Jiangsu Shagang Co., Ltd. (002075) 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 Shagang Co., Ltd.

Why is Jiangsu Shagang Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of -0.05% and Operating profit at -30.57% over the last 5 years

With a growth in Net Sales of 3.57%, the company declared Very Positive results in Sep 25

OPERATING CASH FLOW(Y) Highest at CNY 2,023.52 MM
ROCE(HY) Highest at 4.44%
PRE-TAX PROFIT(Q) Highest at CNY 192.89 MM

With ROE of 5.35%, it has a fair valuation with a 1.87 Price to Book Value

Over the past year, while the stock has generated a return of -17.94%, its profits have risen by 29.9% ; the PEG ratio of the company is 1.2
At the current price, the company has a high dividend yield of 0.9

Below par performance in long term as well as near term

Along with generating -17.94% returns in the last 1 year, the stock has also underperformed China Shanghai Composite in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Jiangsu Shagang Co., Ltd. should be less than 10%
Overall Portfolio exposure to Ferrous Metals should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Ferrous Metals)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Jiangsu Shagang Co., Ltd. for you?

Medium Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Jiangsu Shagang Co., Ltd.

-20.4%

0.52

34.03%

China Shanghai Composite

15.17%

1.02

14.86%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-0.05%

EBIT Growth (5y)

-30.57%

EBIT to Interest (avg)

22.09

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.40

Sales to Capital Employed (avg)

0.92

Tax Ratio

17.91%

Dividend Payout Ratio

67.48%

Pledged Shares

Institutional Holding

ROCE (avg)

27.64%

ROE (avg)

14.94%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

1.87

EV to EBIT

-165.36

EV to EBITDA

12.65

EV to Capital Employed

2.54

EV to Sales

0.69

PEG Ratio

1.17

Dividend Yield

0.91%

ROCE (Latest)

-1.53%

ROE (Latest)

5.35%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly Bearish

OBV

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

17What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 2,023.52 MM

ROCE(HY)

Highest at 4.44%

PRE-TAX PROFIT(Q)

Highest at CNY 192.89 MM

RAW MATERIAL COST(Y)

Fallen by -2,060.42% (YoY

CASH AND EQV(HY)

Highest at CNY 29,963.54 MM

DEBT-EQUITY RATIO (HY)

Lowest at -41.93 %

NET PROFIT(Q)

Highest at CNY 93.78 MM

-6What is not working for the Company

INTEREST(9M)

At CNY 133.37 MM has Grown at 14.19%

INVENTORY TURNOVER RATIO(HY)

Lowest at 6.35 times

DEBTORS TURNOVER RATIO(HY)

Lowest at 20.95 times

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

Pre-Tax Profit

Highest at CNY 192.89 MM and Grown

In each period in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (CNY MM)

Operating Cash Flow

Highest at CNY 2,023.52 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Pre-Tax Profit

At CNY 192.89 MM has Grown at 86.48%

over average net sales of the previous four periods of CNY 103.44 MM

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

Highest at CNY 93.78 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

Net Profit

At CNY 93.78 MM has Grown at 70.39%

over average net sales of the previous four periods of CNY 55.04 MM

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

Cash and Eqv

Highest at CNY 29,963.54 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio

Lowest at -41.93 %

in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Raw Material Cost

Fallen by -2,060.42% (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

Here's what is not working for Jiangsu Shagang Co., Ltd.

Interest

At CNY 133.37 MM has Grown at 14.19%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Inventory Turnover Ratio

Lowest at 6.35 times and Fallen

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

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Debtors Turnover Ratio

Lowest at 20.95 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio