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 9.39% and Operating profit at 4.45% 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 9.39% and Operating profit at 4.45% over the last 5 years
4
With a fall in Net Sales of -4.58%, the company declared Very Negative results in Mar 25
- INTEREST COVERAGE RATIO(Q) Lowest at 342.84
- INTEREST(Q) Highest at CNY 47.31 MM
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.
8.84%
0.12
47.96%
China Shanghai Composite
14.77%
1.01
14.58%
Quality key factors
Factor
Value
Sales Growth (5y)
9.39%
EBIT Growth (5y)
4.45%
EBIT to Interest (avg)
2.76
Debt to EBITDA (avg)
2.44
Net Debt to Equity (avg)
0.08
Sales to Capital Employed (avg)
0.91
Tax Ratio
22.98%
Dividend Payout Ratio
35.12%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
8.32%
ROE (avg)
5.22%
Valuation Key Factors 
Factor
Value
P/E Ratio
12
Industry P/E
Price to Book Value
0.93
EV to EBIT
9.27
EV to EBITDA
5.80
EV to Capital Employed
0.94
EV to Sales
0.90
PEG Ratio
NA
Dividend Yield
3.17%
ROCE (Latest)
10.09%
ROE (Latest)
7.49%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Mildly Bullish
Moving Averages
Bullish (Daily)
KST
Bearish
Bullish
Dow Theory
Mildly Bearish
No Trend
OBV
Mildly Bullish
Mildly Bullish
Technical Movement
2What is working for the Company
RAW MATERIAL COST(Y)
Fallen by -3.93% (YoY
DEBT-EQUITY RATIO
(HY)
Lowest at 9.65 %
-13What is not working for the Company
INTEREST COVERAGE RATIO(Q)
Lowest at 342.84
INTEREST(Q)
Highest at CNY 47.31 MM
Here's what is working for Jinhong Fashion Group Co., Ltd.
Debt-Equity Ratio
Lowest at 9.65 %
in the last five Semi-Annual periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Raw Material Cost
Fallen by -3.93% (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.
Interest
At CNY 47.31 MM has Grown at 113.01%
period on period (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (CNY MM)
Interest Coverage Ratio
Lowest at 342.84
in the last five periodsMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Interest
Highest at CNY 47.31 MM
in the last five periods and Increased by 113.01% (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (CNY MM)






