Hefei Snowky Electric Co., Ltd. () 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

Hefei Snowky Electric Co., Ltd.

Why is Hefei Snowky Electric Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of -2.89% and Operating profit at -15.70% over the last 5 years

Flat results in Mar 26

INTEREST COVERAGE RATIO(Q) Lowest at 1,597.1
INTEREST(Q) Highest at CNY 1.6 MM
OPERATING PROFIT(Q) Lowest at CNY 25.6 MM

With ROE of 7.33%, it has a attractive valuation with a 1.70 Price to Book Value

Over the past year, while the stock has generated a return of -5.36%, its profits have fallen by -7.5% ; the PEG ratio of the company is 0.1

Below par performance in long term as well as near term

Along with generating -5.36% returns in the last 1 year, the stock has also underperformed China Shanghai Composite in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Hefei Snowky Electric Co., Ltd. should be less than 10%
Overall Portfolio exposure to Electronics & Appliances should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Electronics & Appliances)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Hefei Snowky Electric Co., Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Hefei Snowky Electric Co., Ltd.

-7.06%

-0.51

35.93%

China Shanghai Composite

19.22%

1.40

13.75%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-2.89%

EBIT Growth (5y)

-15.70%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.42

Sales to Capital Employed (avg)

1.50

Tax Ratio

15.64%

Dividend Payout Ratio

36.49%

Pledged Shares

Institutional Holding

ROCE (avg)

17.02%

ROE (avg)

10.25%

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

1.70

EV to EBIT

18.56

EV to EBITDA

10.16

EV to Capital Employed

1.97

EV to Sales

0.85

PEG Ratio

0.12

Dividend Yield

ROCE (Latest)

10.60%

ROE (Latest)

7.33%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

No Trend

Mildly Bearish

OBV

No Trend

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

14What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 254.45 MM

NET SALES(Q)

Highest at CNY 662.43 MM

RAW MATERIAL COST(Y)

Fallen by -10.94% (YoY

INVENTORY TURNOVER RATIO(HY)

Highest at 9.06 times

-18What is not working for the Company

INTEREST COVERAGE RATIO(Q)

Lowest at 1,597.1

INTEREST(Q)

Highest at CNY 1.6 MM

OPERATING PROFIT(Q)

Lowest at CNY 25.6 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 3.87 %

PRE-TAX PROFIT(Q)

Fallen at -34.98%

NET PROFIT(Q)

Fallen at -30.84%

EPS(Q)

Lowest at CNY 0.06

Here's what is working for Hefei Snowky Electric Co., Ltd.

Operating Cash Flow

Highest at CNY 254.45 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Net Sales

Highest at CNY 662.43 MM and Grown

In each period in the last five periods

MOJO Watch

Near term sales trend is very positive

Net Sales (CNY MM)

Net Sales

At CNY 662.43 MM has Grown at 50.14%

Year on Year (YoY)

MOJO Watch

Near term sales trend is very positive

Net Sales (CNY MM)

Inventory Turnover Ratio

Highest at 9.06 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Raw Material Cost

Fallen by -10.94% (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 Snowky Electric Co., Ltd.

Interest

At CNY 1.6 MM has Grown at inf%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Interest Coverage Ratio

Lowest at 1,597.1

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Interest

Highest at CNY 1.6 MM

in the last five periods and Increased by inf% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Operating Profit

Lowest at CNY 25.6 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 3.87 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Fallen at -34.98%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (CNY MM)

Net Profit

Fallen at -30.84%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CNY MM)

EPS

Lowest at CNY 0.06

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (CNY)