Why is Jiangsu HHCK Advanced Materials Co., Ltd. ?
1
Poor Management Efficiency with a low ROCE of 1.07%
- The company has been able to generate a Return on Capital Employed (avg) of 1.07% signifying low profitability per unit of total capital (equity and debt)
2
The company has declared negative results for the last 2 consecutive quarters
- PRE-TAX PROFIT(Q) Lowest at CNY 4.3 MM
- NET PROFIT(Q) At CNY 7.21 MM has Fallen at -43.56%
- RAW MATERIAL COST(Y) Grown by 14.87% (YoY)
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 Other Electrical Equipment)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Jiangsu HHCK Advanced Materials Co., Ltd. for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Jiangsu HHCK Advanced Materials Co., Ltd.
21.94%
0.85
57.44%
China Shanghai Composite
15.19%
1.01
14.58%
Quality key factors
Factor
Value
Sales Growth (5y)
14.10%
EBIT Growth (5y)
23.10%
EBIT to Interest (avg)
9.87
Debt to EBITDA (avg)
4.91
Net Debt to Equity (avg)
0.17
Sales to Capital Employed (avg)
0.27
Tax Ratio
5.66%
Dividend Payout Ratio
60.46%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
1.07%
ROE (avg)
3.58%
Valuation Key Factors 
Factor
Value
P/E Ratio
200
Industry P/E
Price to Book Value
5.65
EV to EBIT
-5959.38
EV to EBITDA
285.71
EV to Capital Employed
4.82
EV to Sales
16.87
PEG Ratio
7.63
Dividend Yield
NA
ROCE (Latest)
-0.07%
ROE (Latest)
2.82%
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Bullish
Dow Theory
Mildly Bearish
No Trend
OBV
Mildly Bullish
Mildly Bearish
Technical Movement
1What is working for the Company
INVENTORY TURNOVER RATIO(HY)
Highest at 3.35%
-29What is not working for the Company
PRE-TAX PROFIT(Q)
Lowest at CNY 4.3 MM
NET PROFIT(Q)
At CNY 7.21 MM has Fallen at -43.56%
RAW MATERIAL COST(Y)
Grown by 14.87% (YoY
DEBT-EQUITY RATIO
(HY)
Highest at 17.09 %
INTEREST(Q)
Highest at CNY 1.31 MM
OPERATING PROFIT(Q)
Lowest at CNY -0.11 MM
OPERATING PROFIT MARGIN(Q)
Lowest at -0.13 %
Here's what is working for Jiangsu HHCK Advanced Materials Co., Ltd.
Inventory Turnover Ratio
Highest at 3.35%
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 HHCK Advanced Materials Co., Ltd.
Pre-Tax Profit
At CNY 4.3 MM has Fallen at -71.24%
Year on Year (YoY)MOJO Watch
Near term Pre-Tax Profit trend is very negative
Pre-Tax Profit (CNY MM)
Interest
At CNY 1.31 MM has Grown at 51.45%
period on period (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (CNY MM)
Pre-Tax Profit
Lowest at CNY 4.3 MM and Fallen
In each period in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is very negative
Pre-Tax Profit (CNY MM)
Net Profit
At CNY 7.21 MM has Fallen at -43.56%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is very negative
Net Profit (CNY MM)
Interest
Highest at CNY 1.31 MM
in the last five periods and Increased by 51.45% (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (CNY MM)
Operating Profit
Lowest at CNY -0.11 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is negative
Operating Profit (CNY MM)
Operating Profit Margin
Lowest at -0.13 %
in the last five periodsMOJO Watch
Company's profit margin has deteriorated
Operating Profit to Sales
Debt-Equity Ratio
Highest at 17.09 %
in the last five Semi-Annual periodsMOJO 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 14.87% (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






