Huayuan Property Co., Ltd. (600743) 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

Huayuan Property Co., Ltd.

Why is Huayuan Property Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 0.32%

The company has been able to generate a Return on Capital Employed (avg) of 0.32% 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 -7.80% and Operating profit at -201.51% 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 0.82% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of -7.80% and Operating profit at -201.51% over the last 5 years

The company has declared Negative results for the last 4 consecutive quarters

NET SALES(Q) At CNY 72.93 MM has Fallen at -88.51%
ROCE(HY) Lowest at -297.36%
CASH AND EQV(HY) Lowest at CNY 595.78 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 -2.05%, its profits have risen by 8%

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 Realty)

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

Is Huayuan Property Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Huayuan Property Co., Ltd.

10.38%

1.42

37.10%

China Shanghai Composite

21.43%

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)

-47.30%

EBIT Growth (5y)

-162.45%

EBIT to Interest (avg)

-8.01

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

Tax Ratio

7.53%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

0.32%

ROE (avg)

0.82%

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

10.55

EV to EBIT

-167.92

EV to EBITDA

517.99

EV to Capital Employed

5.00

EV to Sales

21.04

PEG Ratio

Dividend Yield

ROCE (Latest)

-2.98%

ROE (Latest)

-19.12%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Mildly Bearish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

Mildly Bearish

Mildly 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

6What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY -11.39 MM

ROCE(HY)

Highest at -16.8%

INVENTORY TURNOVER RATIO(HY)

Highest at 1.12 times

-12What is not working for the Company

NET SALES(HY)

At CNY 167.9 MM has Grown at -86.45%

INTEREST(HY)

At CNY 15.47 MM has Grown at 7.97%

RAW MATERIAL COST(Y)

Grown by 10.67% (YoY

CASH AND EQV(HY)

Lowest at CNY 293.16 MM

Here's what is working for Huayuan Property Co., Ltd.

Operating Cash Flow

Highest at CNY -11.39 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)

Inventory Turnover Ratio

Highest at 1.12 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Here's what is not working for Huayuan Property Co., Ltd.

Net Sales

At CNY 167.9 MM has Grown at -86.45%

Year on Year (YoY)

MOJO Watch

Near term sales trend is very negative

Net Sales (CNY MM)

Interest

At CNY 15.47 MM has Grown at 7.97%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Cash and Eqv

Lowest at CNY 293.16 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Raw Material Cost

Grown by 10.67% (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