Huadian Energy Co., Ltd. (600726) 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

Huadian Energy Co., Ltd.

Why is Huadian Energy Co., Ltd. ?

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 8.58% and Operating profit at 79.39% 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 24.86% signifying low profitability per unit of shareholders funds

With a fall in Net Profit of -151.81%, the company declared Very Negative results in Sep 25

NET SALES(Q) At CNY 3,490.29 MM has Fallen at -18.55%
PRE-TAX PROFIT(Q) At CNY 9.66 MM has Fallen at -96.97%
OPERATING CASH FLOW(Y) Lowest at CNY 1,297.8 MM

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of 24.77%, its profits have fallen by -53.9%

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 Power)

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

Is Huadian Energy Co., Ltd. for you?

High Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Huadian Energy Co., Ltd.

190.56%

0.75

36.30%

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)

8.58%

EBIT Growth (5y)

79.39%

EBIT to Interest (avg)

1.83

Debt to EBITDA (avg)

6.08

Net Debt to Equity (avg)

2.91

Sales to Capital Employed (avg)

1.03

Tax Ratio

39.22%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

12.93%

ROE (avg)

24.86%

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

3.88

EV to EBIT

18.63

EV to EBITDA

8.23

EV to Capital Employed

1.66

EV to Sales

1.87

PEG Ratio

Dividend Yield

ROCE (Latest)

8.93%

ROE (Latest)

15.93%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

Bearish

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bullish

OBV

No Trend

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

1What is working for the Company

CASH AND EQV(HY)

Highest at CNY 6,816.36 MM

-33What is not working for the Company

NET SALES(Q)

At CNY 3,490.29 MM has Fallen at -18.55%

PRE-TAX PROFIT(Q)

At CNY 9.66 MM has Fallen at -96.97%

OPERATING CASH FLOW(Y)

Lowest at CNY 1,297.8 MM

ROCE(HY)

Lowest at -0.49%

INTEREST COVERAGE RATIO(Q)

Lowest at 102.4

RAW MATERIAL COST(Y)

Grown by 29.19% (YoY

INVENTORY TURNOVER RATIO(HY)

Lowest at 11.47 times

OPERATING PROFIT(Q)

Lowest at CNY 141.84 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 4.06 %

NET PROFIT(Q)

Lowest at CNY -190.92 MM

Here's what is working for Huadian Energy Co., Ltd.

Cash and Eqv

Highest at CNY 6,816.36 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Here's what is not working for Huadian Energy Co., Ltd.

Net Sales

At CNY 3,490.29 MM has Fallen at -18.55%

over average net sales of the previous four periods of CNY 4,285.23 MM

MOJO Watch

Near term sales trend is extremely negative

Net Sales (CNY MM)

Pre-Tax Profit

At CNY 9.66 MM has Fallen at -96.97%

over average net sales of the previous four periods of CNY 318.7 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Net Profit

At CNY -190.92 MM has Fallen at -405.51%

over average net sales of the previous four periods of CNY 62.49 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Interest Coverage Ratio

Lowest at 102.4

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Operating Cash Flow

Lowest at CNY 1,297.8 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CNY MM)

Operating Profit

Lowest at CNY 141.84 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 4.06 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Net Profit

Lowest at CNY -190.92 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CNY MM)

Inventory Turnover Ratio

Lowest at 11.47 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Raw Material Cost

Grown by 29.19% (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