Jiangsu Gian Technology Co., Ltd. (300709) 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

Jiangsu Gian Technology Co., Ltd.

Why is Jiangsu Gian Technology Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 4.69%

The company has been able to generate a Return on Capital Employed (avg) of 4.69% 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 11.94% and Operating profit at -26.01% over the last 5 years

The company has declared negative results for the last 2 consecutive quarters

INTEREST(HY) At CNY 3.24 MM has Grown at 136.31%
PRE-TAX PROFIT(Q) At CNY -50.34 MM has Fallen at -158.84%
NET PROFIT(Q) At CNY -49.72 MM has Fallen at -184.18%

With ROE of 1.77%, it has a very expensive valuation with a 3.26 Price to Book Value

Over the past year, while the stock has generated a return of 59.43%, its profits have fallen by -72.6%
At the current price, the company has a high dividend yield of 0

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 Industrial Manufacturing)

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

Is Jiangsu Gian Technology Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Jiangsu Gian Technology Co., Ltd.

59.43%

2.75

54.60%

China Shanghai Composite

16.78%

1.20

13.96%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

11.94%

EBIT Growth (5y)

-26.01%

EBIT to Interest (avg)

6.77

Debt to EBITDA (avg)

0.23

Net Debt to Equity (avg)

-0.20

Sales to Capital Employed (avg)

0.94

Tax Ratio

Tax Ratio is Negative%

Dividend Payout Ratio

18.13%

Pledged Shares

Institutional Holding

ROCE (avg)

4.69%

ROE (avg)

5.14%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

184

Industry P/E

Price to Book Value

3.26

EV to EBIT

256.95

EV to EBITDA

40.04

EV to Capital Employed

3.67

EV to Sales

2.23

PEG Ratio

Dividend Yield

ROCE (Latest)

1.43%

ROE (Latest)

1.77%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Mildly Bearish

Dow Theory

Mildly Bullish

OBV

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

7What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 395.95 MM

CASH AND EQV(HY)

Highest at CNY 2,203.2 MM

DEBTORS TURNOVER RATIO(HY)

Highest at 4.54 times

NET SALES(Q)

At CNY 572 MM has Grown at 21.92%

-29What is not working for the Company

INTEREST(HY)

At CNY 3.24 MM has Grown at 136.31%

PRE-TAX PROFIT(Q)

At CNY -50.34 MM has Fallen at -158.84%

NET PROFIT(Q)

At CNY -49.72 MM has Fallen at -184.18%

ROCE(HY)

Lowest at 0.89%

RAW MATERIAL COST(Y)

Grown by 16.69% (YoY

DEBT-EQUITY RATIO (HY)

Highest at -13.57 %

INVENTORY TURNOVER RATIO(HY)

Lowest at 3.67 times

OPERATING PROFIT(Q)

Lowest at CNY -57.18 MM

OPERATING PROFIT MARGIN(Q)

Lowest at -10 %

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

Operating Cash Flow

Highest at CNY 395.95 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Net Sales

At CNY 572 MM has Grown at 21.92%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Cash and Eqv

Highest at CNY 2,203.2 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debtors Turnover Ratio

Highest at 4.54 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 Jiangsu Gian Technology Co., Ltd.

Interest

At CNY 3.24 MM has Grown at 136.31%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Pre-Tax Profit

At CNY -50.34 MM has Fallen at -158.84%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Net Profit

At CNY -49.72 MM has Fallen at -184.18%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Operating Profit

Lowest at CNY -57.18 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at -10 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Debt-Equity Ratio

Highest at -13.57 %

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

Inventory Turnover Ratio

Lowest at 3.67 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Raw Material Cost

Grown by 16.69% (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