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

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 37.44% and Operating profit at -181.54% over the last 5 years

Flat results in Sep 25

NET PROFIT(HY) At CNY 2.94 MM has Grown at -28.81%
ROCE(HY) Lowest at 0.36%
DEBT-EQUITY RATIO (HY) Highest at 0.92 %

With ROE of -0.31%, it has a risky valuation with a 2.15 Price to Book Value

Over the past year, while the stock has generated a return of -14.12%, its profits have fallen by -113.2%
At the current price, the company has a high dividend yield of 0.3

Below par performance in long term as well as near term

Along with generating -14.12% returns in the last 1 year, the stock has also underperformed 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 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.

-13.66%

0.72

41.94%

China Shanghai Composite

15.17%

1.02

14.86%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

37.44%

EBIT Growth (5y)

-181.54%

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)

0.06

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

2.15

EV to EBIT

-56.50

EV to EBITDA

-68.63

EV to Capital Employed

2.18

EV to Sales

18.38

PEG Ratio

Dividend Yield

0.31%

ROCE (Latest)

-3.85%

ROE (Latest)

-0.31%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly Bearish

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

23What is working for the Company

INVENTORY TURNOVER RATIO(HY)

Highest at 0.38 times

RAW MATERIAL COST(Y)

Fallen by -73.12% (YoY

NET SALES(Q)

Highest at CNY 142.91 MM

OPERATING PROFIT MARGIN(Q)

Highest at -13.42 %

NET PROFIT(Q)

Highest at CNY 24.68 MM

EPS(Q)

Highest at CNY 0.03

-23What is not working for the Company

NET PROFIT(HY)

At CNY 2.94 MM has Grown at -28.81%

ROCE(HY)

Lowest at 0.36%

DEBT-EQUITY RATIO (HY)

Highest at 0.92 %

CASH AND EQV(HY)

Lowest at CNY 849.25 MM

INTEREST(Q)

Highest at CNY 3.69 MM

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

Net Sales

At CNY 142.91 MM has Grown at 53.42%

Year on Year (YoY)

MOJO Watch

Near term sales trend is very positive

Net Sales (CNY MM)

Net Profit

At CNY 24.68 MM has Grown at 133.41%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (CNY MM)

Inventory Turnover Ratio

Highest at 0.38 times and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Net Sales

Highest at CNY 142.91 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Operating Profit Margin

Highest at -13.42 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Net Profit

Highest at CNY 24.68 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY 0.03

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Raw Material Cost

Fallen by -73.12% (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 3.69 MM has Grown at 132.11%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Debt-Equity Ratio

Highest at 0.92 % 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

Interest

Highest at CNY 3.69 MM

in the last five periods and Increased by 132.11% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Cash and Eqv

Lowest at CNY 849.25 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents