HyUnion Holding Co., Ltd. (002537) 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

HyUnion Holding Co., Ltd.

Why is HyUnion Holding Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 3.78%

The company has been able to generate a Return on Capital Employed (avg) of 3.78% signifying low profitability per unit of total capital (equity and debt)

Poor long term growth as Net Sales has grown by an annual rate of -0.93% and Operating profit at 2.53% over the last 5 years

Flat results in Mar 26

INTEREST(Q) At CNY 9.27 MM has Grown at 23.27%
INTEREST COVERAGE RATIO(Q) Lowest at 373.71
INVENTORY TURNOVER RATIO(HY) Lowest at 5.33 times

With ROE of 6.79%, it has a attractive valuation with a 1.58 Price to Book Value

Over the past year, while the stock has generated a return of -37.49%, its profits have risen by 964.3% ; the PEG ratio of the company is 0

Below par performance in long term as well as near term

Along with generating -37.49% 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 hold?

Overall Portfolio exposure to HyUnion Holding Co., Ltd. should be less than 10%
Overall Portfolio exposure to Auto Components & Equipments should be less than 30%

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

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

Is HyUnion Holding Co., Ltd. for you?

High Risk, Medium Return

Absolute

Risk Adjusted

Volatility

HyUnion Holding Co., Ltd.

-45.49%

0.44

41.58%

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)

-0.93%

EBIT Growth (5y)

2.53%

EBIT to Interest (avg)

8.14

Debt to EBITDA (avg)

0.68

Net Debt to Equity (avg)

0.21

Sales to Capital Employed (avg)

1.18

Tax Ratio

Tax Ratio is Negative%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

3.78%

ROE (avg)

3.76%

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

1.58

EV to EBIT

28.55

EV to EBITDA

12.71

EV to Capital Employed

1.51

EV to Sales

1.15

PEG Ratio

0.02

Dividend Yield

ROCE (Latest)

5.29%

ROE (Latest)

6.79%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

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

12What is working for the Company

NET PROFIT(HY)

At CNY 155 MM has Grown at 212.4%

ROCE(HY)

Highest at 7.14%

RAW MATERIAL COST(Y)

Fallen by -37.36% (YoY

-12What is not working for the Company

INTEREST(Q)

At CNY 9.27 MM has Grown at 23.27%

INTEREST COVERAGE RATIO(Q)

Lowest at 373.71

INVENTORY TURNOVER RATIO(HY)

Lowest at 5.33 times

DEBTORS TURNOVER RATIO(HY)

Lowest at 3.3 times

NET SALES(Q)

Lowest at CNY 1,330.2 MM

OPERATING PROFIT(Q)

Lowest at CNY 34.65 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 2.6 %

Here's what is working for HyUnion Holding Co., Ltd.

Net Profit

At CNY 155 MM has Grown at 212.4%

Year on Year (YoY)

MOJO Watch

Net Profit trend is very positive

Net Profit (CNY MM)

Raw Material Cost

Fallen by -37.36% (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 HyUnion Holding Co., Ltd.

Net Sales

At CNY 1,330.2 MM has Fallen at -22.63%

over average net sales of the previous four periods of CNY 1,719.38 MM

MOJO Watch

Near term sales trend is extremely negative

Net Sales (CNY MM)

Interest

At CNY 9.27 MM has Grown at 23.27%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Interest Coverage Ratio

Lowest at 373.71

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Net Sales

Lowest at CNY 1,330.2 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Operating Profit

Lowest at CNY 34.65 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 2.6 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Inventory Turnover Ratio

Lowest at 5.33 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Debtors Turnover Ratio

Lowest at 3.3 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Non Operating Income

Highest at CNY 0.82 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income