Why is Hefei Lifeon Pharmaceutical Co., Ltd. ?
1
Poor long term growth as Net Sales has grown by an annual rate of -9.44% and Operating profit at -6.84% over the last 5 years
2
The company has declared Negative results for the last 6 consecutive quarters
- INTEREST(HY) At CNY 1.66 MM has Grown at 31.59%
- ROCE(HY) Lowest at 8.96%
- CASH AND EQV(HY) Lowest at CNY 939.75 MM
3
Below par performance in long term as well as near term
- Along with generating -31.39% returns in the last 1 year, the stock has also underperformed China Shanghai Composite in the last 3 years, 1 year and 3 months
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 Pharmaceuticals & Biotechnology)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Hefei Lifeon Pharmaceutical Co., Ltd. for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Hefei Lifeon Pharmaceutical Co., Ltd.
-31.39%
-0.32
46.07%
China Shanghai Composite
20.96%
1.56
13.41%
Quality key factors
Factor
Value
Sales Growth (5y)
-9.44%
EBIT Growth (5y)
-6.84%
EBIT to Interest (avg)
100.00
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.22
Sales to Capital Employed (avg)
0.83
Tax Ratio
12.70%
Dividend Payout Ratio
57.76%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
17.15%
ROE (avg)
12.11%
Valuation Key Factors 
Factor
Value
P/E Ratio
29
Industry P/E
Price to Book Value
2.55
EV to EBIT
34.05
EV to EBITDA
21.75
EV to Capital Employed
2.90
EV to Sales
2.89
PEG Ratio
NA
Dividend Yield
1.50%
ROCE (Latest)
8.53%
ROE (Latest)
8.87%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Bullish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
Mildly Bearish
Mildly Bearish
Technical Movement
2What is working for the Company
RAW MATERIAL COST(Y)
Fallen by -9.01% (YoY
INVENTORY TURNOVER RATIO(HY)
Highest at 2.41 times
-11What is not working for the Company
INTEREST(HY)
At CNY 1.66 MM has Grown at 31.59%
ROCE(HY)
Lowest at 8.96%
CASH AND EQV(HY)
Lowest at CNY 939.75 MM
DEBTORS TURNOVER RATIO(HY)
Lowest at 3.31 times
Here's what is working for Hefei Lifeon Pharmaceutical Co., Ltd.
Inventory Turnover Ratio
Highest at 2.41 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Raw Material Cost
Fallen by -9.01% (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 Lifeon Pharmaceutical Co., Ltd.
Interest
At CNY 1.66 MM has Grown at 31.59%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (CNY MM)
Cash and Eqv
Lowest at CNY 939.75 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is deteriorating
Cash and Cash Equivalents
Debtors Turnover Ratio
Lowest at 3.31 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio






