Hebei Construction Group Co. Ltd. (1727) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

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

TK Group (Holdings) Ltd.

Karrie International Holdings Ltd.

Gilston Group Ltd.

Hebei Construction Group Co. Ltd.

China Lesso Group Holdings Ltd.

Tongda Group Holdings Ltd.

Ka Shui International Holdings Ltd.

Kings Flair International (Holdings) Ltd.

Yik Wo International Holdings Ltd.

China Treasures New Materials Group Ltd.

Brightstar Technology Group Co., Ltd.

Why is Hebei Construction Group Co. Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of -9.47% and Operating profit at -15.49% over the last 5 years

Negative results in Dec 24

OPERATING CASH FLOW(Y) Lowest at HKD -3,468.85 MM
INTEREST(HY) At HKD 204.12 MM has Grown at 26.25%
ROCE(HY) Lowest at 2.79%

With ROE of 2.62%, it has a Very Expensive valuation with a 0.04 Price to Book Value

Over the past year, while the stock has generated a return of -28.57%, its profits have fallen by -1.5%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -28.57% returns in the last 1 year, the stock has also underperformed Hang Seng Hong Kong 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 Miscellaneous)

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

Is Hebei Construction Group Co. Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Hebei Construction Group Co. Ltd.

-28.57%

-0.62

53.89%

Hang Seng Hong Kong

27.36%

1.03

25.88%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-9.47%

EBIT Growth (5y)

-15.49%

EBIT to Interest (avg)

1.66

Debt to EBITDA (avg)

0.49

Net Debt to Equity (avg)

0.23

Sales to Capital Employed (avg)

2.88

Tax Ratio

23.22%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

13.86%

ROE (avg)

4.53%

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

0.04

EV to EBIT

3.22

EV to EBITDA

2.83

EV to Capital Employed

0.22

EV to Sales

0.07

PEG Ratio

Dividend Yield

ROCE (Latest)

6.82%

ROE (Latest)

2.62%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

Mildly Bearish

No Trend

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

Not enough Data to analyse Financial Trend

Here's what is working for Hebei Construction Group Co. Ltd.

Raw Material Cost

Fallen by -98.44% (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 Hebei Construction Group Co. Ltd.

Operating Cash Flow

Lowest at HKD -3,468.85 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (HKD MM)

Interest Coverage Ratio

Lowest at 113.37

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Interest

At HKD 204.12 MM has Grown at 26.25%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (HKD MM)

Operating Profit

Lowest at HKD 231.4 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (HKD MM)

Pre-Tax Profit

Lowest at HKD 38.75 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (HKD MM)

Net Profit

Lowest at HKD 48.98 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (HKD MM)

EPS

Lowest at HKD 0.03

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (HKD)

Cash and Eqv

Lowest at HKD 6,137.16 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debt-Equity Ratio

Highest at 23.61 %

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

Inventory Turnover Ratio

Lowest at 54.12%

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Debtors Turnover Ratio

Lowest at 0.51%

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Non Operating Income

Highest at HKD 1.39 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income