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

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 -14.15% and Operating profit at 7.16% over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times

Flat results in Sep 25

OPERATING CASH FLOW(Y) Lowest at CNY 39.3 MM
DEBT-EQUITY RATIO (HY) Highest at 187.89 %
RAW MATERIAL COST(Y) Grown by 13.63% (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 11.85%, 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.

5.87%

2.83

55.88%

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)

-14.15%

EBIT Growth (5y)

7.16%

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)

0.65

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

6.48

EV to EBIT

-31.59

EV to EBITDA

-76.63

EV to Capital Employed

2.96

EV to Sales

4.78

PEG Ratio

Dividend Yield

ROCE (Latest)

-9.37%

ROE (Latest)

-40.80%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bearish

Bullish

Dow Theory

Mildly Bearish

OBV

Mildly Bearish

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

INVENTORY TURNOVER RATIO(HY)

Highest at 34.09 times

PRE-TAX PROFIT(Q)

Highest at CNY -10.97 MM

NET PROFIT(Q)

Highest at CNY -13.66 MM

EPS(Q)

Highest at CNY -0.01

-13What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at CNY 39.3 MM

DEBT-EQUITY RATIO (HY)

Highest at 187.89 %

RAW MATERIAL COST(Y)

Grown by 13.63% (YoY

CASH AND EQV(HY)

Lowest at CNY 99.86 MM

DEBTORS TURNOVER RATIO(HY)

Lowest at 0.49 times

NET SALES(Q)

Fallen at -10.44%

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

Inventory Turnover Ratio

Highest at 34.09 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

Pre-Tax Profit

Highest at CNY -10.97 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Pre-Tax Profit

At CNY -10.97 MM has Grown at 70.66%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

Highest at CNY -13.66 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

Net Profit

At CNY -13.66 MM has Grown at 64.78%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY -0.01

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

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

Debt-Equity Ratio

Highest at 187.89 % 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

Operating Cash Flow

Lowest at CNY 39.3 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CNY MM)

Net Sales

Fallen at -10.44%

Year on Year (YoY)

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Cash and Eqv

Lowest at CNY 99.86 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debtors Turnover Ratio

Lowest at 0.49 times

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 13.63% (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