Why is Jinhong Fashion Group Co., Ltd. ?
1
Poor Management Efficiency with a low ROCE of 8.32%
- The company has been able to generate a Return on Capital Employed (avg) of 8.32% signifying low profitability per unit of total capital (equity and debt)
2
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 8.93% and Operating profit at 21.93% 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 5.22% signifying low profitability per unit of shareholders funds
3
Poor long term growth as Net Sales has grown by an annual rate of 8.93% and Operating profit at 21.93% over the last 5 years
4
With a fall in Net Sales of -0.55%, the company declared Very Negative results in Sep 25
- INTEREST(9M) At CNY 69.47 MM has Grown at 39.42%
- OPERATING CASH FLOW(Y) Lowest at CNY 538.45 MM
- INTEREST COVERAGE RATIO(Q) Lowest at 78.92
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 Footwear)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Jinhong Fashion Group Co., Ltd. for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Jinhong Fashion Group Co., Ltd.
-26.85%
0.04
43.08%
China Shanghai Composite
8.25%
1.58
14.20%
Quality key factors
Factor
Value
Sales Growth (5y)
1.83%
EBIT Growth (5y)
10.73%
EBIT to Interest (avg)
4.24
Debt to EBITDA (avg)
1.25
Net Debt to Equity (avg)
0.08
Sales to Capital Employed (avg)
0.94
Tax Ratio
24.82%
Dividend Payout Ratio
30.30%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
8.93%
ROE (avg)
5.22%
Valuation Key Factors 
Factor
Value
P/E Ratio
10
Industry P/E
Price to Book Value
0.65
EV to EBIT
8.58
EV to EBITDA
4.58
EV to Capital Employed
0.69
EV to Sales
0.71
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
8.01%
ROE (Latest)
6.46%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Mildly Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Bearish
Dow Theory
Mildly Bullish
No Trend
OBV
Mildly Bullish
No Trend
Technical Movement
1What is working for the Company
RAW MATERIAL COST(Y)
Fallen by -4.66% (YoY
-7What is not working for the Company
OPERATING CASH FLOW(Y)
Lowest at CNY 422.57 MM
ROCE(HY)
Lowest at 6.57%
CASH AND EQV(HY)
Lowest at CNY 764.24 MM
INVENTORY TURNOVER RATIO(HY)
Lowest at 1.06 times
Here's what is working for Jinhong Fashion Group Co., Ltd.
Raw Material Cost
Fallen by -4.66% (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 Jinhong Fashion Group Co., Ltd.
Operating Cash Flow
Lowest at CNY 422.57 MM and Fallen
In each year in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (CNY MM)
Cash and Eqv
Lowest at CNY 764.24 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is deteriorating
Cash and Cash Equivalents
Inventory Turnover Ratio
Lowest at 1.06 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling inventory has slowed
Inventory Turnover Ratio






