iReader Technology Co., Ltd. (603533) 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

iReader Technology Co., Ltd.

Why is iReader Technology Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of 9.48% and Operating profit at -194.88% over the last 5 years

INTEREST(9M) At CNY 0.5 MM has Grown at 49.26%
OPERATING CASH FLOW(Y) Lowest at CNY -248.68 MM
PRE-TAX PROFIT(Q) At CNY -53.53 MM has Fallen at -334.35%

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of 33.75%, its profits have risen by 13.9%
At the current price, the company has a high dividend yield of 0.5

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 Software Products)

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

Is iReader Technology Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

iReader Technology Co., Ltd.

27.57%

0.88

53.80%

China Shanghai Composite

15.45%

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)

9.48%

EBIT Growth (5y)

-194.88%

EBIT to Interest (avg)

38.92

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.79

Sales to Capital Employed (avg)

1.11

Tax Ratio

34.28%

Dividend Payout Ratio

89.05%

Pledged Shares

Institutional Holding

ROCE (avg)

22.39%

ROE (avg)

3.78%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

3.57

EV to EBIT

-78.51

EV to EBITDA

-729.21

EV to Capital Employed

10.48

EV to Sales

2.44

PEG Ratio

Dividend Yield

0.52%

ROCE (Latest)

-13.35%

ROE (Latest)

-2.38%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

Bearish

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

No Trend

OBV

Mildly Bullish

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

11What is working for the Company

INVENTORY TURNOVER RATIO(HY)

Highest at 13,557.9 times

DEBTORS TURNOVER RATIO(HY)

Highest at 9.27 times

NET SALES(Q)

Highest at CNY 935.81 MM

-25What is not working for the Company

INTEREST(9M)

At CNY 0.5 MM has Grown at 49.26%

OPERATING CASH FLOW(Y)

Lowest at CNY -248.68 MM

PRE-TAX PROFIT(Q)

At CNY -53.53 MM has Fallen at -334.35%

NET PROFIT(Q)

At CNY -57.26 MM has Fallen at -231.65%

ROCE(HY)

Lowest at -5.43%

RAW MATERIAL COST(Y)

Grown by 10.25% (YoY

DEBT-EQUITY RATIO (HY)

Highest at -70.83 %

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

Net Sales

At CNY 935.81 MM has Grown at 34.77%

over average net sales of the previous four periods of CNY 694.38 MM

MOJO Watch

Near term sales trend is very positive

Net Sales (CNY MM)

Inventory Turnover Ratio

Highest at 13,557.9 times and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Net Sales

Highest at CNY 935.81 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Debtors Turnover Ratio

Highest at 9.27 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

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

Interest

At CNY 0.5 MM has Grown at 49.26%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Pre-Tax Profit

At CNY -53.53 MM has Fallen at -334.35%

over average net sales of the previous four periods of CNY -12.33 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Net Profit

At CNY -57.26 MM has Fallen at -231.65%

over average net sales of the previous four periods of CNY -17.26 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Operating Cash Flow

Lowest at CNY -248.68 MM and Fallen

In each year 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 -70.83 %

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 10.25% (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