Heren Health Co., Ltd. (300550) 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

Heren Health Co., Ltd.

Why is Heren Health Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 2.36%

The company has been able to generate a Return on Capital Employed (avg) of 2.36% signifying low profitability per unit of total capital (equity and debt)

Poor long term growth as Net Sales has grown by an annual rate of -1.42% and Operating profit at 8.93% over the last 5 years

With a growth in Net Profit of 4979.22%, the company declared Very Positive results in Sep 25

NET PROFIT(HY) At CNY 16.33 MM has Grown at 1,444.71%
OPERATING CASH FLOW(Y) Highest at CNY 105.63 MM
ROCE(HY) Highest at 4.69%

With ROE of 4.33%, it has a expensive valuation with a 2.91 Price to Book Value

Over the past year, while the stock has generated a return of -10.32%, its profits have risen by 86.8% ; the PEG ratio of the company is 0.8
At the current price, the company has a high dividend yield of 0.2

Below par performance in long term as well as near term

Along with generating -10.32% 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 Heren Health Co., Ltd. should be less than 10%
Overall Portfolio exposure to Software Products should be less than 30%

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

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

Is Heren Health Co., Ltd. for you?

High Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Heren Health Co., Ltd.

-11.83%

0.63

39.44%

China Shanghai Composite

15.17%

1.02

14.86%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-1.42%

EBIT Growth (5y)

8.93%

EBIT to Interest (avg)

-0.90

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.38

Sales to Capital Employed (avg)

0.33

Tax Ratio

Tax Ratio is Negative%

Dividend Payout Ratio

16.70%

Pledged Shares

Institutional Holding

ROCE (avg)

2.36%

ROE (avg)

2.74%

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

2.91

EV to EBIT

88.55

EV to EBITDA

43.87

EV to Capital Employed

3.84

EV to Sales

7.15

PEG Ratio

0.77

Dividend Yield

0.21%

ROCE (Latest)

4.33%

ROE (Latest)

4.33%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Dow Theory

Mildly Bearish

OBV

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

NET PROFIT(HY)

At CNY 16.33 MM has Grown at 1,444.71%

OPERATING CASH FLOW(Y)

Highest at CNY 105.63 MM

ROCE(HY)

Highest at 4.69%

RAW MATERIAL COST(Y)

Fallen by 1.56% (YoY

-1What is not working for the Company

CASH AND EQV(HY)

Lowest at CNY 900.11 MM

Here's what is working for Heren Health Co., Ltd.

Net Profit

At CNY 16.33 MM has Grown at 1,444.71%

Year on Year (YoY)

MOJO Watch

Net Profit trend is very positive

Net Profit (CNY MM)

Operating Cash Flow

Highest at CNY 105.63 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 1.56% (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 Heren Health Co., Ltd.

Cash and Eqv

Lowest at CNY 900.11 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Non Operating Income

Highest at CNY 0.5 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income