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Hygon Information Technology Co., Ltd.

  • Market Cap: Large Cap
  • Industry: Computers - Software & Consulting
  • ISIN: CNE100005PT2
CNY
248.30
-3.36 (-1.34%)

Sep 24

SHG

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  • 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
Hygon Information Technology Co., Ltd.

Why is Hygon Information Technology Co., Ltd. ?

1
Poor Management Efficiency with a low ROCE of 15.47%
  • The company has been able to generate a Return on Capital Employed (avg) of 15.47% signifying low profitability per unit of total capital (equity and debt)
2
The company is Net-Debt Free
  • Poor long term growth as Net Sales has grown by an annual rate of 44.38% and Operating profit at 45.13% over the last 5 years
  • The company is Net-Debt Free
  • The company has been able to generate a Return on Equity (avg) of 10.35% signifying low profitability per unit of shareholders funds
3
Poor long term growth as Net Sales has grown by an annual rate of 44.38% and Operating profit at 45.13% over the last 5 years
4
Positive results in Jun 26
  • ROCE(HY) Highest at 13.52%
  • NET SALES(Q) Highest at CNY 5,065.43 MM
  • NET PROFIT(Q) Highest at CNY 1,111.37 MM
5
With ROE of 16.10%, it has a very expensive valuation with a 34.12 Price to Book Value
  • Over the past year, while the stock has generated a return of -1.99%, its profits have risen by 24.7% ; the PEG ratio of the company is 8.9
stock-recommendationReal-Time Research Report

Verdict Report

How much should you hold?

  1. Overall Portfolio exposure to Hygon Information Technology Co., Ltd. should be less than 10%
  2. Overall Portfolio exposure to Computers - Software & Consulting should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Computers - Software & Consulting)

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

Is Hygon Information Technology Co., Ltd. for you?

High Risk, High Return

Absolute
Risk Adjusted
Volatility
Hygon Information Technology Co., Ltd.
-4.46%
4.59
60.11%
China Shanghai Composite
0.9%
0.22
14.72%
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)
44.38%
EBIT Growth (5y)
45.13%
EBIT to Interest (avg)
47.94
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.38
Sales to Capital Employed (avg)
0.45
Tax Ratio
1.90%
Dividend Payout Ratio
21.88%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
15.69%
ROE (avg)
10.35%
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
212
Industry P/E
Price to Book Value
34.12
EV to EBIT
237.23
EV to EBITDA
168.67
EV to Capital Employed
41.26
EV to Sales
49.81
PEG Ratio
8.87
Dividend Yield
NA
ROCE (Latest)
17.39%
ROE (Latest)
16.10%
stock-recommendationTechnicals

Technical key factors

Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Mildly Bullish
Moving Averages
Bearish (Daily)
KST
Bearish
Bullish
Dow Theory
Mildly Bullish
Mildly Bearish
OBV
Mildly Bearish
Mildly Bearish
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

20What is working for the Company
ROCE(HY)

Highest at 13.52%

NET SALES(Q)

Highest at CNY 5,065.43 MM

NET PROFIT(Q)

Highest at CNY 1,111.37 MM

EPS(Q)

Highest at CNY 0.48

-12What is not working for the Company
INTEREST(HY)

At CNY 33.9 MM has Grown at 49.48%

OPERATING CASH FLOW(Y)

Lowest at CNY -507.73 MM

RAW MATERIAL COST(Y)

Grown by 6.55% (YoY

DEBT-EQUITY RATIO (HY)

Highest at -24.98 %

Here's what is working for Hygon Information Technology Co., Ltd.

Net Sales
At CNY 5,065.43 MM has Grown at 65.32%
Year on Year (YoY)
MOJO Watch
Near term sales trend is very positive

Net Sales (CNY MM)

Net Sales
Highest at CNY 5,065.43 MM
in the last five periods
MOJO Watch
Near term sales trend is positive

Net Sales (CNY MM)

Net Profit
Highest at CNY 1,111.37 MM
in the last five periods
MOJO Watch
Near term Net Profit trend is positive

Net Profit (CNY MM)

Net Profit
At CNY 1,111.37 MM has Grown at 59.78%
Year on Year (YoY)
MOJO Watch
Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS
Highest at CNY 0.48
in the last five periods
MOJO Watch
Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Here's what is not working for Hygon Information Technology Co., Ltd.

Interest
At CNY 33.9 MM has Grown at 49.48%
over previous Semi-Annual period
MOJO Watch
Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Operating Cash Flow
Lowest at CNY -507.73 MM
in the last three years
MOJO Watch
The company's cash revenues from business operations are falling

Operating Cash Flows (CNY MM)

Debt-Equity Ratio
Highest at -24.98 %
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

Raw Material Cost
Grown by 6.55% (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

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