HBIS Co., Ltd. (000709) 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

HBIS Co., Ltd.

Why is HBIS Co., Ltd. ?

Weak Long Term Fundamental Strength with an average Return on Capital Employed (ROCE) of 4.03%

Poor long term growth as Net Sales has grown by an annual rate of 3.63% and Operating profit at -5.80% over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times

The company has declared Negative results for the last 13 consecutive quarters

INTEREST COVERAGE RATIO(Q) Lowest at 118.19
RAW MATERIAL COST(Y) Grown by 8.24% (YoY)
DEBT-EQUITY RATIO (HY) Highest at 293.74 %

Underperformed the market in the last 1 year

The stock has generated a return of 1.72% in the last 1 year, much lower than market (China Shanghai Composite) returns of 15.17%

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 Ferrous Metals)

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

Is HBIS Co., Ltd. for you?

Medium Risk, Medium Return

Absolute

Risk Adjusted

Volatility

HBIS Co., Ltd.

2.17%

0.47

29.56%

China Shanghai Composite

15.17%

1.02

14.86%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

3.63%

EBIT Growth (5y)

-5.80%

EBIT to Interest (avg)

1.29

Debt to EBITDA (avg)

8.50

Net Debt to Equity (avg)

2.62

Sales to Capital Employed (avg)

0.60

Tax Ratio

31.80%

Dividend Payout Ratio

43.86%

Pledged Shares

Institutional Holding

ROCE (avg)

4.03%

ROE (avg)

3.38%

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

0.48

EV to EBIT

27.54

EV to EBITDA

11.27

EV to Capital Employed

0.86

EV to Sales

1.23

PEG Ratio

Dividend Yield

1.25%

ROCE (Latest)

3.11%

ROE (Latest)

2.00%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

Mildly 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

4What is working for the Company

NET PROFIT(9M)

Higher at CNY 822.97 MM

DEBTORS TURNOVER RATIO(HY)

Highest at 12.87 times

-7What is not working for the Company

INTEREST COVERAGE RATIO(Q)

Lowest at 118.19

RAW MATERIAL COST(Y)

Grown by 8.24% (YoY

DEBT-EQUITY RATIO (HY)

Highest at 293.74 %

NET SALES(Q)

Lowest at CNY 30,233.85 MM

OPERATING PROFIT(Q)

Lowest at CNY 922.42 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 3.05 %

Here's what is working for HBIS Co., Ltd.

Net Profit

At CNY 822.97 MM has Grown at 44.71%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

Debtors Turnover Ratio

Highest at 12.87 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Net Profit

Higher at CNY 822.97 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)

Here's what is not working for HBIS Co., Ltd.

Interest Coverage Ratio

Lowest at 118.19

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Net Sales

Lowest at CNY 30,233.85 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Operating Profit

Lowest at CNY 922.42 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 3.05 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Debt-Equity Ratio

Highest at 293.74 %

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

Raw Material Cost

Grown by 8.24% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales