Jinhua Chunguang Technology Co., Ltd. (603657) 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

Jinhua Chunguang Technology Co., Ltd.

Why is Jinhua Chunguang Technology Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of 28.27% and Operating profit at -159.24% over the last 5 years

INTEREST(HY) At CNY 6.63 MM has Grown at 38.3%
DEBT-EQUITY RATIO (HY) Highest at 43.26 %
RAW MATERIAL COST(Y) Grown by 20.04% (YoY)

With ROE of 1.55%, it has a expensive valuation with a 5.19 Price to Book Value

Over the past year, while the stock has generated a return of 81.14%, its profits have risen by 306.7% ; the PEG ratio of the company is 1.1
At the current price, the company has a high dividend yield of 0.1

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 Miscellaneous)

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

Is Jinhua Chunguang Technology Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Jinhua Chunguang Technology Co., Ltd.

46.09%

2.20

60.31%

China Shanghai Composite

15.17%

1.58

14.20%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

28.27%

EBIT Growth (5y)

-159.24%

EBIT to Interest (avg)

37.98

Debt to EBITDA (avg)

1.06

Net Debt to Equity (avg)

0.32

Sales to Capital Employed (avg)

1.29

Tax Ratio

25.47%

Dividend Payout Ratio

33.40%

Pledged Shares

Institutional Holding

ROCE (avg)

8.60%

ROE (avg)

7.62%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

335

Industry P/E

Price to Book Value

5.19

EV to EBIT

3285.61

EV to EBITDA

69.43

EV to Capital Employed

3.90

EV to Sales

2.17

PEG Ratio

1.09

Dividend Yield

0.10%

ROCE (Latest)

0.12%

ROE (Latest)

1.55%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Bearish (Daily)

KST

Bearish

Bullish

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

6What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 218.41 MM

NET SALES(9M)

At CNY 1,867.74 MM has Grown at 25.66%

CASH AND EQV(HY)

Highest at CNY 1,048.72 MM

-27What is not working for the Company

INTEREST(HY)

At CNY 6.63 MM has Grown at 38.3%

DEBT-EQUITY RATIO (HY)

Highest at 43.26 %

RAW MATERIAL COST(Y)

Grown by 20.04% (YoY

OPERATING PROFIT(Q)

Lowest at CNY -2.19 MM

OPERATING PROFIT MARGIN(Q)

Lowest at -0.36 %

PRE-TAX PROFIT(Q)

Lowest at CNY -4.58 MM

NET PROFIT(Q)

Lowest at CNY -2.55 MM

EPS(Q)

Lowest at CNY -0.02

Here's what is working for Jinhua Chunguang Technology Co., Ltd.

Operating Cash Flow

Highest at CNY 218.41 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 1,867.74 MM has Grown at 25.66%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Cash and Eqv

Highest at CNY 1,048.72 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Here's what is not working for Jinhua Chunguang Technology Co., Ltd.

Interest

At CNY 6.63 MM has Grown at 38.3%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Pre-Tax Profit

At CNY -4.58 MM has Fallen at -353.58%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Net Profit

At CNY -2.55 MM has Fallen at -463%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Debt-Equity Ratio

Highest at 43.26 % and Grown

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

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Operating Profit

Lowest at CNY -2.19 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at -0.36 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at CNY -4.58 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (CNY MM)

Net Profit

Lowest at CNY -2.55 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CNY MM)

EPS

Lowest at CNY -0.02

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (CNY)

Raw Material Cost

Grown by 20.04% (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