ScoreWhy is Guangzhou Lingwe Technology Co., Ltd. ?
1
Poor long term growth as Net Sales has grown by an annual rate of 7.07% and Operating profit at 13.47% over the last 5 years
- INTEREST(9M) At CNY 0.74 MM has Grown at 7.07%
- DEBT-EQUITY RATIO (HY) Highest at -29.57 %
- INTEREST COVERAGE RATIO(Q) Lowest at 10,011.7
2
With ROE of 8.65%, it has a very attractive valuation with a 1.90 Price to Book Value
- Over the past year, while the stock has generated a return of 130.01%, its profits have risen by 6.5% ; the PEG ratio of the company is 3.4
- At the current price, the company has a high dividend yield of 0.4
3
Market Beating performance in long term as well as near term
- Along with generating 130.01% 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 ReportHow much should you hold?
- Overall Portfolio exposure to Guangzhou Lingwe Technology Co., Ltd. should be less than 10%
- Overall Portfolio exposure to Specialty Chemicals should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Specialty Chemicals)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Guangzhou Lingwe Technology Co., Ltd. for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Guangzhou Lingwe Technology Co., Ltd.
139.66%
3.21
57.24%
China Shanghai Composite
16.01%
1.03
14.98%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
7.07%
EBIT Growth (5y)
13.47%
EBIT to Interest (avg)
100.00
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.37
Sales to Capital Employed (avg)
0.30
Tax Ratio
18.43%
Dividend Payout Ratio
40.21%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
18.83%
ROE (avg)
7.81%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
22
Industry P/E
Price to Book Value
1.90
EV to EBIT
16.30
EV to EBITDA
13.45
EV to Capital Employed
2.94
EV to Sales
4.51
PEG Ratio
3.41
Dividend Yield
0.41%
ROCE (Latest)
18.03%
ROE (Latest)
8.65%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
No Signal
Bearish
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Dow Theory
Bullish
Bullish
OBV
Bullish
Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend2What is working for the Company
RAW MATERIAL COST(Y)
Fallen by -10.25% (YoY
NET SALES(Q)
Highest at CNY 139.11 MM
-8What is not working for the Company
INTEREST(9M)
At CNY 0.74 MM has Grown at 7.07%
DEBT-EQUITY RATIO
(HY)
Highest at -29.57 %
INTEREST COVERAGE RATIO(Q)
Lowest at 10,011.7
DEBTORS TURNOVER RATIO(HY)
Lowest at 3.29 times
OPERATING PROFIT MARGIN(Q)
Lowest at 28.75 %
Here's what is working for Guangzhou Lingwe Technology Co., Ltd.
Net Sales
Highest at CNY 139.11 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (CNY MM)
Raw Material Cost
Fallen by -10.25% (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 Lingwe Technology Co., Ltd.
Interest Coverage Ratio
Lowest at 10,011.7
in the last five periodsMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Debt-Equity Ratio
Highest at -29.57 % and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
Interest
At CNY 0.74 MM has Grown at 7.07%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (CNY MM)
Operating Profit Margin
Lowest at 28.75 %
in the last five periodsMOJO Watch
Company's profit margin has deteriorated
Operating Profit to Sales
Debtors Turnover Ratio
Lowest at 3.29 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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