Henan Shenhuo Coal Industary & Electricity Power Corp. Ltd. (000933) 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

Henan Shenhuo Coal Industary & Electricity Power Corp. Ltd.

Why is Henan Shenhuo Coal Industary & Electricity Power Corp. Ltd. ?

With a growth in Net Profit of 344.04%, the company declared Very Positive results in Mar 26

OPERATING CASH FLOW(Y) Highest at CNY 11,312.01 MM
INTEREST COVERAGE RATIO(Q) The company hardly has any interest cost
RAW MATERIAL COST(Y) Fallen by -159.63% (YoY)

With ROE of 24.87%, it has a fair valuation with a 2.22 Price to Book Value

Over the past year, while the stock has generated a return of 27.51%, its profits have risen by 51.6% ; the PEG ratio of the company is 0.2
At the current price, the company has a high dividend yield of 3

Majority shareholders : FIIs

Market Beating Performance

The stock has generated a return of 27.51% in the last 1 year, much higher than market (China Shanghai Composite) returns of 16.83%

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Henan Shenhuo Coal Industary & Electricity Power Corp. Ltd. should be less than 10%
Overall Portfolio exposure to Non - Ferrous Metals should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Non - Ferrous Metals)

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

Is Henan Shenhuo Coal Industary & Electricity Power Corp. Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Henan Shenhuo Coal Industary & Electricity Power Corp. Ltd.

45.66%

-0.08

46.71%

China Shanghai Composite

8.25%

1.20

14.07%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

15.60%

EBIT Growth (5y)

27.32%

EBIT to Interest (avg)

20.11

Debt to EBITDA (avg)

1.04

Net Debt to Equity (avg)

0.50

Sales to Capital Employed (avg)

0.97

Tax Ratio

25.93%

Dividend Payout Ratio

44.20%

Pledged Shares

Institutional Holding

0.01%

ROCE (avg)

28.29%

ROE (avg)

29.55%

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

1.79

EV to EBIT

5.66

EV to EBITDA

4.79

EV to Capital Employed

1.70

EV to Sales

1.17

PEG Ratio

0.14

Dividend Yield

3.74%

ROCE (Latest)

30.09%

ROE (Latest)

24.87%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bullish

Moving Averages

Mildly Bearish (Daily)

KST

Bearish

Bullish

Dow Theory

Mildly Bullish

Mildly Bearish

OBV

Mildly Bullish

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

25What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 11,506.83 MM

NET SALES(HY)

At CNY 24,790.86 MM has Grown at 22.14%

DEBT-EQUITY RATIO (HY)

Lowest at 9.5 %

INTEREST COVERAGE RATIO(Q)

The company hardly has any interest cost

RAW MATERIAL COST(Y)

Fallen by -62.27% (YoY

OPERATING PROFIT(Q)

Highest at CNY 4,688.11 MM

OPERATING PROFIT MARGIN(Q)

Highest at 37.86 %

PRE-TAX PROFIT(Q)

Highest at CNY 4,072.31 MM

NET PROFIT(Q)

Highest at CNY 2,491.69 MM

EPS(Q)

Highest at CNY 1.12

-12What is not working for the Company

ROCE(HY)

Lowest at 0%

INTEREST(Q)

At CNY 81.28 MM has Grown at 93.65%

INVENTORY TURNOVER RATIO(HY)

Lowest at 8.1 times

OPERATING PROFIT(Q)

Lowest at CNY 535.54 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 4.33 %

NET PROFIT(Q)

Lowest at CNY 0 MM

EPS(Q)

Lowest at CNY 0

Here's what is working for Henan Shenhuo Coal Industary & Electricity Power Corp. Ltd.

Net Sales

At CNY 24,790.86 MM has Grown at 22.14%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Debt-Equity Ratio

Lowest at 9.5 % and Grown

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

MOJO Watch

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

Debt-Equity Ratio

Operating Cash Flow

Highest at CNY 11,506.83 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Operating Profit

Highest at CNY 4,688.11 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (CNY MM)

Operating Profit Margin

Highest at 37.86 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at CNY 4,072.31 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Pre-Tax Profit

At CNY 4,072.31 MM has Grown at 80.43%

over average net sales of the previous four periods of CNY 2,257.05 MM

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

Highest at CNY 2,491.69 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

Net Profit

At CNY 2,491.69 MM has Grown at 77.3%

over average net sales of the previous four periods of CNY 1,405.37 MM

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY 1.12

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Raw Material Cost

Fallen by -62.27% (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 Henan Shenhuo Coal Industary & Electricity Power Corp. Ltd.

Net Profit

At CNY 0 MM has Fallen at -100%

over average net sales of the previous four periods of CNY 1,405.37 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Interest

At CNY 81.28 MM has Grown at 93.65%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Operating Profit

Lowest at CNY 535.54 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 4.33 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Net Profit

Lowest at CNY 0 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CNY MM)

EPS

Lowest at CNY 0

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (CNY)

Inventory Turnover Ratio

Lowest at 8.1 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio