Hangzhou Tian-Mu-Shan Pharmaceutical Enterprise Co., Ltd. (600671) 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 Tian-Mu-Shan Pharmaceutical Enterprise Co., Ltd.

Why is Hangzhou Tian-Mu-Shan Pharmaceutical Enterprise Co., Ltd. ?

Weak Long Term Fundamental Strength with an average Return on Capital Employed (ROCE) of 5.37%

Poor long term growth as Net Sales has grown by an annual rate of 1.15% and Operating profit at 30.52% over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times

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 Pharmaceuticals & Biotechnology)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Hangzhou Tian-Mu-Shan Pharmaceutical Enterprise Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Hangzhou Tian-Mu-Shan Pharmaceutical Enterprise Co., Ltd.

25.19%

3.70

43.70%

China Shanghai Composite

21.43%

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)

1.44%

EBIT Growth (5y)

18.63%

EBIT to Interest (avg)

-3.09

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

1.87

Sales to Capital Employed (avg)

1.06

Tax Ratio

20.22%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

5.37%

ROE (avg)

12.29%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

273

Industry P/E

Price to Book Value

27.29

EV to EBIT

150.01

EV to EBITDA

49.04

EV to Capital Employed

9.54

EV to Sales

10.63

PEG Ratio

Dividend Yield

ROCE (Latest)

6.36%

ROE (Latest)

10.00%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Bearish (Daily)

KST

Bearish

Bullish

Dow Theory

Mildly Bullish

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

6What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 2.01 MM

RAW MATERIAL COST(Y)

Fallen by -60.91% (YoY

PRE-TAX PROFIT(Q)

Highest at CNY 5.93 MM

-35What is not working for the Company

NET PROFIT(HY)

At CNY 7.23 MM has Grown at -70.48%

INTEREST(HY)

At CNY 3.71 MM has Grown at 133.56%

DEBTORS TURNOVER RATIO(HY)

Lowest at 1.49 times

INTEREST COVERAGE RATIO(Q)

Lowest at 379.5

INVENTORY TURNOVER RATIO(HY)

Lowest at 2.31 times

NET SALES(Q)

Lowest at CNY 44.39 MM

OPERATING PROFIT(Q)

Lowest at CNY 5.92 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 13.33 %

Here's what is working for Hangzhou Tian-Mu-Shan Pharmaceutical Enterprise Co., Ltd.

Pre-Tax Profit

At CNY 5.93 MM has Grown at 132.16%

over average net sales of the previous four periods of CNY 2.56 MM

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (CNY MM)

Operating Cash Flow

Highest at CNY 2.01 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Pre-Tax Profit

Highest at CNY 5.93 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Raw Material Cost

Fallen by -60.91% (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 Tian-Mu-Shan Pharmaceutical Enterprise Co., Ltd.

Net Profit

At CNY 7.23 MM has Grown at -70.48%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Interest

At CNY 3.71 MM has Grown at 133.56%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Net Sales

At CNY 44.39 MM has Fallen at -16.15%

over average net sales of the previous four periods of CNY 52.94 MM

MOJO Watch

Near term sales trend is extremely negative

Net Sales (CNY MM)

Interest Coverage Ratio

Lowest at 379.5

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Debtors Turnover Ratio

Lowest at 1.49 times and Fallen

In each half year in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Net Sales

Lowest at CNY 44.39 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Operating Profit

Lowest at CNY 5.92 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 13.33 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Inventory Turnover Ratio

Lowest at 2.31 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio