Jiangsu Huahong Technology Stock Co., Ltd. (002645) 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 Huahong Technology Stock Co., Ltd.

Why is Jiangsu Huahong Technology Stock Co., Ltd. ?

With a growth in Net Profit of 2680.32%, the company declared Outstanding results in Mar 26

The company has declared positive results for the last 3 consecutive quarters
ROCE(HY) Highest at 10.22%
NET SALES(Q) Highest at CNY 2,512.43 MM
INTEREST COVERAGE RATIO(Q) The company hardly has any interest cost

With ROE of -4.10%, it has a risky valuation with a 2.70 Price to Book Value

Over the past year, while the stock has generated a return of 246.29%, its profits have fallen by -1182.2%

Market Beating performance in long term as well as near term

Along with generating 246.29% returns in the last 1 year, the stock has outperformed China Shanghai Composite in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Jiangsu Huahong Technology Stock 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 Huahong Technology Stock Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Jiangsu Huahong Technology Stock Co., Ltd.

246.29%

4.81

62.52%

China Shanghai Composite

20.36%

1.53

13.29%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

20.62%

EBIT Growth (5y)

-202.99%

EBIT to Interest (avg)

17.81

Debt to EBITDA (avg)

Net Debt to Equity (avg)

0.23

Sales to Capital Employed (avg)

1.28

Tax Ratio

2.49%

Dividend Payout Ratio

28.57%

Pledged Shares

Institutional Holding

ROCE (avg)

5.60%

ROE (avg)

6.04%

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

2.70

EV to EBIT

-61.08

EV to EBITDA

-134.85

EV to Capital Employed

2.44

EV to Sales

1.65

PEG Ratio

Dividend Yield

ROCE (Latest)

-3.99%

ROE (Latest)

-4.10%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bearish

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

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

37What is working for the Company

ROCE(HY)

Highest at 10.22%

NET SALES(Q)

Highest at CNY 2,512.43 MM

INTEREST COVERAGE RATIO(Q)

The company hardly has any interest cost

RAW MATERIAL COST(Y)

Fallen by -119.16% (YoY

INVENTORY TURNOVER RATIO(HY)

Highest at 3.47 times

OPERATING PROFIT(Q)

Highest at CNY 232.85 MM

OPERATING PROFIT MARGIN(Q)

Highest at 9.27 %

PRE-TAX PROFIT(Q)

Highest at CNY 242.65 MM

NET PROFIT(Q)

Highest at CNY 216.44 MM

EPS(Q)

Highest at CNY 0.34

-2What is not working for the Company

NO KEY NEGATIVE TRIGGERS

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

Pre-Tax Profit

At CNY 242.65 MM has Grown at 307.33%

over average net sales of the previous four periods of CNY 59.57 MM

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 216.44 MM has Grown at 323.75%

over average net sales of the previous four periods of CNY 51.08 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (CNY MM)

Net Sales

Highest at CNY 2,512.43 MM and Grown

In each period in the last five periods

MOJO Watch

Near term sales trend is very positive

Net Sales (CNY MM)

Net Sales

At CNY 2,512.43 MM has Grown at 28.38%

over average net sales of the previous four periods of CNY 1,957 MM

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Operating Profit

Highest at CNY 232.85 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (CNY MM)

Operating Profit Margin

Highest at 9.27 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at CNY 242.65 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

Highest at CNY 216.44 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY 0.34

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Inventory Turnover Ratio

Highest at 3.47 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Raw Material Cost

Fallen by -119.16% (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