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 hold?

Overall Portfolio exposure to Hangzhou XZB Tech 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 XZB Tech Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Hangzhou XZB Tech Co., Ltd.

167.62%

6.32

59.16%

China Shanghai Composite

15.17%

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)

17.23%

EBIT Growth (5y)

12.67%

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

56.79%

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

8.70

EV to EBIT

46.69

EV to EBITDA

38.41

EV to Capital Employed

11.94

EV to Sales

16.17

PEG Ratio

2.14

Dividend Yield

1.32%

ROCE (Latest)

25.56%

ROE (Latest)

17.49%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bearish

Bullish

OBV

Mildly Bearish

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

8What is working for the Company

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%

RAW MATERIAL COST(Y)

Fallen by -9.82% (YoY

NET PROFIT(9M)

Higher at CNY 206.36 MM

DIVIDEND PER SHARE(HY)

Highest at CNY 4.01

-2What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at CNY 267.27 MM

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

Net Sales

At CNY 593.21 MM has Grown at 19.45%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Dividend per share

Highest at CNY 4.01

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (CNY)

Net Profit

Higher at CNY 206.36 MM

than preceding 12 month period ended Sep 2025

MOJO Watch

In the nine month period the company has already crossed sales of the previous twelve months

Net Profit (CNY MM)

Dividend Payout Ratio

Highest at 50.19%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Raw Material Cost

Fallen by -9.82% (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.

Operating Cash Flow

Lowest at CNY 267.27 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CNY MM)