Jinhe Biotechnology Co., Ltd. (002688) 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

Jinhe Biotechnology Co., Ltd.

Why is Jinhe Biotechnology Co., Ltd. ?

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 9.53% and Operating profit at -0.82% 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 5.60% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 9.53% and Operating profit at -0.82% over the last 5 years

Flat results in Sep 25

INTEREST(HY) At CNY 43.87 MM has Grown at 13.54%
PRE-TAX PROFIT(Q) At CNY 0.87 MM has Fallen at -97.78%
NET PROFIT(Q) At CNY 1.85 MM has Fallen at -94.97%

With ROE of 5.68%, it has a attractive valuation with a 2.20 Price to Book Value

Over the past year, while the stock has generated a return of 25.75%, its profits have risen by 47.4% ; the PEG ratio of the company is 0.8
At the current price, the company has a high dividend yield of 1.5

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 Pharmaceuticals & Biotechnology)

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

Is Jinhe Biotechnology Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Jinhe Biotechnology Co., Ltd.

20.96%

1.12

46.72%

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)

9.53%

EBIT Growth (5y)

-0.82%

EBIT to Interest (avg)

2.82

Debt to EBITDA (avg)

4.17

Net Debt to Equity (avg)

0.75

Sales to Capital Employed (avg)

0.50

Tax Ratio

17.54%

Dividend Payout Ratio

74.79%

Pledged Shares

Institutional Holding

ROCE (avg)

4.63%

ROE (avg)

5.60%

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

2.19

EV to EBIT

33.34

EV to EBITDA

16.06

EV to Capital Employed

1.67

EV to Sales

2.59

PEG Ratio

0.82

Dividend Yield

1.53%

ROCE (Latest)

5.00%

ROE (Latest)

5.68%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bearish

Bollinger Bands

Mildly Bearish

Mildly Bullish

Moving Averages

Bearish (Daily)

KST

Mildly Bullish

Bullish

Dow Theory

Mildly Bearish

OBV

Mildly 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

13What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 482.06 MM

NET SALES(HY)

At CNY 1,411.05 MM has Grown at 24.01%

ROCE(HY)

Highest at 5.47%

RAW MATERIAL COST(Y)

Fallen by -9.34% (YoY

NET PROFIT(9M)

Higher at CNY 139.8 MM

INVENTORY TURNOVER RATIO(HY)

Highest at 2.92 times

DEBTORS TURNOVER RATIO(HY)

Highest at 4.06 times

-16What is not working for the Company

INTEREST(HY)

At CNY 43.87 MM has Grown at 13.54%

PRE-TAX PROFIT(Q)

At CNY 0.87 MM has Fallen at -97.78%

NET PROFIT(Q)

At CNY 1.85 MM has Fallen at -94.97%

INTEREST COVERAGE RATIO(Q)

Lowest at 82.61

OPERATING PROFIT(Q)

Lowest at CNY 17.3 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 2.68 %

Here's what is working for Jinhe Biotechnology Co., Ltd.

Operating Cash Flow

Highest at CNY 482.06 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Net Sales

At CNY 1,411.05 MM has Grown at 24.01%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Inventory Turnover Ratio

Highest at 2.92 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Debtors Turnover Ratio

Highest at 4.06 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by -9.34% (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 Jinhe Biotechnology Co., Ltd.

Pre-Tax Profit

At CNY 0.87 MM has Fallen at -97.78%

over average net sales of the previous four periods of CNY 39.34 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 1.85 MM has Fallen at -94.97%

over average net sales of the previous four periods of CNY 36.78 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Interest

At CNY 43.87 MM has Grown at 13.54%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Interest Coverage Ratio

Lowest at 82.61

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Operating Profit

Lowest at CNY 17.3 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 2.68 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales