Jizhong Energy Resources Co., Ltd. (000937) 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

Jizhong Energy Resources Co., Ltd.

Why is Jizhong Energy Resources Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of -7.30% and Operating profit at -16.11% over the last 5 years

With a fall in PBT of -12.97%, the company declared Very Negative results in Mar 26

The company has declared negative results for the last 12 consecutive quarters
OPERATING CASH FLOW(Y) Lowest at CNY 2,090.75 MM
NET SALES(9M) At CNY 11,400.54 MM has Grown at -9.84%
NET PROFIT(9M) At CNY 377.9 MM has Grown at -28.13%

With ROE of 2.94%, it has a very expensive valuation with a 0.86 Price to Book Value

Over the past year, while the stock has generated a return of -25.19%, its profits have fallen by -49.8%
At the current price, the company has a high dividend yield of 12.8

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -25.19% returns in the last 1 year, the stock has also underperformed China Shanghai Composite in each of the last 3 annual periods

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 Jizhong Energy Resources Co., Ltd. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Jizhong Energy Resources Co., Ltd.

-25.19%

-1.92

27.25%

China Shanghai Composite

16.78%

1.20

13.96%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-7.30%

EBIT Growth (5y)

-16.11%

EBIT to Interest (avg)

7.78

Debt to EBITDA (avg)

0.78

Net Debt to Equity (avg)

0.35

Sales to Capital Employed (avg)

0.45

Tax Ratio

26.04%

Dividend Payout Ratio

57.67%

Pledged Shares

Institutional Holding

ROCE (avg)

17.47%

ROE (avg)

15.13%

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

0.86

EV to EBIT

31.94

EV to EBITDA

11.67

EV to Capital Employed

0.91

EV to Sales

1.96

PEG Ratio

Dividend Yield

12.80%

ROCE (Latest)

2.86%

ROE (Latest)

2.94%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

Mildly Bearish

No Trend

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

1What is working for the Company

RAW MATERIAL COST(Y)

Fallen by 0.45% (YoY

-20What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at CNY 2,090.75 MM

NET SALES(9M)

At CNY 11,400.54 MM has Grown at -9.84%

NET PROFIT(9M)

At CNY 377.9 MM has Grown at -28.13%

DEBT-EQUITY RATIO (HY)

Highest at 64.77 %

DEBTORS TURNOVER RATIO(HY)

Lowest at 3.1 times

INTEREST(Q)

At CNY 151.01 MM has Grown at 15.64%

INTEREST COVERAGE RATIO(Q)

Lowest at 225.75

OPERATING PROFIT(Q)

Lowest at CNY 340.9 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 9.59 %

CASH AND EQV(HY)

Lowest at CNY 22,103.13 MM

Here's what is working for Jizhong Energy Resources Co., Ltd.

Raw Material Cost

Fallen by 0.45% (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 Jizhong Energy Resources Co., Ltd.

Operating Cash Flow

Lowest at CNY 2,090.75 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CNY MM)

Interest

At CNY 151.01 MM has Grown at 15.64%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Interest Coverage Ratio

Lowest at 225.75

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 340.9 MM and Fallen

In each period in the last five periods

MOJO Watch

Near term Operating Profit trend is quite negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 9.59 % and Fallen

In each period in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Debt-Equity Ratio

Highest at 64.77 % 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

Debtors Turnover Ratio

Lowest at 3.1 times and Fallen

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

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Net Sales

At CNY 11,400.54 MM has Grown at -9.84%

Year on Year (YoY)

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Net Profit

At CNY 377.9 MM has Grown at -28.13%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CNY MM)

Cash and Eqv

Lowest at CNY 22,103.13 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents