Why is Inner Mongolia ERDOS Resources Co., Ltd. ?
1
Poor long term growth as Net Sales has grown by an annual rate of 3.47% and Operating profit at -6.15% over the last 5 years
2
The company has declared Negative results for the last 11 consecutive quarters
- OPERATING CASH FLOW(Y) Lowest at CNY 6,181.87 MM
- NET SALES(Q) At CNY 5,446.5 MM has Fallen at -21.2%
- ROCE(HY) Lowest at 9.09%
3
With ROE of 9.83%, it has a fair valuation with a 0.94 Price to Book Value
- Over the past year, while the stock has generated a return of 13.35%, its profits have fallen by -29%
- At the current price, the company has a high dividend yield of 6.2
How much should you hold?
- Overall Portfolio exposure to Inner Mongolia ERDOS Resources Co., Ltd. should be less than 10%
- Overall Portfolio exposure to Garments & Apparels should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Garments & Apparels)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Inner Mongolia ERDOS Resources Co., Ltd. for you?
Medium Risk, Low Return
Absolute
Risk Adjusted
Volatility
Inner Mongolia ERDOS Resources Co., Ltd.
13.35%
-0.03
31.65%
China Shanghai Composite
14.77%
1.01
14.58%
Quality key factors
Factor
Value
Sales Growth (5y)
3.47%
EBIT Growth (5y)
-6.15%
EBIT to Interest (avg)
15.81
Debt to EBITDA (avg)
0.65
Net Debt to Equity (avg)
0.18
Sales to Capital Employed (avg)
0.90
Tax Ratio
30.85%
Dividend Payout Ratio
90.92%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
23.39%
ROE (avg)
23.14%
Valuation Key Factors 
Factor
Value
P/E Ratio
10
Industry P/E
Price to Book Value
0.94
EV to EBIT
14.65
EV to EBITDA
5.24
EV to Capital Employed
0.95
EV to Sales
0.94
PEG Ratio
NA
Dividend Yield
6.24%
ROCE (Latest)
6.49%
ROE (Latest)
9.83%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Mildly Bullish
Dow Theory
Mildly Bearish
No Trend
OBV
Mildly Bearish
No Trend
Technical Movement
2What is working for the Company
RAW MATERIAL COST(Y)
Fallen by -71.27% (YoY
DEBTORS TURNOVER RATIO(HY)
Highest at 12.44%
-13What is not working for the Company
OPERATING CASH FLOW(Y)
Lowest at CNY 6,181.87 MM
NET SALES(Q)
At CNY 5,446.5 MM has Fallen at -21.2%
ROCE(HY)
Lowest at 9.09%
INVENTORY TURNOVER RATIO(HY)
Lowest at 5.19%
OPERATING PROFIT(Q)
Lowest at CNY 506.26 MM
Here's what is working for Inner Mongolia ERDOS Resources Co., Ltd.
Debtors Turnover Ratio
Highest at 12.44%
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Raw Material Cost
Fallen by -71.27% (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 Inner Mongolia ERDOS Resources Co., Ltd.
Net Sales
At CNY 5,446.5 MM has Fallen at -21.2%
over average net sales of the previous four periods of CNY 6,911.82 MMMOJO Watch
Near term sales trend is extremely negative
Net Sales (CNY MM)
Operating Cash Flow
Lowest at CNY 6,181.87 MM and Fallen
In each year in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (CNY MM)
Net Sales
Lowest at CNY 5,446.5 MM
in the last five periodsMOJO Watch
Near term sales trend is negative
Net Sales (CNY MM)
Operating Profit
Lowest at CNY 506.26 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is negative
Operating Profit (CNY MM)
Inventory Turnover Ratio
Lowest at 5.19%
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling inventory has slowed
Inventory Turnover Ratio






