Hiecise Precision Equipment Co., Ltd. (300809) 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

Hiecise Precision Equipment Co., Ltd.

Why is Hiecise Precision Equipment Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 6.88%

The company has been able to generate a Return on Capital Employed (avg) of 6.88% 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 20.15% and Operating profit at -168.05% over the last 5 years

Flat results in Sep 25

NET PROFIT(HY) At CNY 13.07 MM has Grown at -45.55%
NET SALES(Q) At CNY 86.67 MM has Fallen at -28.92%
ROCE(HY) Lowest at 2.91%

With ROE of 2.67%, it has a very expensive valuation with a 6.94 Price to Book Value

Over the past year, while the stock has generated a return of -19.26%, its profits have fallen by -59.3%
At the current price, the company has a high dividend yield of 0.1

Underperformed the market in the last 1 year

Even though the market (China Shanghai Composite) has generated returns of 15.17% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -19.26% returns

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 Industrial Manufacturing)

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

Is Hiecise Precision Equipment Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Hiecise Precision Equipment Co., Ltd.

-33.99%

1.22

51.53%

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)

20.15%

EBIT Growth (5y)

-168.05%

EBIT to Interest (avg)

34.98

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.47

Sales to Capital Employed (avg)

0.28

Tax Ratio

4.50%

Dividend Payout Ratio

49.08%

Pledged Shares

Institutional Holding

ROCE (avg)

6.88%

ROE (avg)

5.10%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

259

Industry P/E

Price to Book Value

6.94

EV to EBIT

-2365.71

EV to EBITDA

299.95

EV to Capital Employed

12.83

EV to Sales

21.63

PEG Ratio

Dividend Yield

0.15%

ROCE (Latest)

-0.54%

ROE (Latest)

2.67%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bearish

Moving Averages

Bearish (Daily)

KST

Mildly Bullish

Mildly Bearish

Dow Theory

Mildly Bearish

OBV

Mildly Bearish

Bullish

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

11What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 185.88 MM

NET SALES(HY)

At CNY 228.34 MM has Grown at 35.85%

DIVIDEND PAYOUT RATIO(Y)

Highest at 55.1%

RAW MATERIAL COST(Y)

Fallen by -7.59% (YoY

INVENTORY TURNOVER RATIO(HY)

Highest at 0.98 times

DIVIDEND PER SHARE(HY)

Highest at CNY 1.6

-10What is not working for the Company

NET PROFIT(HY)

At CNY 13.07 MM has Grown at -45.55%

NET SALES(Q)

At CNY 86.67 MM has Fallen at -28.92%

ROCE(HY)

Lowest at 2.91%

PRE-TAX PROFIT(Q)

At CNY 7.05 MM has Fallen at -39.79%

Here's what is working for Hiecise Precision Equipment Co., Ltd.

Operating Cash Flow

Highest at CNY 185.88 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)

Inventory Turnover Ratio

Highest at 0.98 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Dividend per share

Highest at CNY 1.6

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (CNY)

Dividend Payout Ratio

Highest at 55.1%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Raw Material Cost

Fallen by -7.59% (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 Hiecise Precision Equipment Co., Ltd.

Net Profit

At CNY 13.07 MM has Grown at -45.55%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Net Sales

At CNY 86.67 MM has Fallen at -28.92%

over average net sales of the previous four periods of CNY 121.93 MM

MOJO Watch

Near term sales trend is extremely negative

Net Sales (CNY MM)

Pre-Tax Profit

At CNY 7.05 MM has Fallen at -39.79%

over average net sales of the previous four periods of CNY 11.71 MM

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (CNY MM)