Hongbaoli Group Corp. Ltd. (002165) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Hongbaoli Group Corp. Ltd.

Why is Hongbaoli Group Corp. Ltd. ?

Poor Management Efficiency with a low ROCE of 2.03%

The company has been able to generate a Return on Capital Employed (avg) of 2.03% signifying low profitability per unit of total capital (equity and debt)

High Debt Company with a Debt to Equity ratio (avg) at times

Poor long term growth as Net Sales has grown by an annual rate of 5.00% and Operating profit at -39.98% over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times
The company has been able to generate a Return on Equity (avg) of 2.68% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 5.00% and Operating profit at -39.98% over the last 5 years

Flat results in Jun 25

PRE-TAX PROFIT(Q) At CNY 3.48 MM has Fallen at -60.15%
NET PROFIT(Q) At CNY 2.09 MM has Fallen at -82.53%
DEBT-EQUITY RATIO (HY) Highest at 72.13 %

With ROE of 2.06%, it has a very expensive valuation with a 2.53 Price to Book Value

Over the past year, while the stock has generated a return of 120.25%, its profits have fallen by -30.3%
At the current price, the company has a high dividend yield of 0.5

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 Specialty Chemicals)

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

Is Hongbaoli Group Corp. Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Hongbaoli Group Corp. Ltd.

-100.0%

2.39

65.70%

China Shanghai Composite

15.19%

1.01

15.10%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

5.00%

EBIT Growth (5y)

-39.98%

EBIT to Interest (avg)

0.75

Debt to EBITDA (avg)

11.00

Net Debt to Equity (avg)

0.90

Sales to Capital Employed (avg)

0.52

Tax Ratio

Tax Ratio is Negative%

Dividend Payout Ratio

87.94%

Pledged Shares

Institutional Holding

ROCE (avg)

2.03%

ROE (avg)

2.68%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

123

Industry P/E

Price to Book Value

2.53

EV to EBIT

463.46

EV to EBITDA

62.43

EV to Capital Employed

1.89

EV to Sales

2.45

PEG Ratio

Dividend Yield

0.46%

ROCE (Latest)

0.41%

ROE (Latest)

2.06%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

Bullish

Bearish

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Bearish (Daily)

KST

Bearish

Bullish

Dow Theory

Mildly Bearish

OBV

Mildly Bearish

Mildly 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

NET PROFIT(9M)

At CNY 33.1 MM has Grown at 42.82%

DEBTORS TURNOVER RATIO(HY)

Highest at 3.45%

-17What is not working for the Company

PRE-TAX PROFIT(Q)

At CNY 3.48 MM has Fallen at -60.15%

NET PROFIT(Q)

At CNY 2.09 MM has Fallen at -82.53%

DEBT-EQUITY RATIO (HY)

Highest at 72.13 %

RAW MATERIAL COST(Y)

Grown by 11.83% (YoY

NET SALES(Q)

Lowest at CNY 586.28 MM

EPS(Q)

Lowest at CNY 0

Here's what is working for Hongbaoli Group Corp. Ltd.

Debtors Turnover Ratio

Highest at 3.45%

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Here's what is not working for Hongbaoli Group Corp. Ltd.

Pre-Tax Profit

At CNY 3.48 MM has Fallen at -60.15%

over average net sales of the previous four periods of CNY 8.75 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 2.09 MM has Fallen at -82.53%

over average net sales of the previous four periods of CNY 11.97 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Net Sales

At CNY 586.28 MM has Fallen at -15.24%

over average net sales of the previous four periods of CNY 691.66 MM

MOJO Watch

Near term sales trend is very negative

Net Sales (CNY MM)

Debt-Equity Ratio

Highest at 72.13 % and Grown

In each half year 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

Net Sales

Lowest at CNY 586.28 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Net Profit

Lowest at CNY 2.09 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CNY MM)

EPS

Lowest at CNY 0

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (CNY)

Raw Material Cost

Grown by 11.83% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales