Why is Hubei Chutian Smart Communication Co., Ltd. ?
1
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 15.84% and Operating profit at 55.40% 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 10.19% signifying low profitability per unit of shareholders funds
2
Negative results in Mar 25
- OPERATING CASH FLOW(Y) Lowest at CNY 1,744.88 MM
- ROCE(HY) Lowest at 8.79%
- RAW MATERIAL COST(Y) Grown by 22.53% (YoY)
3
Underperformed the market in the last 1 year
- Even though the market (China Shanghai Composite) has generated returns of 14.77% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -7.99% returns
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 Construction)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Hubei Chutian Smart Communication Co., Ltd. for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
Hubei Chutian Smart Communication Co., Ltd.
-7.99%
-0.34
18.04%
China Shanghai Composite
14.77%
1.01
14.58%
Quality key factors
Factor
Value
Sales Growth (5y)
15.84%
EBIT Growth (5y)
55.40%
EBIT to Interest (avg)
4.59
Debt to EBITDA (avg)
3.23
Net Debt to Equity (avg)
0.85
Sales to Capital Employed (avg)
0.22
Tax Ratio
28.33%
Dividend Payout Ratio
35.65%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
9.41%
ROE (avg)
10.19%
Valuation Key Factors 
Factor
Value
P/E Ratio
9
Industry P/E
Price to Book Value
0.73
EV to EBIT
14.03
EV to EBITDA
7.69
EV to Capital Employed
0.87
EV to Sales
3.17
PEG Ratio
NA
Dividend Yield
4.28%
ROCE (Latest)
6.19%
ROE (Latest)
8.36%
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Mildly Bearish
Moving Averages
Bearish (Daily)
KST
Mildly Bullish
Mildly Bearish
Dow Theory
Mildly Bearish
No Trend
OBV
Mildly Bearish
No Trend
Technical Movement
10What is working for the Company
NET SALES(HY)
At CNY 2,908.23 MM has Grown at 52.82%
DEBTORS TURNOVER RATIO(HY)
Highest at 11.69%
INVENTORY TURNOVER RATIO(HY)
Highest at 47.9%
-8What is not working for the Company
OPERATING CASH FLOW(Y)
Lowest at CNY 1,744.88 MM
ROCE(HY)
Lowest at 8.79%
RAW MATERIAL COST(Y)
Grown by 22.53% (YoY
CASH AND EQV(HY)
Lowest at CNY 1,610.25 MM
DEBT-EQUITY RATIO
(HY)
Highest at 86.07 %
Here's what is working for Hubei Chutian Smart Communication Co., Ltd.
Net Sales
At CNY 2,908.23 MM has Grown at 52.82%
Year on Year (YoY)MOJO Watch
Near term sales trend is very positive
Net Sales (CNY MM)
Debtors Turnover Ratio
Highest at 11.69% and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Inventory Turnover Ratio
Highest at 47.9%
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Here's what is not working for Hubei Chutian Smart Communication Co., Ltd.
Operating Cash Flow
Lowest at CNY 1,744.88 MM
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 1,610.25 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is deteriorating
Cash and Cash Equivalents
Debt-Equity Ratio
Highest at 86.07 %
in the last five Semi-Annual periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
Raw Material Cost
Grown by 22.53% (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






