Why is Hicon Network Technology (Shandong) Co., Ltd. ?
1
Poor long term growth as Net Sales has grown by an annual rate of -2.10% and Operating profit at -0.65% over the last 5 years
2
Negative results in Mar 25
- NET SALES(Q) Lowest at CNY 233.76 MM
3
With ROE of 10.36%, it has a attractive valuation with a 0.27 Price to Book Value
- Over the past year, while the stock has generated a return of -1.88%, its profits have fallen by -7.6%
4
Below par performance in long term as well as near term
- Along with generating -1.88% returns in the last 1 year, the stock has also underperformed China Shanghai Composite in the last 3 years, 1 year and 3 months
How much should you hold?
- Overall Portfolio exposure to Hicon Network Technology (Shandong) Co., Ltd. should be less than 10%
- Overall Portfolio exposure to Telecom - Services should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Telecom - Services)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Hicon Network Technology (Shandong) Co., Ltd. for you?
High Risk, Medium Return
Absolute
Risk Adjusted
Volatility
Hicon Network Technology (Shandong) Co., Ltd.
-6.29%
0.29
44.51%
China Shanghai Composite
15.19%
1.01
15.10%
Quality key factors
Factor
Value
Sales Growth (5y)
-2.10%
EBIT Growth (5y)
-0.65%
EBIT to Interest (avg)
100.00
Debt to EBITDA (avg)
Negative Net Debt
Net Debt to Equity (avg)
-0.89
Sales to Capital Employed (avg)
0.29
Tax Ratio
15.14%
Dividend Payout Ratio
51.67%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
96.00%
ROE (avg)
13.23%
Valuation Key Factors 
Factor
Value
P/E Ratio
3
Industry P/E
Price to Book Value
0.27
EV to EBIT
-5.88
EV to EBITDA
-5.57
EV to Capital Employed
-6.75
EV to Sales
-2.53
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
Negative Capital Employed
ROE (Latest)
10.36%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Sideways
Mildly Bullish
Moving Averages
Bullish (Daily)
KST
Bearish
Dow Theory
Mildly Bearish
Mildly Bullish
OBV
No Trend
No Trend
Technical Movement
6What is working for the Company
RAW MATERIAL COST(Y)
Fallen by -0.92% (YoY
DEBT-EQUITY RATIO
(HY)
Lowest at -88.97 %
OPERATING PROFIT MARGIN(Q)
Highest at 50.95 %
PRE-TAX PROFIT(Q)
Highest at CNY 139.06 MM
NET PROFIT(Q)
Highest at CNY 114.69 MM
EPS(Q)
Highest at CNY 0.28
-5What is not working for the Company
NET SALES(Q)
Lowest at CNY 233.76 MM
Here's what is working for Hicon Network Technology (Shandong) Co., Ltd.
Operating Profit Margin
Highest at 50.95 %
in the last five periodsMOJO Watch
Company's profit margin has improved
Operating Profit to Sales
Pre-Tax Profit
Highest at CNY 139.06 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (CNY MM)
Net Profit
Highest at CNY 114.69 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (CNY MM)
EPS
Highest at CNY 0.28
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (CNY)
Debt-Equity Ratio
Lowest at -88.97 %
in the last five Semi-Annual periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Raw Material Cost
Fallen by -0.92% (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 Hicon Network Technology (Shandong) Co., Ltd.
Net Sales
Lowest at CNY 233.76 MM
in the last five periodsMOJO Watch
Near term sales trend is negative
Net Sales (CNY MM)






