Guangzhou KDT Machinery Co., Ltd. (002833) 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

Guangzhou KDT Machinery Co., Ltd.

Why is Guangzhou KDT Machinery Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of 6.03% and Operating profit at 3.06% over the last 5 years

Positive results in Mar 26

OPERATING CASH FLOW(Y) Highest at CNY 666.26 MM
INTEREST COVERAGE RATIO(Q) Highest at 1,514.51
RAW MATERIAL COST(Y) Fallen by -17.32% (YoY)

With ROE of 14.63%, it has a attractive valuation with a 1.69 Price to Book Value

Over the past year, while the stock has generated a return of 10.84%, its profits have fallen by -12.3%
At the current price, the company has a high dividend yield of 8.3

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Guangzhou KDT Machinery 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 Guangzhou KDT Machinery Co., Ltd. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Guangzhou KDT Machinery Co., Ltd.

10.84%

-0.31

31.45%

China Shanghai Composite

16.78%

1.20

13.96%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

6.03%

EBIT Growth (5y)

3.06%

EBIT to Interest (avg)

31.44

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.18

Sales to Capital Employed (avg)

0.73

Tax Ratio

12.95%

Dividend Payout Ratio

88.67%

Pledged Shares

Institutional Holding

ROCE (avg)

29.82%

ROE (avg)

20.47%

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

1.69

EV to EBIT

8.89

EV to EBITDA

7.50

EV to Capital Employed

1.88

EV to Sales

1.78

PEG Ratio

Dividend Yield

8.30%

ROCE (Latest)

21.16%

ROE (Latest)

14.63%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

Mildly Bearish

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

14What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 666.26 MM

INTEREST COVERAGE RATIO(Q)

Highest at 1,514.51

RAW MATERIAL COST(Y)

Fallen by -17.32% (YoY

DEBT-EQUITY RATIO (HY)

Lowest at -20.62 %

NET SALES(Q)

Highest at CNY 781.87 MM

OPERATING PROFIT(Q)

Highest at CNY 176.84 MM

PRE-TAX PROFIT(Q)

Highest at CNY 174.97 MM

NET PROFIT(Q)

Highest at CNY 150.56 MM

EPS(Q)

Highest at CNY 0.34

-9What is not working for the Company

INTEREST(HY)

At CNY 36.65 MM has Grown at 72.17%

OPERATING PROFIT MARGIN(Q)

Lowest at 22.62 %

Here's what is working for Guangzhou KDT Machinery Co., Ltd.

Interest Coverage Ratio

Highest at 1,514.51

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Operating Cash Flow

Highest at CNY 666.26 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Net Sales

Highest at CNY 781.87 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Net Sales

At CNY 781.87 MM has Grown at 30.08%

over average net sales of the previous four periods of CNY 601.08 MM

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Operating Profit

Highest at CNY 176.84 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (CNY MM)

Pre-Tax Profit

Highest at CNY 174.97 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 150.56 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY 0.34

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Debt-Equity Ratio

Lowest at -20.62 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Raw Material Cost

Fallen by -17.32% (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 KDT Machinery Co., Ltd.

Interest

At CNY 36.65 MM has Grown at 72.17%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Operating Profit Margin

Lowest at 22.62 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales