Hangzhou XZB Tech Co., Ltd. (603040) 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 XZB Tech Co., Ltd.

Why is Hangzhou XZB Tech Co., Ltd. ?

Positive results in Sep 25

NET SALES(9M) At CNY 593.21 MM has Grown at 19.45%
ROCE(HY) Highest at 18.59%
DIVIDEND PAYOUT RATIO(Y) Highest at 50.19%

With ROE of 17.49%, it has a very attractive valuation with a 8.70 Price to Book Value

Over the past year, while the stock has generated a return of 199.08%, its profits have risen by 23.3% ; the PEG ratio of the company is 2.1
At the current price, the company has a high dividend yield of 1.3

Consistent Returns over the last 3 years

Along with generating 199.08% returns in the last 1 year, the stock has outperformed China Shanghai Composite in each of the last 3 annual periods

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 Industrial Manufacturing)

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

Is Hangzhou XZB Tech Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Hangzhou XZB Tech Co., Ltd.

156.9%

6.32

59.16%

China Shanghai Composite

20.18%

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)

14.66%

EBIT Growth (5y)

10.85%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.29

Sales to Capital Employed (avg)

0.47

Tax Ratio

12.01%

Dividend Payout Ratio

66.49%

Pledged Shares

Institutional Holding

ROCE (avg)

24.13%

ROE (avg)

15.46%

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

7.81

EV to EBIT

39.82

EV to EBITDA

34.92

EV to Capital Employed

11.35

EV to Sales

14.07

PEG Ratio

2.76

Dividend Yield

1.28%

ROCE (Latest)

28.51%

ROE (Latest)

17.44%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Bullish

Moving Averages

Bullish (Daily)

KST

Mildly Bullish

Bullish

Dow Theory

Mildly Bullish

No Trend

OBV

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 342.63 MM

RAW MATERIAL COST(Y)

Fallen by -2.72% (YoY

CASH AND EQV(HY)

Highest at CNY 1,237.19 MM

INVENTORY TURNOVER RATIO(HY)

Highest at 2.27 times

DEBTORS TURNOVER RATIO(HY)

Highest at 4.51 times

-10What is not working for the Company

INTEREST(HY)

At CNY 1.34 MM has Grown at 130.7%

OPERATING PROFIT(Q)

Lowest at CNY 70.99 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 35.36 %

Here's what is working for Hangzhou XZB Tech Co., Ltd.

Operating Cash Flow

Highest at CNY 342.63 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Cash and Eqv

Highest at CNY 1,237.19 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Inventory Turnover Ratio

Highest at 2.27 times

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 4.51 times

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 -2.72% (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 XZB Tech Co., Ltd.

Interest

At CNY 1.34 MM has Grown at 130.7%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Operating Profit

Lowest at CNY 70.99 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 35.36 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales