Why is Hangzhou First Applied Material Co., Ltd. ?
1
Poor long term growth as Net Sales has grown by an annual rate of 16.77% and Operating profit at -14.02% over the last 5 years
2
With a fall in Net Sales of -13.1%, the company declared Very Negative results in Sep 25
- The company has declared negative results for the last 4 consecutive quarters
- ROCE(HY) Lowest at 4.57%
- NET PROFIT(Q) At CNY 191.85 MM has Fallen at -41.79%
- RAW MATERIAL COST(Y) Grown by 30.94% (YoY)
3
With ROE of 5.37%, it has a expensive valuation with a 2.57 Price to Book Value
- Over the past year, while the stock has generated a return of 17.37%, its profits have fallen by -55.4%
- At the current price, the company has a high dividend yield of 1.7
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 Electronics & Appliances)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Hangzhou First Applied Material Co., Ltd. for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Hangzhou First Applied Material Co., Ltd.
23.88%
0.01
37.71%
China Shanghai Composite
15.17%
1.58
14.20%
Quality key factors
Factor
Value
Sales Growth (5y)
16.77%
EBIT Growth (5y)
-14.02%
EBIT to Interest (avg)
100.00
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.21
Sales to Capital Employed (avg)
1.01
Tax Ratio
10.77%
Dividend Payout Ratio
51.81%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
15.92%
ROE (avg)
13.45%
Valuation Key Factors 
Factor
Value
P/E Ratio
48
Industry P/E
Price to Book Value
2.57
EV to EBIT
43.70
EV to EBITDA
28.63
EV to Capital Employed
2.84
EV to Sales
2.34
PEG Ratio
NA
Dividend Yield
1.68%
ROCE (Latest)
6.50%
ROE (Latest)
5.37%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Mildly Bullish
Dow Theory
No Trend
Mildly Bullish
OBV
No Trend
Bullish
Technical Movement
2What is working for the Company
CASH AND EQV(HY)
Highest at CNY 12,236.78 MM
INVENTORY TURNOVER RATIO(HY)
Highest at 6.84 times
-22What is not working for the Company
ROCE(HY)
Lowest at 4.57%
NET PROFIT(Q)
At CNY 191.85 MM has Fallen at -41.79%
RAW MATERIAL COST(Y)
Grown by 30.94% (YoY
NET SALES(Q)
Fallen at -13.1%
PRE-TAX PROFIT(Q)
Fallen at -37.93%
Here's what is working for Hangzhou First Applied Material Co., Ltd.
Cash and Eqv
Highest at CNY 12,236.78 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Inventory Turnover Ratio
Highest at 6.84 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Here's what is not working for Hangzhou First Applied Material Co., Ltd.
Net Profit
At CNY 191.85 MM has Fallen at -41.79%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is very negative
Net Profit (CNY MM)
Net Sales
Fallen at -13.1%
Year on Year (YoY)MOJO Watch
Near term sales trend is negative
Net Sales (CNY MM)
Pre-Tax Profit
Fallen at -37.93%
Year on Year (YoY)MOJO Watch
Near term Pre-Tax Profit trend is negative
Pre-Tax Profit (CNY MM)
Raw Material Cost
Grown by 30.94% (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






