Jiangsu Tongguang Electronic Wire & Cable Corp. Ltd. (300265) 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 Tongguang Electronic Wire & Cable Corp. Ltd.

Why is Jiangsu Tongguang Electronic Wire & Cable Corp. Ltd. ?

Poor Management Efficiency with a low ROCE of 4.35%

The company has been able to generate a Return on Capital Employed (avg) of 4.35% signifying low profitability per unit of total capital (equity and debt)

High Debt Company with a Debt to Equity ratio (avg) at times

Poor long term growth as Net Sales has grown by an annual rate of 11.66% and Operating profit at -38.55% over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times
The company has been able to generate a Return on Equity (avg) of 4.56% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 11.66% and Operating profit at -38.55% over the last 5 years

The company has declared Negative results for the last 6 consecutive quarters

NET PROFIT(HY) At CNY 22 MM has Grown at -46.4%
PRE-TAX PROFIT(Q) At CNY 0.59 MM has Fallen at -97.38%
ROCE(HY) Lowest at 1.19%

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 Electronics & Appliances)

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

Is Jiangsu Tongguang Electronic Wire & Cable Corp. Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Jiangsu Tongguang Electronic Wire & Cable Corp. Ltd.

52.24%

2.22

74.31%

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)

11.66%

EBIT Growth (5y)

-38.55%

EBIT to Interest (avg)

3.04

Debt to EBITDA (avg)

2.29

Net Debt to Equity (avg)

0.09

Sales to Capital Employed (avg)

0.86

Tax Ratio

5.68%

Dividend Payout Ratio

39.10%

Pledged Shares

Institutional Holding

ROCE (avg)

4.35%

ROE (avg)

4.56%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

138

Industry P/E

Price to Book Value

1.82

EV to EBIT

137.54

EV to EBITDA

36.10

EV to Capital Employed

1.72

EV to Sales

1.67

PEG Ratio

Dividend Yield

0.34%

ROCE (Latest)

1.25%

ROE (Latest)

1.32%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

Mildly Bearish

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

3What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 291.98 MM

EPS(Q)

Highest at CNY 0.03

-17What is not working for the Company

NET PROFIT(HY)

At CNY 22 MM has Grown at -46.4%

PRE-TAX PROFIT(Q)

At CNY 0.59 MM has Fallen at -97.38%

ROCE(HY)

Lowest at 1.19%

RAW MATERIAL COST(Y)

Grown by 5.64% (YoY

NET SALES(Q)

Fallen at -10.43%

OPERATING PROFIT(Q)

Lowest at CNY -0.12 MM

OPERATING PROFIT MARGIN(Q)

Lowest at -0.02 %

Here's what is working for Jiangsu Tongguang Electronic Wire & Cable Corp. Ltd.

Operating Cash Flow

Highest at CNY 291.98 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

EPS

Highest at CNY 0.03

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Here's what is not working for Jiangsu Tongguang Electronic Wire & Cable Corp. Ltd.

Net Profit

At CNY 22 MM has Grown at -46.4%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Pre-Tax Profit

At CNY 0.59 MM has Fallen at -97.38%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Net Sales

Fallen at -10.43%

Year on Year (YoY)

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Operating Profit

Lowest at CNY -0.12 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at -0.02 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Raw Material Cost

Grown by 5.64% (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