ScoreWhy is Jiangsu Guomao Reducer Co., Ltd. ?
1
Poor long term growth as Net Sales has grown by an annual rate of 6.07% and Operating profit at -9.84% over the last 5 years
2
The company has declared Negative results for the last 6 consecutive quarters
- INTEREST(HY) At CNY 2.45 MM has Grown at 47.26%
- OPERATING CASH FLOW(Y) Lowest at CNY 502.49 MM
- ROCE(HY) Lowest at 7.39%
3
With ROE of 6.00%, it has a fair valuation with a 3.06 Price to Book Value
- Over the past year, while the stock has generated a return of 31.99%, its profits have fallen by -40%
- At the current price, the company has a high dividend yield of 1.4
4
Market Beating Performance
- The stock has generated a return of 31.99% in the last 1 year, much higher than market (China Shanghai Composite) returns of 14.77%
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Jiangsu Guomao Reducer Co., Ltd. should be less than 10%
- Overall Portfolio exposure to Industrial Manufacturing should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Industrial Manufacturing)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Jiangsu Guomao Reducer Co., Ltd. for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Jiangsu Guomao Reducer Co., Ltd.
-100.0%
0.48
52.67%
China Shanghai Composite
15.19%
1.01
14.58%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
6.07%
EBIT Growth (5y)
-9.84%
EBIT to Interest (avg)
100.00
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.35
Sales to Capital Employed (avg)
0.62
Tax Ratio
12.93%
Dividend Payout Ratio
53.69%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
15.82%
ROE (avg)
11.94%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
51
Industry P/E
Price to Book Value
3.06
EV to EBIT
53.18
EV to EBITDA
28.16
EV to Capital Employed
4.30
EV to Sales
3.83
PEG Ratio
NA
Dividend Yield
1.41%
ROCE (Latest)
8.08%
ROE (Latest)
6.00%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
Mildly Bullish
No Trend
OBV
Mildly Bearish
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend3What is working for the Company
CASH AND EQV(HY)
Highest at CNY 4,189.87 MM
DEBT-EQUITY RATIO
(HY)
Lowest at -35.35 %
INVENTORY TURNOVER RATIO(HY)
Highest at 3.68%
-31What is not working for the Company
INTEREST(HY)
At CNY 2.45 MM has Grown at 47.26%
OPERATING CASH FLOW(Y)
Lowest at CNY 502.49 MM
ROCE(HY)
Lowest at 7.39%
OPERATING PROFIT MARGIN(Q)
Lowest at 5.65 %
RAW MATERIAL COST(Y)
Grown by 9.71% (YoY
OPERATING PROFIT(Q)
Lowest at CNY 33.66 MM
PRE-TAX PROFIT(Q)
Lowest at CNY 43.63 MM
NET PROFIT(Q)
Lowest at CNY 43.03 MM
EPS(Q)
Lowest at CNY 0.07
Here's what is working for Jiangsu Guomao Reducer Co., Ltd.
Cash and Eqv
Highest at CNY 4,189.87 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Debt-Equity Ratio
Lowest at -35.35 %
in the last five Semi-Annual periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Inventory Turnover Ratio
Highest at 3.68%
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Here's what is not working for Jiangsu Guomao Reducer Co., Ltd.
Interest
At CNY 2.45 MM has Grown at 47.26%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (CNY MM)
Operating Cash Flow
Lowest at CNY 502.49 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)
Operating Profit Margin
Lowest at 5.65 % and Fallen
In each period in the last five periodsMOJO Watch
Company's profit margin has deteriorated
Operating Profit to Sales
Pre-Tax Profit
At CNY 43.63 MM has Fallen at -38.65%
Year on Year (YoY)MOJO Watch
Near term Pre-Tax Profit trend is very negative
Pre-Tax Profit (CNY MM)
Operating Profit
Lowest at CNY 33.66 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is negative
Operating Profit (CNY MM)
Pre-Tax Profit
Lowest at CNY 43.63 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is negative
Pre-Tax Profit (CNY MM)
Net Profit
Lowest at CNY 43.03 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is negative
Net Profit (CNY MM)
Net Profit
Fallen at -33.43%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is negative
Net Profit (CNY MM)
EPS
Lowest at CNY 0.07
in the last five periodsMOJO Watch
Declining profitability; company has created lower earnings for shareholders
EPS (CNY)
Raw Material Cost
Grown by 9.71% (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
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