Hiconics Eco-energy Technology Co., Ltd. (300048) 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

Hiconics Eco-energy Technology Co., Ltd.

Why is Hiconics Eco-energy Technology Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 1.39%

The company has been able to generate a Return on Capital Employed (avg) of 1.39% signifying low profitability per unit of total capital (equity and debt)

Negative results in Mar 26

PRE-TAX PROFIT(Q) At CNY -9.33 MM has Fallen at -142.61%
NET PROFIT(Q) At CNY -11.74 MM has Fallen at -175.12%
OPERATING CASH FLOW(Y) Lowest at CNY -59.67 MM

With ROE of 1.45%, it has a very expensive valuation with a 3.41 Price to Book Value

Over the past year, while the stock has generated a return of -10.04%, its profits have fallen by -52.2%

Below par performance in long term as well as near term

Along with generating -10.04% 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 Hiconics Eco-energy Technology Co., Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Hiconics Eco-energy Technology Co., Ltd.

-13.68%

0.07

39.51%

China Shanghai Composite

21.43%

1.55

13.83%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

38.07%

EBIT Growth (5y)

13.90%

EBIT to Interest (avg)

-12.27

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

-0.21

Sales to Capital Employed (avg)

1.89

Tax Ratio

28.71%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

1.39%

ROE (avg)

1.47%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

235

Industry P/E

Price to Book Value

3.41

EV to EBIT

-109.83

EV to EBITDA

204.37

EV to Capital Employed

3.46

EV to Sales

0.89

PEG Ratio

Dividend Yield

ROCE (Latest)

-3.15%

ROE (Latest)

1.45%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly 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

2What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -13.22% (YoY

CASH AND EQV(HY)

Highest at CNY 2,546.08 MM

-26What is not working for the Company

PRE-TAX PROFIT(Q)

At CNY -9.33 MM has Fallen at -142.61%

NET PROFIT(Q)

At CNY -11.74 MM has Fallen at -175.12%

OPERATING CASH FLOW(Y)

Lowest at CNY -59.67 MM

OPERATING PROFIT(Q)

Lowest at CNY -26.64 MM

DEBT-EQUITY RATIO (HY)

Highest at 1.41 %

NET SALES(Q)

At CNY 1,678.95 MM has Fallen at -9.71%

Here's what is working for Hiconics Eco-energy Technology Co., Ltd.

Cash and Eqv

Highest at CNY 2,546.08 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Raw Material Cost

Fallen by -13.22% (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 Hiconics Eco-energy Technology Co., Ltd.

Pre-Tax Profit

At CNY -9.33 MM has Fallen at -142.61%

over average net sales of the previous four periods of CNY 21.9 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Net Profit

At CNY -11.74 MM has Fallen at -175.12%

over average net sales of the previous four periods of CNY 15.63 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Operating Profit

Lowest at CNY -26.64 MM and Fallen

In each period in the last five periods

MOJO Watch

Near term Operating Profit trend is quite negative

Operating Profit (CNY MM)

Operating Cash Flow

Lowest at CNY -59.67 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CNY MM)

Net Sales

At CNY 1,678.95 MM has Fallen at -9.71%

over average net sales of the previous four periods of CNY 1,859.53 MM

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Debt-Equity Ratio

Highest at 1.41 %

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