Hunan Valin Wire & Cable Co., Ltd. () 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 Valin Wire & Cable Co., Ltd.

Why is Hunan Valin Wire & Cable Co., Ltd. ?

The company is Net-Debt Free

Poor long term growth as Net Sales has grown by an annual rate of 24.21% and Operating profit at -2.47% over the last 5 years
The company is Net-Debt Free
The company has been able to generate a Return on Equity (avg) of 7.47% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 24.21% and Operating profit at -2.47% over the last 5 years

Negative results in Mar 26

ROCE(HY) Lowest at 4.72%
INTEREST(Q) At CNY 2.69 MM has Grown at 28.22%
OPERATING PROFIT(Q) Lowest at CNY 19.43 MM

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 Electronics & Appliances)

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

Is Hunan Valin Wire & Cable Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Hunan Valin Wire & Cable Co., Ltd.

35.23%

1.57

59.90%

China Shanghai Composite

16.78%

1.20

13.96%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

24.21%

EBIT Growth (5y)

-2.47%

EBIT to Interest (avg)

8.23

Debt to EBITDA (avg)

6.19

Net Debt to Equity (avg)

0.98

Sales to Capital Employed (avg)

0.96

Tax Ratio

11.62%

Dividend Payout Ratio

37.66%

Pledged Shares

Institutional Holding

ROCE (avg)

5.86%

ROE (avg)

7.47%

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

1.68

EV to EBIT

78.19

EV to EBITDA

53.92

EV to Capital Employed

1.44

EV to Sales

1.39

PEG Ratio

Dividend Yield

ROCE (Latest)

1.85%

ROE (Latest)

3.76%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bearish

Bullish

Dow Theory

Mildly Bearish

OBV

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

3What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 480.75 MM

NET SALES(Q)

Highest at CNY 1,213.47 MM

-12What is not working for the Company

ROCE(HY)

Lowest at 4.72%

INTEREST(Q)

At CNY 2.69 MM has Grown at 28.22%

OPERATING PROFIT(Q)

Lowest at CNY 19.43 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 1.6 %

RAW MATERIAL COST(Y)

Grown by 16.58% (YoY

INVENTORY TURNOVER RATIO(HY)

Lowest at 5.71 times

Here's what is working for Hunan Valin Wire & Cable Co., Ltd.

Operating Cash Flow

Highest at CNY 480.75 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 1,213.47 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Here's what is not working for Hunan Valin Wire & Cable Co., Ltd.

Interest

At CNY 2.69 MM has Grown at 28.22%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Operating Profit

Lowest at CNY 19.43 MM and Fallen

In each period in the last five periods

MOJO Watch

Near term Operating Profit trend is quite negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 1.6 % and Fallen

In each period in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Inventory Turnover Ratio

Lowest at 5.71 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Raw Material Cost

Grown by 16.58% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales

Non Operating Income

Highest at CNY 0.49 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income