Hainan RuiZe New Building Material Co., Ltd. (002596) 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 RuiZe New Building Material Co., Ltd.

Why is Hainan RuiZe New Building Material Co., Ltd. ?

Weak Long Term Fundamental Strength with an average Return on Capital Employed (ROCE) of 0.77%

Poor long term growth as Net Sales has grown by an annual rate of -12.58% and Operating profit at 5.90% over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times

Flat results in Mar 25

DEBT-EQUITY RATIO (HY) Highest at 172.21 %
NET SALES(Q) At CNY 276.97 MM has Fallen at -20.57%
RAW MATERIAL COST(Y) Grown by 12.87% (YoY)

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of 38.44%, its profits have risen by 41.3%

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 Building Products)

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

Is Hainan RuiZe New Building Material Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Hainan RuiZe New Building Material Co., Ltd.

63.17%

3.68

53.07%

China Shanghai Composite

14.77%

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)

-12.58%

EBIT Growth (5y)

5.90%

EBIT to Interest (avg)

-2.70

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

1.68

Sales to Capital Employed (avg)

0.64

Tax Ratio

21.82%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

0.77%

ROE (avg)

0.42%

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

5.56

EV to EBIT

-28.07

EV to EBITDA

-68.11

EV to Capital Employed

2.63

EV to Sales

4.25

PEG Ratio

Dividend Yield

ROCE (Latest)

-9.37%

ROE (Latest)

-40.80%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Mildly 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

12What is working for the Company

NET PROFIT(HY)

Higher at CNY -171.59 MM

ROCE(HY)

Highest at -28.34%

INVENTORY TURNOVER RATIO(HY)

Highest at 25.25%

PRE-TAX PROFIT(Q)

Highest at CNY -15.48 MM

-15What is not working for the Company

DEBT-EQUITY RATIO (HY)

Highest at 172.21 %

NET SALES(Q)

At CNY 276.97 MM has Fallen at -20.57%

RAW MATERIAL COST(Y)

Grown by 12.87% (YoY

CASH AND EQV(HY)

Lowest at CNY 149.37 MM

DEBTORS TURNOVER RATIO(HY)

Lowest at 0.51%

Here's what is working for Hainan RuiZe New Building Material Co., Ltd.

Net Profit

Higher at CNY -171.59 MM

than preceding 12 month period ended Mar 2025

MOJO Watch

In the half year the company has already crossed Net Profit of the previous twelve months

Net Profit (CNY MM)

Net Profit

At CNY -171.59 MM has Grown at 59.08%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

Inventory Turnover Ratio

Highest at 25.25% 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

Pre-Tax Profit

Highest at CNY -15.48 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Here's what is not working for Hainan RuiZe New Building Material Co., Ltd.

Net Sales

At CNY 276.97 MM has Fallen at -20.57%

Year on Year (YoY)

MOJO Watch

Near term sales trend is very negative

Net Sales (CNY MM)

Debt-Equity Ratio

Highest at 172.21 % 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

Cash and Eqv

Lowest at CNY 149.37 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debtors Turnover Ratio

Lowest at 0.51%

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Raw Material Cost

Grown by 12.87% (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