Hunan Investment Group Co., Ltd. (000548) 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

Hunan Investment Group Co., Ltd.

Why is Hunan Investment Group Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 7.01%

The company has been able to generate a Return on Capital Employed (avg) of 7.01% signifying low profitability per unit of total capital (equity and debt)

The company has declared Negative results for the last 6 consecutive quarters

NET PROFIT(HY) At CNY 1.14 MM has Grown at -87.87%
OPERATING CASH FLOW(Y) Lowest at CNY -31.28 MM
ROCE(HY) Lowest at 1.83%

With ROE of 1.82%, it has a very expensive valuation with a 1.12 Price to Book Value

Over the past year, while the stock has generated a return of -14.07%, its profits have fallen by -42.3%
At the current price, the company has a high dividend yield of 1.1

Below par performance in long term as well as near term

Along with generating -14.07% returns in the last 1 year, the stock has also underperformed China Shanghai Composite in the last 3 years, 1 year and 3 months

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 Construction)

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

Is Hunan Investment Group Co., Ltd. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Hunan Investment Group Co., Ltd.

-100.0%

0.22

27.16%

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)

1.61%

EBIT Growth (5y)

-1.02%

EBIT to Interest (avg)

14.57

Debt to EBITDA (avg)

0.49

Net Debt to Equity (avg)

-0.28

Sales to Capital Employed (avg)

0.40

Tax Ratio

36.19%

Dividend Payout Ratio

35.59%

Pledged Shares

Institutional Holding

ROCE (avg)

7.01%

ROE (avg)

4.52%

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

1.12

EV to EBIT

23.27

EV to EBITDA

13.63

EV to Capital Employed

1.15

EV to Sales

3.75

PEG Ratio

Dividend Yield

1.08%

ROCE (Latest)

4.94%

ROE (Latest)

1.82%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly Bearish

OBV

No Trend

Mildly Bearish

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

1What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -17.46% (YoY

-18What is not working for the Company

NET PROFIT(HY)

At CNY 1.14 MM has Grown at -87.87%

OPERATING CASH FLOW(Y)

Lowest at CNY -31.28 MM

ROCE(HY)

Lowest at 1.83%

DEBT-EQUITY RATIO (HY)

Highest at -19.97 %

NET SALES(Q)

Lowest at CNY 81.66 MM

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

Raw Material Cost

Fallen by -17.46% (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 Hunan Investment Group Co., Ltd.

Net Profit

At CNY 1.14 MM has Grown at -87.87%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Net Sales

At CNY 81.66 MM has Fallen at -24.62%

Year on Year (YoY)

MOJO Watch

Near term sales trend is extremely negative

Net Sales (CNY MM)

Operating Cash Flow

Lowest at CNY -31.28 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CNY MM)

Net Sales

Lowest at CNY 81.66 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Debt-Equity Ratio

Highest at -19.97 %

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