Heilongjiang Interchina Water Treatment Co. Ltd. (600187) 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

Heilongjiang Interchina Water Treatment Co. Ltd.

Why is Heilongjiang Interchina Water Treatment Co. Ltd. ?

Poor Management Efficiency with a low ROCE of 0%

The company has reported losses and also has negative networth. This is not a good sign for the investors. Either company will have to raise fresh capital or report profits to sustain going forward

Poor long term growth as Net Sales has grown by an annual rate of -16.71% and Operating profit at 9.66% over the last 5 years

NET PROFIT(Q) At CNY 1.46 MM has Fallen at -85.48%
INVENTORY TURNOVER RATIO(HY) Lowest at 1.19 times

Below par performance in long term as well as near term

Along with generating -42.00% 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 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 Heilongjiang Interchina Water Treatment Co. Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Heilongjiang Interchina Water Treatment Co. Ltd.

-100.0%

0.28

41.63%

China Shanghai Composite

20.18%

1.58

14.20%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-11.58%

EBIT Growth (5y)

-226.84%

EBIT to Interest (avg)

-6.24

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.07

Sales to Capital Employed (avg)

0.06

Tax Ratio

100.00%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

ROE (avg)

0.61%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

0.87

EV to EBIT

-9.60

EV to EBITDA

-11.95

EV to Capital Employed

0.85

EV to Sales

9.55

PEG Ratio

Dividend Yield

ROCE (Latest)

-8.84%

ROE (Latest)

-6.55%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

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

16What is working for the Company

NET SALES(HY)

At CNY 140.9 MM has Grown at 33.37%

RAW MATERIAL COST(Y)

Fallen by -33.33% (YoY

DEBT-EQUITY RATIO (HY)

Lowest at -16.2 %

DEBTORS TURNOVER RATIO(HY)

Highest at 0.5 times

PRE-TAX PROFIT(Q)

Highest at CNY 16.2 MM

NET PROFIT(Q)

Highest at CNY 16.65 MM

EPS(Q)

Highest at CNY 0.01

-17What is not working for the Company

NET PROFIT(HY)

At CNY -185.64 MM has Grown at -593.44%

OPERATING CASH FLOW(Y)

Lowest at CNY -82.12 MM

ROCE(HY)

Lowest at -6.36%

INVENTORY TURNOVER RATIO(HY)

Lowest at 1 times

NET SALES(Q)

At CNY 50.47 MM has Fallen at -9.4%

Here's what is working for Heilongjiang Interchina Water Treatment Co. Ltd.

Pre-Tax Profit

At CNY 16.2 MM has Grown at 132.42%

over average net sales of the previous four periods of CNY -49.97 MM

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 16.65 MM has Grown at 130.67%

over average net sales of the previous four periods of CNY -54.29 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (CNY MM)

Pre-Tax Profit

Highest at CNY 16.2 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

Highest at CNY 16.65 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY 0.01

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Debt-Equity Ratio

Lowest at -16.2 %

in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Debtors Turnover Ratio

Highest at 0.5 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by -33.33% (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 Heilongjiang Interchina Water Treatment Co. Ltd.

Operating Cash Flow

Lowest at CNY -82.12 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 (CNY MM)

Inventory Turnover Ratio

Lowest at 1 times and Fallen

In each half year in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Net Sales

At CNY 50.47 MM has Fallen at -9.4%

over average net sales of the previous four periods of CNY 55.7 MM

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)