Hangzhou Heatwell Electric Heating Technology Co., Ltd. () 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

Hangzhou Heatwell Electric Heating Technology Co., Ltd.

Why is Hangzhou Heatwell Electric Heating Technology Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of 9.69% and Operating profit at 4.27% over the last 5 years

Flat results in Sep 25

INTEREST COVERAGE RATIO(Q) Lowest at 5,151.18
DEBT-EQUITY RATIO (HY) Highest at -14.44 %
INTEREST(Q) Highest at CNY 1.77 MM

With ROE of 16.04%, it has a very attractive valuation with a 0.45 Price to Book Value

Over the past year, while the stock has generated a return of 15.19%, its profits have risen by 22%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Hangzhou Heatwell Electric Heating Technology Co., Ltd. should be less than 10%
Overall Portfolio exposure to Electronics & Appliances should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Electronics & Appliances)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Hangzhou Heatwell Electric Heating Technology Co., Ltd. for you?

Medium Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Hangzhou Heatwell Electric Heating Technology Co., Ltd.

-3.75%

0.98

27.22%

China Shanghai Composite

15.45%

1.58

14.20%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

9.69%

EBIT Growth (5y)

4.27%

EBIT to Interest (avg)

42.08

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.20

Sales to Capital Employed (avg)

0.81

Tax Ratio

11.65%

Dividend Payout Ratio

93.42%

Pledged Shares

Institutional Holding

ROCE (avg)

17.61%

ROE (avg)

13.72%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

0.45

EV to EBIT

2.17

EV to EBITDA

1.61

EV to Capital Employed

0.39

EV to Sales

0.36

PEG Ratio

Dividend Yield

ROCE (Latest)

18.12%

ROE (Latest)

16.04%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

OBV

Mildly Bearish

Mildly 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

6What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 399.82 MM

ROCE(HY)

Highest at 15.38%

RAW MATERIAL COST(Y)

Fallen by 0% (YoY

NET SALES(Q)

Highest at CNY 555.79 MM

-6What is not working for the Company

INTEREST COVERAGE RATIO(Q)

Lowest at 5,151.18

DEBT-EQUITY RATIO (HY)

Highest at -14.44 %

INTEREST(Q)

Highest at CNY 1.77 MM

OPERATING PROFIT(Q)

Lowest at CNY 91.25 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 16.42 %

Here's what is working for Hangzhou Heatwell Electric Heating Technology Co., Ltd.

Operating Cash Flow

Highest at CNY 399.82 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Net Sales

Highest at CNY 555.79 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Raw Material Cost

Fallen by 0% (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 Hangzhou Heatwell Electric Heating Technology Co., Ltd.

Interest Coverage Ratio

Lowest at 5,151.18

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Interest

Highest at CNY 1.77 MM

in the last five periods and Increased by 7.24% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Operating Profit

Lowest at CNY 91.25 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 16.42 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Debt-Equity Ratio

Highest at -14.44 %

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