HuBei NengTer Technology Co., Ltd. (002102) 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 NengTer Technology Co., Ltd.

Why is HuBei NengTer Technology Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 2.29%

The company has been able to generate a Return on Capital Employed (avg) of 2.29% signifying low profitability per unit of total capital (equity and debt)

The company is Net-Debt Free

Poor long term growth as Net Sales has grown by an annual rate of -15.72% and Operating profit at -200.09% over the last 5 years
The company is Net-Debt Free
The company has been able to generate a Return on Equity (avg) of 5.58% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of -15.72% and Operating profit at -200.09% over the last 5 years

Flat results in Mar 26

NET PROFIT(Q) At CNY 23.71 MM has Fallen at -64.07%
OPERATING CASH FLOW(Y) Lowest at CNY -195.64 MM
INTEREST(Q) At CNY 7.85 MM has Grown at 15.23%

With ROE of 2.67%, it has a expensive valuation with a 1.74 Price to Book Value

Over the past year, while the stock has generated a return of -29.35%, its profits have risen by 127.4% ; the PEG ratio of the company is 0.5

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 Specialty Chemicals)

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

Is HuBei NengTer Technology Co., Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

HuBei NengTer Technology Co., Ltd.

-31.33%

-0.19

39.13%

China Shanghai Composite

20.18%

1.55

13.83%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-15.72%

EBIT Growth (5y)

-200.09%

EBIT to Interest (avg)

-1.04

Debt to EBITDA (avg)

11.70

Net Debt to Equity (avg)

0.41

Sales to Capital Employed (avg)

1.57

Tax Ratio

6.77%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

2.29%

ROE (avg)

5.58%

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

1.74

EV to EBIT

-23.28

EV to EBITDA

-37.12

EV to Capital Employed

1.51

EV to Sales

1.14

PEG Ratio

0.51

Dividend Yield

ROCE (Latest)

-6.49%

ROE (Latest)

2.67%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly Bearish

OBV

Mildly Bearish

No Trend

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

11What is working for the Company

NET PROFIT(HY)

At CNY -165.1 MM has Grown at 56.21%

RAW MATERIAL COST(Y)

Fallen by -119.57% (YoY

OPERATING PROFIT MARGIN(Q)

Highest at 2.2 %

PRE-TAX PROFIT(Q)

Highest at CNY 27.31 MM

-23What is not working for the Company

NET PROFIT(Q)

At CNY 23.71 MM has Fallen at -64.07%

OPERATING CASH FLOW(Y)

Lowest at CNY -195.64 MM

INTEREST(Q)

At CNY 7.85 MM has Grown at 15.23%

INVENTORY TURNOVER RATIO(HY)

Lowest at 4.27 times

DEBTORS TURNOVER RATIO(HY)

Lowest at 7.7 times

NET SALES(Q)

At CNY 1,520.79 MM has Fallen at -9.39%

Here's what is working for HuBei NengTer Technology Co., Ltd.

Pre-Tax Profit

At CNY 27.31 MM has Grown at 130.53%

over average net sales of the previous four periods of CNY -89.47 MM

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (CNY MM)

Operating Profit Margin

Highest at 2.2 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at CNY 27.31 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Raw Material Cost

Fallen by -119.57% (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 NengTer Technology Co., Ltd.

Net Sales

At CNY 1,520.79 MM has Fallen at -16.35%

over average net sales of the previous four periods of CNY 1,817.97 MM

MOJO Watch

Near term sales trend is extremely negative

Net Sales (CNY MM)

Net Profit

At CNY 23.71 MM has Fallen at -64.07%

over average net sales of the previous four periods of CNY 66 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Interest

At CNY 7.85 MM has Grown at 15.23%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Operating Cash Flow

Lowest at CNY -195.64 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CNY MM)

Net Sales

At CNY 1,520.79 MM has Fallen at -9.39%

over average net sales of the previous four periods of CNY 1,678.45 MM

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Inventory Turnover Ratio

Lowest at 4.27 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Debtors Turnover Ratio

Lowest at 7.7 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio