Henan Splendor Science & Technology Co., Ltd. (002296) 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 Splendor Science & Technology Co., Ltd.

Why is Henan Splendor Science & Technology Co., Ltd. ?

The company has declared negative results for the last 2 consecutive quarters

The company has declared negative results in Dec 25 after 4 consecutive negative quarters
INTEREST(9M) At CNY 0.04 MM has Grown at inf%
NET SALES(HY) At CNY 522.42 MM has Grown at -47.81%
NET PROFIT(HY) At CNY 109.18 MM has Grown at -54.06%

Below par performance in long term as well as near term

Along with generating -17.65% 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 Electronics & Appliances)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Henan Splendor Science & Technology Co., Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Henan Splendor Science & Technology Co., Ltd.

-22.01%

-0.06

34.43%

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)

5.19%

EBIT Growth (5y)

11.66%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.15

Sales to Capital Employed (avg)

0.44

Tax Ratio

11.09%

Dividend Payout Ratio

27.07%

Pledged Shares

Institutional Holding

ROCE (avg)

8.01%

ROE (avg)

8.27%

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

1.36

EV to EBIT

18.86

EV to EBITDA

15.57

EV to Capital Employed

1.39

EV to Sales

3.63

PEG Ratio

Dividend Yield

1.10%

ROCE (Latest)

7.38%

ROE (Latest)

6.95%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly Bullish

No Trend

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

4What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 252.88 MM

RAW MATERIAL COST(Y)

Fallen by -4.33% (YoY

-23What is not working for the Company

NET PROFIT(9M)

At CNY 142.59 MM has Grown at -48.5%

INTEREST(9M)

At CNY 0.08 MM has Grown at inf%

ROCE(HY)

Lowest at 7.01%

INTEREST COVERAGE RATIO(Q)

Lowest at 55,287.5

DEBT-EQUITY RATIO (HY)

Highest at -18.46 %

INVENTORY TURNOVER RATIO(HY)

Lowest at 0.72 times

DEBTORS TURNOVER RATIO(HY)

Lowest at 0.77 times

NET SALES(Q)

Lowest at CNY 150.34 MM

OPERATING PROFIT(Q)

Lowest at CNY 24.49 MM

Here's what is working for Henan Splendor Science & Technology Co., Ltd.

Operating Cash Flow

Highest at CNY 252.88 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)

Raw Material Cost

Fallen by -4.33% (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 Henan Splendor Science & Technology Co., Ltd.

Net Profit

At CNY 142.59 MM has Grown at -48.5%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Interest

At CNY 0.08 MM has Grown at inf%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Net Sales

At CNY 150.34 MM has Fallen at -20.49%

Year on Year (YoY)

MOJO Watch

Near term sales trend is very negative

Net Sales (CNY MM)

Interest Coverage Ratio

Lowest at 55,287.5

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Net Sales

Lowest at CNY 150.34 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Operating Profit

Lowest at CNY 24.49 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Debt-Equity Ratio

Highest at -18.46 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Inventory Turnover Ratio

Lowest at 0.72 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Debtors Turnover Ratio

Lowest at 0.77 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Non Operating Income

Highest at CNY 0.61 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income