ScoreWhy is Hongrun Construction Group Co., Ltd. ?
1
Poor long term growth as Net Sales has grown by an annual rate of -13.11% and Operating profit at -15.14% over the last 5 years
2
The company has declared Negative results for the last 3 consecutive quarters
- RAW MATERIAL COST(Y) Grown by 20.43% (YoY)
3
With ROE of 3.79%, it has a very expensive valuation with a 2.78 Price to Book Value
- Over the past year, while the stock has generated a return of 96.04%, its profits have fallen by -56.7%
- At the current price, the company has a high dividend yield of 0.8
4
Market Beating Performance
- The stock has generated a return of 96.04% in the last 1 year, much higher than market (China Shanghai Composite) returns of 24.70%
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Hongrun Construction Group Co., Ltd. should be less than 10%
- Overall Portfolio exposure to Construction should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Construction)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Hongrun Construction Group Co., Ltd. for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Hongrun Construction Group Co., Ltd.
96.04%
3.03
54.54%
China Shanghai Composite
24.7%
1.91
12.94%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
-13.11%
EBIT Growth (5y)
-15.14%
EBIT to Interest (avg)
4.02
Debt to EBITDA (avg)
0.44
Net Debt to Equity (avg)
-0.15
Sales to Capital Employed (avg)
0.88
Tax Ratio
24.07%
Dividend Payout Ratio
43.29%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
12.15%
ROE (avg)
10.36%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
73
Industry P/E
Price to Book Value
2.78
EV to EBIT
63.02
EV to EBITDA
37.98
EV to Capital Employed
2.80
EV to Sales
2.43
PEG Ratio
NA
Dividend Yield
0.80%
ROCE (Latest)
4.44%
ROE (Latest)
3.79%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Mildly Bearish (Daily)
KST
Bearish
Bullish
Dow Theory
Mildly Bullish
Mildly Bearish
OBV
Mildly Bullish
Mildly Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend5What is working for the Company
INVENTORY TURNOVER RATIO(HY)
Highest at 3.99 times
PRE-TAX PROFIT(Q)
At CNY 99.82 MM has Grown at 63.49%
NET PROFIT(Q)
Highest at CNY 100.01 MM
EPS(Q)
Highest at CNY 0.08
-1What is not working for the Company
RAW MATERIAL COST(Y)
Grown by 20.43% (YoY
Here's what is working for Hongrun Construction Group Co., Ltd.
Pre-Tax Profit
At CNY 99.82 MM has Grown at 63.49%
Year on Year (YoY)MOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (CNY MM)
Net Profit
Highest at CNY 100.01 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (CNY MM)
Net Profit
At CNY 100.01 MM has Grown at 63.47%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is positive
Net Profit (CNY MM)
EPS
Highest at CNY 0.08
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (CNY)
Inventory Turnover Ratio
Highest at 3.99 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Here's what is not working for Hongrun Construction Group Co., Ltd.
Raw Material Cost
Grown by 20.43% (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
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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