Hangzhou Honghua Digital Technology Stock 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 Honghua Digital Technology Stock Co., Ltd.

Why is Hangzhou Honghua Digital Technology Stock Co., Ltd. ?

Flat results in Sep 25

DEBT-EQUITY RATIO (HY) Highest at -17.63 %
INTEREST(Q) Highest at CNY 1.52 MM

With ROE of 13.92%, it has a fair valuation with a 4.57 Price to Book Value

Over the past year, while the stock has generated a return of 15.78%, its profits have risen by 27.1%
At the current price, the company has a high dividend yield of 0.8

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Hangzhou Honghua Digital Technology Stock Co., Ltd. should be less than 10%
Overall Portfolio exposure to Industrial Manufacturing should be less than 30%

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

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

Is Hangzhou Honghua Digital Technology Stock Co., Ltd. for you?

Medium Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Hangzhou Honghua Digital Technology Stock Co., Ltd.

-3.06%

0.58

34.17%

China Shanghai Composite

25.41%

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)

28.20%

EBIT Growth (5y)

26.13%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.23

Sales to Capital Employed (avg)

0.45

Tax Ratio

12.60%

Dividend Payout Ratio

34.48%

Pledged Shares

Institutional Holding

ROCE (avg)

21.94%

ROE (avg)

14.95%

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

4.57

EV to EBIT

32.00

EV to EBITDA

29.78

EV to Capital Employed

5.67

EV to Sales

7.52

PEG Ratio

Dividend Yield

0.80%

ROCE (Latest)

17.70%

ROE (Latest)

13.92%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bullish

Dow Theory

Mildly Bearish

OBV

Mildly Bearish

No Trend

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

13What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 281.52 MM

ROCE(HY)

Highest at 15.23%

INVENTORY TURNOVER RATIO(HY)

Highest at 1.96 times

NET SALES(Q)

Highest at CNY 594.37 MM

OPERATING PROFIT(Q)

Highest at CNY 157.63 MM

-7What is not working for the Company

DEBT-EQUITY RATIO (HY)

Highest at -17.63 %

INTEREST(Q)

Highest at CNY 1.52 MM

Here's what is working for Hangzhou Honghua Digital Technology Stock Co., Ltd.

Inventory Turnover Ratio

Highest at 1.96 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

Operating Cash Flow

Highest at CNY 281.52 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 594.37 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Net Sales

At CNY 594.37 MM has Grown at 18.56%

over average net sales of the previous four periods of CNY 501.32 MM

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Operating Profit

Highest at CNY 157.63 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (CNY MM)

Here's what is not working for Hangzhou Honghua Digital Technology Stock Co., Ltd.

Interest

At CNY 1.52 MM has Grown at 197.6%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Debt-Equity Ratio

Highest at -17.63 % 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 1.52 MM

in the last five periods and Increased by 197.6% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)