Hubei Dinglong Co., Ltd. (300054) 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

Hubei Dinglong Co., Ltd.

Why is Hubei Dinglong Co., Ltd. ?

With a growth in Net Profit of 77.99%, the company declared Very Positive results in Mar 26

OPERATING CASH FLOW(Y) Highest at CNY 1,212.65 MM
ROCE(HY) Highest at 16.38%
RAW MATERIAL COST(Y) Fallen by -22.5% (YoY)

With ROE of 16.16%, it has a expensive valuation with a 8.74 Price to Book Value

Over the past year, while the stock has generated a return of 216.34%, its profits have risen by 30.1% ; the PEG ratio of the company is 1.8

Market Beating performance in long term as well as near term

Along with generating 216.34% returns in the last 1 year, the stock has outperformed China Shanghai Composite in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Hubei Dinglong Co., Ltd. should be less than 10%
Overall Portfolio exposure to IT - Hardware should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in IT - Hardware)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Hubei Dinglong Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Hubei Dinglong Co., Ltd.

216.34%

4.88

55.35%

China Shanghai Composite

21.31%

1.56

13.67%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

13.43%

EBIT Growth (5y)

45.55%

EBIT to Interest (avg)

-5.55

Debt to EBITDA (avg)

Net Debt is too low

Net Debt to Equity (avg)

0.06

Sales to Capital Employed (avg)

0.52

Tax Ratio

9.40%

Dividend Payout Ratio

13.00%

Pledged Shares

Institutional Holding

ROCE (avg)

7.08%

ROE (avg)

7.71%

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

8.74

EV to EBIT

49.59

EV to EBITDA

40.73

EV to Capital Employed

7.54

EV to Sales

12.68

PEG Ratio

1.80

Dividend Yield

0.20%

ROCE (Latest)

15.21%

ROE (Latest)

16.16%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bearish

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

No Trend

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

19What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 1,212.65 MM

ROCE(HY)

Highest at 16.38%

RAW MATERIAL COST(Y)

Fallen by -22.5% (YoY

CASH AND EQV(HY)

Highest at CNY 3,217.22 MM

NET SALES(Q)

Highest at CNY 1,020.1 MM

PRE-TAX PROFIT(Q)

Highest at CNY 297.59 MM

NET PROFIT(Q)

Highest at CNY 249.92 MM

EPS(Q)

Highest at CNY 0.26

-11What is not working for the Company

INTEREST(HY)

At CNY 29.31 MM has Grown at 87.3%

DEBT-EQUITY RATIO (HY)

Highest at 19.27 %

INVENTORY TURNOVER RATIO(HY)

Lowest at 2.94 times

Here's what is working for Hubei Dinglong Co., Ltd.

Operating Cash Flow

Highest at CNY 1,212.65 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 Sales

Highest at CNY 1,020.1 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Net Sales

At CNY 1,020.1 MM has Grown at 23.82%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Pre-Tax Profit

Highest at CNY 297.59 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Pre-Tax Profit

At CNY 297.59 MM has Grown at 65.8%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

Highest at CNY 249.92 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

Net Profit

At CNY 249.92 MM has Grown at 78.41%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY 0.26

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Cash and Eqv

Highest at CNY 3,217.22 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Raw Material Cost

Fallen by -22.5% (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 Hubei Dinglong Co., Ltd.

Interest

At CNY 29.31 MM has Grown at 87.3%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Debt-Equity Ratio

Highest at 19.27 % and Grown

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

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Inventory Turnover Ratio

Lowest at 2.94 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio