HMT (Xiamen) New Technical Materials Co., Ltd. (603306) 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

HMT (Xiamen) New Technical Materials Co., Ltd.

Why is HMT (Xiamen) New Technical Materials Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of 22.08% and Operating profit at 9.78% over the last 5 years

INTEREST(HY) At CNY 31.84 MM has Grown at 348.63%
INTEREST COVERAGE RATIO(Q) Lowest at 224.28
OPERATING PROFIT(Q) Lowest at CNY 35.37 MM

With ROE of 8.14%, it has a very expensive valuation with a 5.01 Price to Book Value

Over the past year, while the stock has generated a return of 136.05%, its profits have fallen by -7.8%
At the current price, the company has a high dividend yield of 0.2

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 Garments & Apparels)

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

Is HMT (Xiamen) New Technical Materials Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

HMT (Xiamen) New Technical Materials Co., Ltd.

109.3%

6.53

53.51%

China Shanghai Composite

15.17%

1.58

14.20%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

22.08%

EBIT Growth (5y)

9.78%

EBIT to Interest (avg)

92.32

Debt to EBITDA (avg)

0.28

Net Debt to Equity (avg)

0.21

Sales to Capital Employed (avg)

0.49

Tax Ratio

17.47%

Dividend Payout Ratio

10.82%

Pledged Shares

Institutional Holding

ROCE (avg)

9.74%

ROE (avg)

7.48%

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

5.01

EV to EBIT

48.03

EV to EBITDA

33.33

EV to Capital Employed

4.39

EV to Sales

7.30

PEG Ratio

Dividend Yield

0.19%

ROCE (Latest)

9.13%

ROE (Latest)

8.14%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

Bullish

OBV

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

4What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -2.54% (YoY

INVENTORY TURNOVER RATIO(HY)

Highest at 5.93 times

DEBTORS TURNOVER RATIO(HY)

Highest at 2.63 times

NET SALES(Q)

Highest at CNY 675.67 MM

-24What is not working for the Company

INTEREST(HY)

At CNY 31.84 MM has Grown at 348.63%

INTEREST COVERAGE RATIO(Q)

Lowest at 224.28

OPERATING PROFIT(Q)

Lowest at CNY 35.37 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 5.23 %

PRE-TAX PROFIT(Q)

Lowest at CNY 33.63 MM

NET PROFIT(Q)

Lowest at CNY 35.92 MM

EPS(Q)

Lowest at CNY 0.11

Here's what is working for HMT (Xiamen) New Technical Materials Co., Ltd.

Net Sales

Highest at CNY 675.67 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Inventory Turnover Ratio

Highest at 5.93 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Debtors Turnover Ratio

Highest at 2.63 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by -2.54% (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 HMT (Xiamen) New Technical Materials Co., Ltd.

Interest

At CNY 31.84 MM has Grown at 348.63%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Interest Coverage Ratio

Lowest at 224.28 and Fallen

In each period in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Pre-Tax Profit

At CNY 33.63 MM has Fallen at -62.2%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 35.92 MM has Fallen at -44.45%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Operating Profit

Lowest at CNY 35.37 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 5.23 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at CNY 33.63 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (CNY MM)

Net Profit

Lowest at CNY 35.92 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CNY MM)

EPS

Lowest at CNY 0.11

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (CNY)

Non Operating Income

Highest at CNY 0.42 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income