MM
4
With ROE of 4.91%, it has a very expensive valuation with a 0.73 Price to Book Value
- Over the past year, while the stock has generated a return of 25.56%, its profits have risen by 16.6% ; the PEG ratio of the company is 0.9
- At the current price, the company has a high dividend yield of 1.3
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Guangzhou Hengyun Enterprises Holding Ltd. should be less than 10%
- Overall Portfolio exposure to Power should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Power)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Guangzhou Hengyun Enterprises Holding Ltd. for you?
Medium Risk, High Return
Absolute
Risk Adjusted
Volatility
Guangzhou Hengyun Enterprises Holding Ltd.
6.81%
0.85
33.17%
China Shanghai Composite
14.77%
1.01
15.10%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
4.40%
EBIT Growth (5y)
-12.07%
EBIT to Interest (avg)
0.64
Debt to EBITDA (avg)
23.26
Net Debt to Equity (avg)
1.30
Sales to Capital Employed (avg)
0.27
Tax Ratio
1.38%
Dividend Payout Ratio
50.00%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
2.50%
ROE (avg)
4.58%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
15
Industry P/E
Price to Book Value
0.73
EV to EBIT
45.75
EV to EBITDA
17.47
EV to Capital Employed
0.88
EV to Sales
3.18
PEG Ratio
0.90
Dividend Yield
1.33%
ROCE (Latest)
1.92%
ROE (Latest)
4.91%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Sideways
Mildly Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Bullish
Bullish
Dow Theory
Mildly Bearish
No Trend
OBV
Mildly Bearish
Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend14What is working for the Company
OPERATING CASH FLOW(Y)
Highest at CNY 756.55 MM
RAW MATERIAL COST(Y)
Fallen by -41.95% (YoY
PRE-TAX PROFIT(Q)
Highest at CNY 17.92 MM
NET PROFIT(Q)
Highest at CNY 97.46 MM
EPS(Q)
Highest at CNY 0.09
-15What is not working for the Company
NET SALES(HY)
At CNY 1,965.24 MM has Grown at -17.77%
INTEREST COVERAGE RATIO(Q)
Lowest at 85.94
CASH AND EQV(HY)
Lowest at CNY 2,297.55 MM
DEBTORS TURNOVER RATIO(HY)
Lowest at 4.01%
OPERATING PROFIT(Q)
Lowest at CNY 58.8 MM
OPERATING PROFIT MARGIN(Q)
Lowest at 5.79 %
Here's what is working for Guangzhou Hengyun Enterprises Holding Ltd.
Operating Cash Flow
Highest at CNY 756.55 MM and Grown
In each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (CNY MM)
Pre-Tax Profit
At CNY 17.92 MM has Grown at 159.48%
over average net sales of the previous four periods of CNY -30.14 MMMOJO Watch
Near term Pre-Tax Profit trend is very positive
Pre-Tax Profit (CNY MM)
Net Profit
At CNY 97.46 MM has Grown at 133.95%
over average net sales of the previous four periods of CNY 41.66 MMMOJO Watch
Near term Net Profit trend is very positive
Net Profit (CNY MM)
Pre-Tax Profit
Highest at CNY 17.92 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 97.46 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (CNY MM)
EPS
Highest at CNY 0.09
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (CNY)
Raw Material Cost
Fallen by -41.95% (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 Guangzhou Hengyun Enterprises Holding Ltd.
Net Sales
At CNY 1,965.24 MM has Grown at -17.77%
Year on Year (YoY)MOJO Watch
Near term sales trend is very negative
Net Sales (CNY MM)
Interest Coverage Ratio
Lowest at 85.94
in the last five periodsMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Operating Profit
Lowest at CNY 58.8 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is negative
Operating Profit (CNY MM)
Operating Profit Margin
Lowest at 5.79 %
in the last five periodsMOJO Watch
Company's profit margin has deteriorated
Operating Profit to Sales
Cash and Eqv
Lowest at CNY 2,297.55 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is deteriorating
Cash and Cash Equivalents
Debtors Turnover Ratio
Lowest at 4.01%
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio
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