down arrow

Hunan Development Group Co. Ltd.

  • Market Cap: Mid Cap
  • Industry: Power
  • ISIN: CNE0000009J4
  • SHE: 000722
CNY
13.46
-0.74 (-5.21%)

Sep 23

SHE

 View all stocks in this country
  • Price Points
  • Score
  • Mojo Parameters
  • Total Return
  • News and Corporate Actions
  • Key factors
  • Shareholding
  • Financials
  • CompanyCV
stock-recommendationScore
Click here to find our call on this stock
Strong Sell
Sell
Hold
Buy
Strong Buy

Comparison

Company
Score
Quality
Valuation
Financial
Technical
Hunan Development Group Co. Ltd.

Why is Hunan Development Group Co. Ltd. ?

1
Poor Management Efficiency with a low ROCE of 2.22%
  • The company has been able to generate a Return on Capital Employed (avg) of 2.22% signifying low profitability per unit of total capital (equity and debt)
2
Poor long term growth as Net Sales has grown by an annual rate of 0.17% and Operating profit at 8.10% over the last 5 years
3
Negative results in Mar 26
  • NET SALES(Q) At CNY 56.36 MM has Fallen at -35.44%
  • INTEREST(Q) At CNY 1.29 MM has Grown at 23.91%
  • INVENTORY TURNOVER RATIO(HY) Lowest at 13.49 times
4
Below par performance in long term as well as near term
  • Along with generating -11.96% returns in the last 1 year, the stock has also underperformed China Shanghai Composite in the last 3 years, 1 year and 3 months
stock-recommendationReal-Time Research Report

Verdict Report

How much should you hold?

  1. Overall Portfolio exposure to Hunan Development Group Co. Ltd. should be less than 10%
  2. Overall Portfolio exposure to Power should be less than 30%

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

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

Is Hunan Development Group Co. Ltd. for you?

High Risk, Medium Return

Absolute
Risk Adjusted
Volatility
Hunan Development Group Co. Ltd.
10.33%
0.39
48.30%
China Shanghai Composite
3.0%
1.20
14.07%
stock-recommendationQuality
stock-summaryManagement Risk
stock-summaryGrowth
stock-summaryCapital Structure
stock-recommendation
Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor
Value
Sales Growth (5y)
0.17%
EBIT Growth (5y)
8.10%
EBIT to Interest (avg)
22.96
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.16
Sales to Capital Employed (avg)
0.10
Tax Ratio
19.09%
Dividend Payout Ratio
32.18%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
2.34%
ROE (avg)
2.31%
stock-recommendationValuation

Valuation Scorecard stock-summary

stock-recommendation
Valuation grade scale :

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

Valuation Key Factors stock-summary

Factor
Value
P/E Ratio
86
Industry P/E
Price to Book Value
2.08
EV to EBIT
80.74
EV to EBITDA
42.33
EV to Capital Employed
2.38
EV to Sales
16.83
PEG Ratio
1.00
Dividend Yield
0.35%
ROCE (Latest)
2.94%
ROE (Latest)
2.42%
stock-recommendationTechnicals

Technical key factors

Indicator
Weekly
Monthly
MACD
Bullish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Sideways
Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bullish
Mildly Bearish
Dow Theory
Mildly Bullish
Mildly Bearish
OBV
No Trend
Bullish
stock-recommendation Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish  Turned 
Technical Movement
Analyse All Technical Factors stock-recommendation
stock-recommendationFinancial Trend

Financial Trend Scorecard stock-summary

stock-recommendation
Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

53What is working for the Company
ROCE(HY)

Highest at 6.26%

RAW MATERIAL COST(Y)

Fallen by -14.15% (YoY

CASH AND EQV(HY)

Highest at CNY 2,099.12 MM

INVENTORY TURNOVER RATIO(HY)

Highest at 52.82 times

DEBTORS TURNOVER RATIO(HY)

Highest at 1.51 times

NET SALES(Q)

Highest at CNY 477.46 MM

OPERATING PROFIT(Q)

Highest at CNY 323.43 MM

OPERATING PROFIT MARGIN(Q)

Highest at 67.74 %

PRE-TAX PROFIT(Q)

Highest at CNY 249.03 MM

NET PROFIT(Q)

Highest at CNY 171.96 MM

EPS(Q)

Highest at CNY 0.3

-12What is not working for the Company
DEBT-EQUITY RATIO (HY)

Highest at 14.01 %

INTEREST(Q)

Highest at CNY 21.48 MM

Here's what is working for Hunan Development Group Co. Ltd.

Net Sales
At CNY 477.46 MM has Grown at 225.39%
over average net sales of the previous four periods of CNY 146.73 MM
MOJO Watch
Near term sales trend is extremely positive

Net Sales (CNY MM)

Pre-Tax Profit
At CNY 249.03 MM has Grown at 418.37%
over average net sales of the previous four periods of CNY 48.04 MM
MOJO Watch
Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (CNY MM)

Net Profit
At CNY 171.96 MM has Grown at 376.63%
over average net sales of the previous four periods of CNY 36.08 MM
MOJO Watch
Near term Net Profit trend is very positive

Net Profit (CNY MM)

Net Sales
Highest at CNY 477.46 MM
in the last five periods
MOJO Watch
Near term sales trend is positive

Net Sales (CNY MM)

Operating Profit
Highest at CNY 323.43 MM
in the last five periods
MOJO Watch
Near term Operating Profit trend is positive

Operating Profit (CNY MM)

Operating Profit Margin
Highest at 67.74 %
in the last five periods
MOJO Watch
Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit
Highest at CNY 249.03 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 171.96 MM
in the last five periods
MOJO Watch
Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS
Highest at CNY 0.3
in the last five periods
MOJO Watch
Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Cash and Eqv
Highest at CNY 2,099.12 MM
in the last six Semi-Annual periods
MOJO Watch
Short Term liquidity is improving

Cash and Cash Equivalents

Inventory Turnover Ratio
Highest at 52.82 times
in the last five Semi-Annual periods
MOJO Watch
Company has been able to sell its inventory faster

Inventory Turnover Ratio

Debtors Turnover Ratio
Highest at 1.51 times
in the last five Semi-Annual periods
MOJO Watch
Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost
Fallen by -14.15% (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

Depreciation
Highest at CNY 58.31 MM
in the last five periods
MOJO Watch
The expenditure on assets done by the company may have gone into operation

Depreciation (CNY MM)

Depreciation
At CNY 58.31 MM has Grown at inf%
period on period (QoQ)
MOJO Watch
The expenditure on assets done by the company has gone into productive use which should positively reflect in the future sales

Depreciation (CNY MM)

Here's what is not working for Hunan Development Group Co. Ltd.

Interest
At CNY 21.48 MM has Grown at 1,561.94%
period on period (QoQ)
MOJO Watch
Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Interest
Highest at CNY 21.48 MM
in the last five periods and Increased by 1,561.94% (QoQ)
MOJO Watch
Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Debt-Equity Ratio
Highest at 14.01 %
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

Footer loading