Hygon Information Technology 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

Hygon Information Technology Co., Ltd.

Why is Hygon Information Technology Co., Ltd. ?

Positive results in Sep 25

OPERATING CASH FLOW(Y) Highest at CNY 2,856.4 MM
ROCE(HY) Highest at 11.35%
NET SALES(Q) Highest at CNY 4,025.74 MM

With ROE of 14.82%, it has a attractive valuation with a 20.10 Price to Book Value

Over the past year, while the stock has generated a return of 59.68%, its profits have risen by 53.7% ; the PEG ratio of the company is 2.6

Consistent Returns over the last 3 years

Along with generating 59.68% returns in the last 1 year, the stock has outperformed China Shanghai Composite in each of the last 3 annual periods

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 Computers - Software & Consulting)

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

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

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Hygon Information Technology Co., Ltd.

161.09%

4.34

58.42%

China Shanghai Composite

19.22%

1.58

14.20%

Quality

Management Risk

Growth

Capital Structure

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)

53.67

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.38

Sales to Capital Employed (avg)

0.42

Tax Ratio

2.50%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

15.47%

ROE (avg)

10.35%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

160

Industry P/E

Price to Book Value

25.69

EV to EBIT

178.32

EV to EBITDA

126.79

EV to Capital Employed

31.01

EV to Sales

37.44

PEG Ratio

6.68

Dividend Yield

ROCE (Latest)

17.39%

ROE (Latest)

16.10%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bearish

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bullish

Bullish

OBV

No Trend

Bullish

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

13What is working for the Company

ROCE(HY)

Highest at 12.31%

NET SALES(Q)

At CNY 4,033.59 MM has Grown at 68.06%

RAW MATERIAL COST(Y)

Fallen by 0.93% (YoY

-15What is not working for the Company

INTEREST(HY)

At CNY 38.6 MM has Grown at 30.11%

OPERATING CASH FLOW(Y)

Lowest at CNY -337.83 MM

INTEREST COVERAGE RATIO(Q)

Lowest at 4,570.49

OPERATING PROFIT MARGIN(Q)

Lowest at 20.58 %

OPERATING PROFIT(Q)

Lowest at CNY 830.18 MM

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

Net Sales

At CNY 4,033.59 MM has Grown at 68.06%

Year on Year (YoY)

MOJO Watch

Near term sales trend is very positive

Net Sales (CNY MM)

Raw Material Cost

Fallen by 0.93% (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 Hygon Information Technology Co., Ltd.

Interest

At CNY 38.6 MM has Grown at 30.11%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Interest Coverage Ratio

Lowest at 4,570.49

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Operating Profit Margin

Lowest at 20.58 % and Fallen

In each period in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Operating Cash Flow

Lowest at CNY -337.83 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CNY MM)

Operating Profit

Lowest at CNY 830.18 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)