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Huaren Pharmaceutical Co., Ltd.

  • Market Cap: Small Cap
  • Industry: Pharmaceuticals & Biotechnology
  • ISIN: CNE100000SW1
  • SHE: 300110
CNY
3.45
-0.2 (-5.48%)

Sep 24

SHE

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  • Price Points
  • Score
  • Mojo Parameters
  • Total Return
  • News and Corporate Actions
  • Key factors
  • Shareholding
  • Financials
  • CompanyCV
stock-recommendationScore
Click here to find our call on this stock
Strong Sell
Sell
Hold
Buy
Strong Buy

Comparison

Company
Score
Quality
Valuation
Financial
Technical
Huaren Pharmaceutical Co., Ltd.

Why is Huaren Pharmaceutical Co., Ltd. ?

1
Poor Management Efficiency with a low ROCE of 4.52%
  • The company has been able to generate a Return on Capital Employed (avg) of 4.52% signifying low profitability per unit of total capital (equity and debt)
2
The company is Net-Debt Free
  • Poor long term growth as Net Sales has grown by an annual rate of 0.51% and Operating profit at -1.86% over the last 5 years
  • The company is Net-Debt Free
  • The company has been able to generate a Return on Equity (avg) of 5.13% signifying low profitability per unit of shareholders funds
3
Poor long term growth as Net Sales has grown by an annual rate of 0.51% and Operating profit at -1.86% over the last 5 years
4
Flat results in Mar 26
  • OPERATING CASH FLOW(Y) Lowest at CNY 308.19 MM
  • DEBT-EQUITY RATIO (HY) Highest at 129.56 %
  • OPERATING PROFIT(Q) Lowest at CNY 30.59 MM
5
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 -22.12%, its profits have risen by 105% ; the PEG ratio of the company is 0.4
  • At the current price, the company has a high dividend yield of 0
stock-recommendationReal-Time Research Report

Verdict Report

How much should you sell?

  1. 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 Pharmaceuticals & Biotechnology)

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

Is Huaren Pharmaceutical Co., Ltd. for you?

Medium Risk, Low Return

Absolute
Risk Adjusted
Volatility
Huaren Pharmaceutical Co., Ltd.
6.15%
-0.58
29.57%
China Shanghai Composite
0.9%
1.20
14.07%
stock-recommendationQuality
stock-summaryManagement Risk
stock-summaryGrowth
stock-summaryCapital Structure
stock-recommendation
Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor
Value
Sales Growth (5y)
0.51%
EBIT Growth (5y)
-1.86%
EBIT to Interest (avg)
-1.82
Debt to EBITDA (avg)
4.61
Net Debt to Equity (avg)
1.08
Sales to Capital Employed (avg)
0.45
Tax Ratio
0.44%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
4.68%
ROE (avg)
5.13%
stock-recommendationValuation

Valuation Scorecard stock-summary

stock-recommendation
Valuation grade scale :

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

Valuation Key Factors stock-summary

Factor
Value
P/E Ratio
45
Industry P/E
Price to Book Value
3.42
EV to EBIT
40.00
EV to EBITDA
25.32
EV to Capital Employed
2.05
EV to Sales
3.03
PEG Ratio
0.42
Dividend Yield
NA
ROCE (Latest)
5.14%
ROE (Latest)
7.68%
stock-recommendationTechnicals

Technical key factors

Indicator
Weekly
Monthly
MACD
Mildly Bullish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Mildly Bearish (Daily)
KST
Mildly Bullish
Bearish
Dow Theory
Mildly Bullish
Mildly Bullish
OBV
Bullish
Bullish
stock-recommendation Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish  Turned 
Technical Movement
Analyse All Technical Factors stock-recommendation
stock-recommendationFinancial Trend

Financial Trend Scorecard stock-summary

stock-recommendation
Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

6What is working for the Company
NET PROFIT(9M)

Higher at CNY 35.78 MM

INVENTORY TURNOVER RATIO(HY)

Highest at 3.4 times

DEBTORS TURNOVER RATIO(HY)

Highest at 2.09 times

-8What is not working for the Company
OPERATING CASH FLOW(Y)

Lowest at CNY 295.83 MM

NET PROFIT(HY)

At CNY 28.54 MM has Grown at -23.55%

RAW MATERIAL COST(Y)

Grown by 21.26% (YoY

NET SALES(Q)

Lowest at CNY 295.08 MM

Here's what is working for Huaren Pharmaceutical Co., Ltd.

Inventory Turnover Ratio
Highest at 3.4 times
in the last five Semi-Annual periods
MOJO Watch
Company has been able to sell its inventory faster

Inventory Turnover Ratio

Debtors Turnover Ratio
Highest at 2.09 times
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 Huaren Pharmaceutical Co., Ltd.

Operating Cash Flow
Lowest at CNY 295.83 MM and Fallen
In each year in the last three years
MOJO Watch
The company's cash revenues from business operations are falling

Operating Cash Flows (CNY MM)

Net Profit
At CNY 28.54 MM has Grown at -23.55%
Year on Year (YoY)
MOJO Watch
Near term Net Profit trend is negative

Net Profit (CNY MM)

Net Sales
Lowest at CNY 295.08 MM
in the last five periods
MOJO Watch
Near term sales trend is negative

Net Sales (CNY MM)

Net Sales
At CNY 295.08 MM has Fallen at -11.12%
over average net sales of the previous four periods of CNY 331.99 MM
MOJO Watch
Near term sales trend is negative

Net Sales (CNY MM)

Raw Material Cost
Grown by 21.26% (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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