Guizhou Redstar Developing Co., Ltd. (600367) 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 Redstar Developing Co., Ltd.

Why is Guizhou Redstar Developing Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of 11.56% and Operating profit at 100.30% over the last 5 years

The company has declared Positive results for the last 5 consecutive quarters

OPERATING CASH FLOW(Y) Highest at CNY 321.38 MM
NET PROFIT(HY) At CNY 78.06 MM has Grown at 52.61%
ROCE(HY) Highest at 5.74%

With ROE of 7.03%, it has a very attractive valuation with a 2.12 Price to Book Value

Over the past year, while the stock has generated a return of 90.65%, its profits have risen by 177.3% ; the PEG ratio of the company is 0.2
At the current price, the company has a high dividend yield of 0.3

Market Beating performance in long term as well as near term

Along with generating 90.65% 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 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 Specialty Chemicals)

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

Is Guizhou Redstar Developing Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Guizhou Redstar Developing Co., Ltd.

267.23%

2.70

52.46%

China Shanghai Composite

16.78%

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)

6.66%

EBIT Growth (5y)

18.68%

EBIT to Interest (avg)

35.49

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.33

Sales to Capital Employed (avg)

0.88

Tax Ratio

11.28%

Dividend Payout Ratio

14.70%

Pledged Shares

Institutional Holding

ROCE (avg)

10.61%

ROE (avg)

8.94%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

142

Industry P/E

Price to Book Value

6.18

EV to EBIT

125.16

EV to EBITDA

61.92

EV to Capital Employed

8.33

EV to Sales

7.06

PEG Ratio

Dividend Yield

0.11%

ROCE (Latest)

6.65%

ROE (Latest)

4.36%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bearish

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Bullish

OBV

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

1What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -5.39% (YoY

-17What is not working for the Company

NET PROFIT(HY)

At CNY 14.11 MM has Grown at -76.84%

DEBT-EQUITY RATIO (HY)

Highest at -28.91 %

INVENTORY TURNOVER RATIO(HY)

Lowest at 3.35 times

DEBTORS TURNOVER RATIO(HY)

Lowest at 4.33 times

NET SALES(Q)

Lowest at CNY 472.89 MM

Here's what is working for Guizhou Redstar Developing Co., Ltd.

Raw Material Cost

Fallen by -5.39% (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 Guizhou Redstar Developing Co., Ltd.

Net Profit

At CNY 14.11 MM has Grown at -76.84%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Net Sales

Lowest at CNY 472.89 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Net Sales

Fallen at -11.23%

Year on Year (YoY)

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Debt-Equity Ratio

Highest at -28.91 %

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

Inventory Turnover Ratio

Lowest at 3.35 times

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 4.33 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio