Hangzhou Huaguang Advanced Welding Materials Co., Ltd.

  • Market Cap: Small Cap
  • Industry: Industrial Manufacturing
  • ISIN: CNE1000043T0
CNY
44.80
11.92 (36.25%)
  • Price Points
  • Score
  • Mojo Parameters
  • Total Return
  • News and Corporate Actions
  • Key factors
  • Shareholding
  • Financials
  • CompanyCV
stock-recommendationScore
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
Hangzhou Huaguang Advanced Welding Materials Co., Ltd.
Why is Hangzhou Huaguang Advanced Welding Materials Co., Ltd. ?
1
High Debt Company with a Debt to Equity ratio (avg) at times
  • Poor long term growth as Net Sales has grown by an annual rate of 24.98% and Operating profit at -23.95% over the last 5 years
  • High Debt Company with a Debt to Equity ratio (avg) at times
  • The company has been able to generate a Return on Equity (avg) of 6.51% signifying low profitability per unit of shareholders funds
2
Poor long term growth as Net Sales has grown by an annual rate of 24.98% and Operating profit at -23.95% over the last 5 years
3
The company declared very positive results in Mar'25 after flat results in Dec'24
  • ROCE(HY) Highest at 16.65%
  • RAW MATERIAL COST(Y) Fallen by -4.53% (YoY)
  • CASH AND EQV(HY) Highest at CNY 537.4 MM
4
With ROE of 14.44%, it has a fair valuation with a 0.85 Price to Book Value
  • Over the past year, while the stock has generated a return of 78.26%, its profits have risen by 193.7% ; the PEG ratio of the company is 0
  • At the current price, the company has a high dividend yield of 2.6
5
Consistent Returns over the last 3 years
  • Along with generating 78.26% returns in the last 1 year, the stock has outperformed China Shanghai Composite in each of the last 3 annual periods
stock-recommendationReal-Time Research Report
Verdict Report
How much should you hold?
  1. Overall Portfolio exposure to Hangzhou Huaguang Advanced Welding Materials Co., Ltd. should be less than 10%
  2. 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 Huaguang Advanced Welding Materials Co., Ltd. for you?

High Risk, High Return

Absolute
Risk Adjusted
Volatility
Hangzhou Huaguang Advanced Welding Materials Co., Ltd.
-100.0%
3.57
63.99%
China Shanghai Composite
15.19%
1.01
14.58%
stock-recommendationQuality
stock-summaryManagement Risk
stock-summaryGrowth
stock-summaryCapital Structure
stock-recommendation
Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors
Factor
Value
Sales Growth (5y)
24.98%
EBIT Growth (5y)
-23.95%
EBIT to Interest (avg)
8.99
Debt to EBITDA (avg)
6.45
Net Debt to Equity (avg)
0.94
Sales to Capital Employed (avg)
0.83
Tax Ratio
9.68%
Dividend Payout Ratio
29.38%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
11.05%
ROE (avg)
6.51%
stock-recommendationValuation
Valuation Scorecard stock-summary
stock-recommendation
Valuation grade scale :

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

Valuation Key Factors stock-summary
Factor
Value
P/E Ratio
6
Industry P/E
Price to Book Value
0.85
EV to EBIT
22.03
EV to EBITDA
15.65
EV to Capital Employed
0.93
EV to Sales
0.95
PEG Ratio
0.03
Dividend Yield
2.62%
ROCE (Latest)
4.22%
ROE (Latest)
14.44%
stock-recommendationTechnicals
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Mildly Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
Mildly Bullish
No Trend
OBV
No Trend
No Trend
stock-recommendation Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish  Turned 
Technical Movement
stock-recommendationFinancial Trend
Financial Trend Scorecard stock-summary
stock-recommendation
Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

35What is working for the Company
ROCE(HY)

Highest at 16.65%

RAW MATERIAL COST(Y)

Fallen by -4.53% (YoY

CASH AND EQV(HY)

Highest at CNY 537.4 MM

INVENTORY TURNOVER RATIO(HY)

Highest at 2.62%

DEBTORS TURNOVER RATIO(HY)

Highest at 2.74%

NET SALES(Q)

Highest at CNY 584.75 MM

PRE-TAX PROFIT(Q)

Highest at CNY 110.07 MM

NET PROFIT(Q)

Highest at CNY 95.43 MM

EPS(Q)

Highest at CNY 1.1

-9What is not working for the Company
INTEREST(HY)

At CNY 22.37 MM has Grown at 36.64%

Here's what is working for Hangzhou Huaguang Advanced Welding Materials Co., Ltd.
Pre-Tax Profit
At CNY 110.07 MM has Grown at 420.77%
over average net sales of the previous four periods of CNY 21.14 MM
MOJO Watch
Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (CNY MM)

Net Profit
At CNY 95.43 MM has Grown at 373.01%
over average net sales of the previous four periods of CNY 20.17 MM
MOJO Watch
Near term Net Profit trend is very positive

Net Profit (CNY MM)

Net Sales
Highest at CNY 584.75 MM
in the last five periods
MOJO Watch
Near term sales trend is positive

Net Sales (CNY MM)

Net Sales
At CNY 584.75 MM has Grown at 22.27%
over average net sales of the previous four periods of CNY 478.26 MM
MOJO Watch
Near term sales trend is positive

Net Sales (CNY MM)

Pre-Tax Profit
Highest at CNY 110.07 MM
in the last five periods
MOJO Watch
Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit
Highest at CNY 95.43 MM
in the last five periods
MOJO Watch
Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS
Highest at CNY 1.1
in the last five periods
MOJO Watch
Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Cash and Eqv
Highest at CNY 537.4 MM
in the last six Semi-Annual periods
MOJO Watch
Short Term liquidity is improving

Cash and Cash Equivalents

Inventory Turnover Ratio
Highest at 2.62%
in the last five Semi-Annual periods
MOJO Watch
Company has been able to sell its inventory faster

Inventory Turnover Ratio

Debtors Turnover Ratio
Highest at 2.74%
in the last five Semi-Annual periods
MOJO Watch
Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost
Fallen by -4.53% (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 Huaguang Advanced Welding Materials Co., Ltd.
Interest
At CNY 22.37 MM has Grown at 36.64%
over previous Semi-Annual period
MOJO Watch
Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Non Operating Income
Highest at CNY 0.89 MM
in the last five periods
MOJO Watch
Increased income from non business activities may not be sustainable

Non Operating income