Hainan Expressway Co., Ltd. (000886) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Hainan Expressway Co., Ltd.

Why is Hainan Expressway Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 0%

The company has reported losses and also has negative networth. This is not a good sign for the investors. Either company will have to raise fresh capital or report profits to sustain going forward

Poor long term growth as Net Sales has grown by an annual rate of 33.04% and Operating profit at -180.20% over the last 5 years

Flat results in Mar 25

INTEREST(HY) At CNY 1 MM has Grown at 78.44%
OPERATING CASH FLOW(Y) Lowest at CNY -512.35 MM
ROCE(HY) Lowest at 0.44%

With ROE of -0.31%, it has a risky valuation with a 2.06 Price to Book Value

Over the past year, while the stock has generated a return of 9.25%, its profits have fallen by -113.2%
At the current price, the company has a high dividend yield of 0.3

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 Construction)

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

Is Hainan Expressway Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Hainan Expressway Co., Ltd.

3.39%

1.48

46.48%

China Shanghai Composite

15.19%

1.01

15.10%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

33.04%

EBIT Growth (5y)

-180.20%

EBIT to Interest (avg)

-64.40

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

-0.03

Sales to Capital Employed (avg)

0.05

Tax Ratio

8.35%

Dividend Payout Ratio

32.15%

Pledged Shares

Institutional Holding

ROCE (avg)

ROE (avg)

3.46%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

2.06

EV to EBIT

-53.96

EV to EBITDA

-65.54

EV to Capital Employed

2.08

EV to Sales

17.56

PEG Ratio

Dividend Yield

0.32%

ROCE (Latest)

-3.85%

ROE (Latest)

-0.31%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Mildly Bearish

Dow Theory

No Trend

OBV

Bullish

No Trend

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

15What is working for the Company

NET SALES(9M)

At CNY 237.79 MM has Grown at 186.28%

RAW MATERIAL COST(Y)

Fallen by -11.39% (YoY

-35What is not working for the Company

INTEREST(HY)

At CNY 1 MM has Grown at 78.44%

OPERATING CASH FLOW(Y)

Lowest at CNY -512.35 MM

ROCE(HY)

Lowest at 0.44%

DEBT-EQUITY RATIO (HY)

Highest at -3.05 %

CASH AND EQV(HY)

Lowest at CNY 957.62 MM

DEBTORS TURNOVER RATIO(HY)

Lowest at 1.17%

PRE-TAX PROFIT(Q)

Fallen at -32.8%

NET PROFIT(Q)

Lowest at CNY -13.61 MM

EPS(Q)

Lowest at CNY -0.01

Here's what is working for Hainan Expressway Co., Ltd.

Net Sales

At CNY 53.81 MM has Grown at 258.03%

Year on Year (YoY)

MOJO Watch

Near term sales trend is extremely positive

Net Sales (CNY MM)

Raw Material Cost

Fallen by -11.39% (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 Hainan Expressway Co., Ltd.

Interest

At CNY 1 MM has Grown at 78.44%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Net Profit

At CNY -13.61 MM has Fallen at -140.07%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Operating Cash Flow

Lowest at CNY -512.35 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CNY MM)

Debt-Equity Ratio

Highest at -3.05 % and Grown

In each half year 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

Pre-Tax Profit

Fallen at -32.8%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (CNY MM)

Net Profit

Lowest at CNY -13.61 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CNY MM)

EPS

Lowest at CNY -0.01

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (CNY)

Cash and Eqv

Lowest at CNY 957.62 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debtors Turnover Ratio

Lowest at 1.17%

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio