Guizhou Aviation Technology Development Co. Ltd. () 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

Guizhou Aviation Technology Development Co. Ltd.

Why is Guizhou Aviation Technology Development Co. Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of 24.58% and Operating profit at 14.93% over the last 5 years

The company has declared Negative results for the last 4 consecutive quarters

INTEREST(HY) At CNY 19.03 MM has Grown at 13.3%
RAW MATERIAL COST(Y) Grown by 15.25% (YoY)
DEBT-EQUITY RATIO (HY) Highest at 61.64 %

With ROE of 9.22%, it has a very expensive valuation with a 4.50 Price to Book Value

Over the past year, while the stock has generated a return of 129.88%, its profits have risen by 1.8%

Market Beating Performance

The stock has generated a return of 129.88% in the last 1 year, much higher than market (China Shanghai Composite) returns of 22.49%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Guizhou Aviation Technology Development Co. Ltd. should be less than 10%
Overall Portfolio exposure to Ferrous Metals should be less than 30%

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

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

Is Guizhou Aviation Technology Development Co. Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Guizhou Aviation Technology Development Co. Ltd.

79.62%

2.30

61.85%

China Shanghai Composite

16.67%

1.58

14.20%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

24.58%

EBIT Growth (5y)

14.93%

EBIT to Interest (avg)

16.18

Debt to EBITDA (avg)

2.85

Net Debt to Equity (avg)

0.52

Sales to Capital Employed (avg)

0.60

Tax Ratio

7.17%

Dividend Payout Ratio

13.08%

Pledged Shares

Institutional Holding

ROCE (avg)

13.05%

ROE (avg)

12.44%

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

4.50

EV to EBIT

50.67

EV to EBITDA

35.62

EV to Capital Employed

3.15

EV to Sales

5.69

PEG Ratio

Dividend Yield

ROCE (Latest)

6.21%

ROE (Latest)

9.22%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bearish

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

10What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 269.26 MM

NET SALES(Q)

Highest at CNY 603.4 MM

PRE-TAX PROFIT(Q)

Highest at CNY 62.4 MM

NET PROFIT(Q)

Highest at CNY 55.24 MM

-8What is not working for the Company

INTEREST(HY)

At CNY 19.03 MM has Grown at 13.3%

RAW MATERIAL COST(Y)

Grown by 15.25% (YoY

DEBT-EQUITY RATIO (HY)

Highest at 61.64 %

OPERATING PROFIT MARGIN(Q)

Lowest at 11.73 %

Here's what is working for Guizhou Aviation Technology Development Co. Ltd.

Operating Cash Flow

Highest at CNY 269.26 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Net Sales

At CNY 603.4 MM has Grown at 40.68%

over average net sales of the previous four periods of CNY 428.92 MM

MOJO Watch

Near term sales trend is very positive

Net Sales (CNY MM)

Net Sales

Highest at CNY 603.4 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Pre-Tax Profit

Highest at CNY 62.4 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 55.24 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

Here's what is not working for Guizhou Aviation Technology Development Co. Ltd.

Interest

At CNY 19.03 MM has Grown at 13.3%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Operating Profit Margin

Lowest at 11.73 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Debt-Equity Ratio

Highest at 61.64 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Raw Material Cost

Grown by 15.25% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales