ScoreWhy is Hefei Changqing Machinery Co., Ltd. ?
1
Poor Management Efficiency with a low ROCE of 3.57%
- The company has been able to generate a Return on Capital Employed (avg) of 3.57% signifying low profitability per unit of total capital (equity and debt)
2
High Debt Company with a Debt to Equity ratio (avg) at times
- Poor long term growth as Net Sales has grown by an annual rate of 12.91% and Operating profit at -12.90% over the last 5 years
- High Debt Company with a Debt to Equity ratio (avg) at times
- The company has been able to generate a Return on Equity (avg) of 4.50% signifying low profitability per unit of shareholders funds
3
With a fall in Net Sales of -3.41%, the company declared Very Negative results in Mar 25
- The company has declared negative results for the last 2 consecutive quarters
- INTEREST(HY) At CNY 31.7 MM has Grown at 11.13%
- PRE-TAX PROFIT(Q) At CNY 2.96 MM has Fallen at -78.62%
- NET PROFIT(Q) At CNY 6.13 MM has Fallen at -63.96%
4
Risky -
- The stock is trading risky as compared to its average historical valuations
- Over the past year, while the stock has generated a return of -14.45%, its profits have fallen by -87.7%
- At the current price, the company has a high dividend yield of 2.5
Real-Time Research ReportHow 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 Auto Components & Equipments)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Hefei Changqing Machinery Co., Ltd. for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Hefei Changqing Machinery Co., Ltd.
-14.45%
-0.11
35.36%
China Shanghai Composite
14.77%
1.01
14.58%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
12.91%
EBIT Growth (5y)
-12.90%
EBIT to Interest (avg)
2.39
Debt to EBITDA (avg)
4.29
Net Debt to Equity (avg)
0.81
Sales to Capital Employed (avg)
0.74
Tax Ratio
Tax Ratio is Negative%
Dividend Payout Ratio
58.66%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
3.57%
ROE (avg)
4.50%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
90
Industry P/E
Price to Book Value
0.36
EV to EBIT
154.65
EV to EBITDA
8.68
EV to Capital Employed
0.67
EV to Sales
0.89
PEG Ratio
NA
Dividend Yield
2.55%
ROCE (Latest)
0.43%
ROE (Latest)
0.41%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Mildly Bullish
Dow Theory
Mildly Bearish
Mildly Bullish
OBV
Bullish
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend2What is working for the Company
RAW MATERIAL COST(Y)
Fallen by -7.93% (YoY
CASH AND EQV(HY)
Highest at CNY 1,371.06 MM
-26What is not working for the Company
INTEREST(HY)
At CNY 31.7 MM has Grown at 11.13%
PRE-TAX PROFIT(Q)
At CNY 2.96 MM has Fallen at -78.62%
NET PROFIT(Q)
At CNY 6.13 MM has Fallen at -63.96%
OPERATING CASH FLOW(Y)
Lowest at CNY -284.34 MM
ROCE(HY)
Lowest at 1.89%
INTEREST COVERAGE RATIO(Q)
Lowest at 32.87
DEBTORS TURNOVER RATIO(HY)
Lowest at 3.18%
OPERATING PROFIT(Q)
Lowest at CNY 4.63 MM
OPERATING PROFIT MARGIN(Q)
Lowest at 0.58 %
Here's what is working for Hefei Changqing Machinery Co., Ltd.
Cash and Eqv
Highest at CNY 1,371.06 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Raw Material Cost
Fallen by -7.93% (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 Hefei Changqing Machinery Co., Ltd.
Pre-Tax Profit
At CNY 2.96 MM has Fallen at -78.62%
over average net sales of the previous four periods of CNY 13.87 MMMOJO Watch
Near term Pre-Tax Profit trend is very negative
Pre-Tax Profit (CNY MM)
Net Profit
At CNY 6.13 MM has Fallen at -63.96%
over average net sales of the previous four periods of CNY 17.02 MMMOJO Watch
Near term Net Profit trend is very negative
Net Profit (CNY MM)
Interest
At CNY 31.7 MM has Grown at 11.13%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (CNY MM)
Interest Coverage Ratio
Lowest at 32.87
in the last five periodsMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Operating Cash Flow
Lowest at CNY -284.34 MM
in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (CNY MM)
Operating Profit
Lowest at CNY 4.63 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is negative
Operating Profit (CNY MM)
Operating Profit Margin
Lowest at 0.58 %
in the last five periodsMOJO Watch
Company's profit margin has deteriorated
Operating Profit to Sales
Debtors Turnover Ratio
Lowest at 3.18%
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio
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