Why is Inner Mongolia Mengdian Huaneng Thermal Power Corp. Ltd. ?
1
High Debt Company with a Debt to Equity ratio (avg) at times
- Poor long term growth as Net Sales has grown by an annual rate of 6.60% and Operating profit at 9.36% over the last 5 years
- High Debt Company with a Debt to Equity ratio (avg) at times
- The company has been able to generate a Return on Equity (avg) of 10.10% signifying low profitability per unit of shareholders funds
2
Poor long term growth as Net Sales has grown by an annual rate of 6.60% and Operating profit at 9.36% over the last 5 years
3
Negative results in Sep 25
- OPERATING CASH FLOW(Y) Lowest at CNY 5,363.04 MM
- NET SALES(9M) At CNY 15,051.97 MM has Grown at -9.23%
- ROCE(HY) Lowest at 12.14%
4
With ROE of 14.21%, it has a very expensive valuation with a 1.60 Price to Book Value
- Over the past year, while the stock has generated a return of 38.92%, its profits have risen by 5.1% ; the PEG ratio of the company is 2.2
- At the current price, the company has a high dividend yield of 5.4
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 Power)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Inner Mongolia Mengdian Huaneng Thermal Power Corp. Ltd. for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
Inner Mongolia Mengdian Huaneng Thermal Power Corp. Ltd.
33.58%
0.41
20.09%
China Shanghai Composite
15.45%
1.58
14.20%
Quality key factors
Factor
Value
Sales Growth (5y)
6.60%
EBIT Growth (5y)
9.36%
EBIT to Interest (avg)
5.83
Debt to EBITDA (avg)
3.18
Net Debt to Equity (avg)
0.72
Sales to Capital Employed (avg)
0.72
Tax Ratio
19.77%
Dividend Payout Ratio
61.76%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
7.93%
ROE (avg)
10.10%
Valuation Key Factors 
Factor
Value
P/E Ratio
11
Industry P/E
Price to Book Value
1.60
EV to EBIT
12.87
EV to EBITDA
6.62
EV to Capital Employed
1.35
EV to Sales
1.87
PEG Ratio
2.21
Dividend Yield
5.39%
ROCE (Latest)
10.52%
ROE (Latest)
14.21%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Bullish
Dow Theory
Mildly Bearish
Mildly Bullish
OBV
Mildly Bearish
Bullish
Technical Movement
2What is working for the Company
RAW MATERIAL COST(Y)
Fallen by -9.68% (YoY
DEBT-EQUITY RATIO
(HY)
Lowest at 63.47 %
-7What is not working for the Company
OPERATING CASH FLOW(Y)
Lowest at CNY 5,363.04 MM
NET SALES(9M)
At CNY 15,051.97 MM has Grown at -9.23%
ROCE(HY)
Lowest at 12.14%
DEBTORS TURNOVER RATIO(HY)
Lowest at 4.3 times
Here's what is working for Inner Mongolia Mengdian Huaneng Thermal Power Corp. Ltd.
Debt-Equity Ratio
Lowest at 63.47 %
in the last five Semi-Annual periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Raw Material Cost
Fallen by -9.68% (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 Mengdian Huaneng Thermal Power Corp. Ltd.
Net Sales
At CNY 15,051.97 MM has Grown at -9.23%
Year on Year (YoY)MOJO Watch
Near term sales trend is negative
Net Sales (CNY MM)
Operating Cash Flow
Lowest at CNY 5,363.04 MM
in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (CNY MM)
Debtors Turnover Ratio
Lowest at 4.3 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio






