ScoreWhy is Hongmian Zhihui Science & Tech Innovation Co., Ltd. Guangzhou ?
1
Poor long term growth as Net Sales has grown by an annual rate of -1.11% and Operating profit at 15.64% over the last 5 years
2
Negative results in Mar 26
- NET PROFIT(HY) At CNY 59.66 MM has Grown at -87.13%
- OPERATING CASH FLOW(Y) Lowest at CNY 258.28 MM
- ROCE(HY) Lowest at 5.92%
3
With ROE of 6.87%, it has a very expensive valuation with a 2.06 Price to Book Value
- Over the past year, while the stock has generated a return of -19.70%, its profits have fallen by -74.8%
4
Below par performance in long term as well as near term
- Along with generating -19.70% 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 ReportHow 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 FMCG)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Hongmian Zhihui Science & Tech Innovation Co., Ltd. Guangzhou for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Hongmian Zhihui Science & Tech Innovation Co., Ltd. Guangzhou
7.21%
-0.18
39.21%
China Shanghai Composite
3.0%
1.20
14.07%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
-1.11%
EBIT Growth (5y)
15.64%
EBIT to Interest (avg)
3.49
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.46
Sales to Capital Employed (avg)
1.11
Tax Ratio
17.79%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
16.48%
ROE (avg)
35.98%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
35
Industry P/E
Price to Book Value
2.41
EV to EBIT
7.18
EV to EBITDA
5.76
EV to Capital Employed
3.21
EV to Sales
1.93
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
44.78%
ROE (Latest)
6.87%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Mildly Bearish (Daily)
KST
Bullish
Mildly Bearish
Dow Theory
No Trend
Mildly Bullish
OBV
Mildly Bearish
Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend7What is working for the Company
OPERATING CASH FLOW(Y)
Highest at CNY 344.34 MM
NET PROFIT(HY)
At CNY 77.15 MM has Grown at 130.24%
PRE-TAX PROFIT(Q)
At CNY 52.68 MM has Grown at 64.99%
-6What is not working for the Company
NET PROFIT(9M)
At CNY 89.33 MM has Grown at -81.58%
RAW MATERIAL COST(Y)
Grown by 18.64% (YoY
Here's what is working for Hongmian Zhihui Science & Tech Innovation Co., Ltd. Guangzhou
Net Profit
At CNY 77.15 MM has Grown at 130.24%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is very positive
Net Profit (CNY MM)
Operating Cash Flow
Highest at CNY 344.34 MM and Grown
In each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (CNY MM)
Pre-Tax Profit
At CNY 52.68 MM has Grown at 64.99%
over average net sales of the previous four periods of CNY 31.93 MMMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (CNY MM)
Here's what is not working for Hongmian Zhihui Science & Tech Innovation Co., Ltd. Guangzhou
Raw Material Cost
Grown by 18.64% (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
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