Huludao Zinc Industry Co., Ltd. (000751) 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

Huludao Zinc Industry Co., Ltd.

Why is Huludao Zinc Industry Co., Ltd. ?

The company is Net-Debt Free

Poor long term growth as Net Sales has grown by an annual rate of 20.17% and Operating profit at -3.47% over the last 5 years
The company is Net-Debt Free
The company has been able to generate a Return on Equity (avg) of 3.92% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 20.17% and Operating profit at -3.47% over the last 5 years

With a growth in Net Profit of 340.66%, the company declared Very Positive results in Mar 26

OPERATING CASH FLOW(Y) Highest at CNY 208.8 MM
ROCE(HY) Highest at 3.12%
RAW MATERIAL COST(Y) Fallen by -73.87% (YoY)

With ROE of 1.79%, it has a very expensive valuation with a 2.71 Price to Book Value

Over the past year, while the stock has generated a return of 84.90%, its profits have risen by 18.8% ; the PEG ratio of the company is 8.1
At the current price, the company has a high dividend yield of 0

Market Beating Performance

The stock has generated a return of 84.90% in the last 1 year, much higher than market (China Shanghai Composite) returns of 21.68%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Huludao Zinc Industry Co., Ltd. should be less than 10%
Overall Portfolio exposure to Trading & Distributors should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Trading & Distributors)

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

Is Huludao Zinc Industry Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Huludao Zinc Industry Co., Ltd.

84.9%

1.89

54.21%

China Shanghai Composite

21.68%

1.63

13.30%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

20.17%

EBIT Growth (5y)

-3.47%

EBIT to Interest (avg)

1.91

Debt to EBITDA (avg)

4.63

Net Debt to Equity (avg)

0.72

Sales to Capital Employed (avg)

2.03

Tax Ratio

2.55%

Dividend Payout Ratio

227.27%

Pledged Shares

Institutional Holding

ROCE (avg)

5.51%

ROE (avg)

3.92%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

152

Industry P/E

Price to Book Value

2.71

EV to EBIT

50.73

EV to EBITDA

34.74

EV to Capital Employed

1.97

EV to Sales

0.70

PEG Ratio

8.09

Dividend Yield

ROCE (Latest)

3.89%

ROE (Latest)

1.79%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bearish

No Trend

OBV

Mildly Bullish

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

29What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 208.8 MM

ROCE(HY)

Highest at 3.12%

RAW MATERIAL COST(Y)

Fallen by -73.87% (YoY

NET SALES(Q)

Highest at CNY 5,153.82 MM

PRE-TAX PROFIT(Q)

Highest at CNY 78.02 MM

NET PROFIT(Q)

Highest at CNY 72.66 MM

EPS(Q)

Highest at CNY 0.05

-8What is not working for the Company

INTEREST(HY)

At CNY 92.85 MM has Grown at 8.86%

DEBT-EQUITY RATIO (HY)

Highest at 91.76 %

Here's what is working for Huludao Zinc Industry Co., Ltd.

Pre-Tax Profit

At CNY 78.02 MM has Grown at 350.92%

over average net sales of the previous four periods of CNY 17.3 MM

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 72.66 MM has Grown at 335.05%

over average net sales of the previous four periods of CNY 16.7 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (CNY MM)

Operating Cash Flow

Highest at CNY 208.8 MM

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 5,153.82 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Pre-Tax Profit

Highest at CNY 78.02 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

Highest at CNY 72.66 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY 0.05

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Raw Material Cost

Fallen by -73.87% (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 Huludao Zinc Industry Co., Ltd.

Interest

At CNY 92.85 MM has Grown at 8.86%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Debt-Equity Ratio

Highest at 91.76 % 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