Why is Huabao Flavours & Fragrances Co., Ltd. ?
1
Poor long term growth as Net Sales has grown by an annual rate of -9.70% and Operating profit at -147.02% over the last 5 years
2
The company has declared Negative results for the last 18 consecutive quarters
- NET PROFIT(HY) At CNY 17.74 MM has Grown at -76.67%
- OPERATING CASH FLOW(Y) Lowest at CNY 281.84 MM
- ROCE(HY) Lowest at -5.69%
3
Consistent Underperformance against the benchmark over the last 3 years
- Along with generating -7.69% returns in the last 1 year, the stock has also underperformed China Shanghai Composite in each of the last 3 annual periods
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 Huabao Flavours & Fragrances Co., Ltd. for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Huabao Flavours & Fragrances Co., Ltd.
-9.9%
-0.19
40.44%
China Shanghai Composite
15.17%
1.02
14.86%
Quality key factors
Factor
Value
Sales Growth (5y)
-9.70%
EBIT Growth (5y)
-147.02%
EBIT to Interest (avg)
100.00
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.68
Sales to Capital Employed (avg)
0.20
Tax Ratio
3.26%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
21.08%
ROE (avg)
7.91%
Valuation Key Factors 
Factor
Value
P/E Ratio
229
Industry P/E
Price to Book Value
1.69
EV to EBIT
-414.89
EV to EBITDA
114.52
EV to Capital Employed
3.00
EV to Sales
5.47
PEG Ratio
NA
Dividend Yield
0.91%
ROCE (Latest)
-0.72%
ROE (Latest)
0.74%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Bullish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
Mildly Bullish
Bullish
Technical Movement
3What is working for the Company
DIVIDEND PAYOUT RATIO(Y)
Highest at 48.4%
DIVIDEND PER SHARE(HY)
Highest at CNY 2.77
NET PROFIT(Q)
Highest at CNY 61.3 MM
-14What is not working for the Company
NET PROFIT(HY)
At CNY 17.74 MM has Grown at -76.67%
OPERATING CASH FLOW(Y)
Lowest at CNY 281.84 MM
ROCE(HY)
Lowest at -5.69%
CASH AND EQV(HY)
Lowest at CNY 9,228.75 MM
Here's what is working for Huabao Flavours & Fragrances Co., Ltd.
Net Profit
Highest at CNY 61.3 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (CNY MM)
Dividend per share
Highest at CNY 2.77
in the last five yearsMOJO Watch
Company is distributing higher dividend from profits generated
DPS (CNY)
Dividend Payout Ratio
Highest at 48.4%
in the last five yearsMOJO Watch
Company is distributing higher proportion of profits generated as dividend
DPR (%)
Here's what is not working for Huabao Flavours & Fragrances Co., Ltd.
Operating Cash Flow
Lowest at CNY 281.84 MM and Fallen
In each year in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (CNY MM)
Cash and Eqv
Lowest at CNY 9,228.75 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is deteriorating
Cash and Cash Equivalents






