Huasu Holdings Co., Ltd. (000509) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Huasu Holdings Co., Ltd.

Why is Huasu Holdings Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 0.30%

The company has been able to generate a Return on Capital Employed (avg) of 0.30% signifying low profitability per unit of total capital (equity and debt)

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 78.50% and Operating profit at 12.58% 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 7.99% signifying low profitability per unit of shareholders funds

With a fall in Net Sales of -10.82%, the company declared Very Negative results in Mar 25

INTEREST(9M) At CNY 8.64 MM has Grown at 12.08%
NET SALES(Q) At CNY 189.4 MM has Fallen at -26.45%
DEBTORS TURNOVER RATIO(HY) Lowest at 4.58%

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 -5.10%, its profits have fallen by -42.1%

Below par performance in long term as well as near term

Along with generating -5.10% 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 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 IT - Hardware)

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

Is Huasu Holdings Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Huasu Holdings Co., Ltd.

-100.0%

0.97

40.02%

China Shanghai Composite

15.19%

1.01

15.10%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

78.50%

EBIT Growth (5y)

12.58%

EBIT to Interest (avg)

-3.69

Debt to EBITDA (avg)

14.43

Net Debt to Equity (avg)

1.12

Sales to Capital Employed (avg)

2.15

Tax Ratio

15.47%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

0.30%

ROE (avg)

7.99%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

15.62

EV to EBIT

-167.72

EV to EBITDA

315.61

EV to Capital Employed

7.56

EV to Sales

2.26

PEG Ratio

Dividend Yield

ROCE (Latest)

-4.51%

ROE (Latest)

-9.87%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

No Trend

OBV

Mildly Bearish

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

15What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 93.17 MM

PRE-TAX PROFIT(Q)

At CNY 3.74 MM has Grown at 301.33%

NET PROFIT(Q)

At CNY 0.83 MM has Grown at 127.12%

RAW MATERIAL COST(Y)

Fallen by -58.36% (YoY

-12What is not working for the Company

INTEREST(9M)

At CNY 8.64 MM has Grown at 12.08%

NET SALES(Q)

At CNY 189.4 MM has Fallen at -26.45%

DEBTORS TURNOVER RATIO(HY)

Lowest at 4.58%

Here's what is working for Huasu Holdings Co., Ltd.

Pre-Tax Profit

At CNY 3.74 MM has Grown at 301.33%

over average net sales of the previous four periods of CNY -1.86 MM

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (CNY MM)

Operating Cash Flow

Highest at CNY 93.17 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Net Profit

At CNY 0.83 MM has Grown at 127.12%

over average net sales of the previous four periods of CNY -3.05 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (CNY MM)

Raw Material Cost

Fallen by -58.36% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Here's what is not working for Huasu Holdings Co., Ltd.

Net Sales

At CNY 189.4 MM has Fallen at -26.45%

over average net sales of the previous four periods of CNY 257.49 MM

MOJO Watch

Near term sales trend is extremely negative

Net Sales (CNY MM)

Interest

At CNY 5.78 MM has Grown at 16.7%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Debtors Turnover Ratio

Lowest at 4.58% and Fallen

In each half year in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Net Sales

Lowest at CNY 189.4 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)