Johnson Electric Holdings Ltd. (179) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Zhengzhou Coal Mining Machinery Group Co., Ltd.

Xin Point Holdings Ltd.

Weichai Power Co., Ltd.

Johnson Electric Holdings Ltd.

Intron Technology Holdings Ltd.

Nexteer Automotive Group Ltd.

Wuling Motors Holdings Ltd.

Chaowei Power Holdings Ltd.

Ruifeng Power Group Co., Ltd.

Huazhong In-Vehicle Holdings Co., Ltd.

New Focus Auto Tech Holdings Ltd.

Why is Johnson Electric Holdings Ltd. ?

Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 8.70

Poor long term growth as Net Sales has grown by an annual rate of 3.44% and Operating profit at 11.86% over the last 5 years

Positive results in Mar 25

OPERATING CASH FLOW(Y) Highest at HKD 8,442.34 MM
ROCE(HY) Highest at 10.06%
DEBT-EQUITY RATIO (HY) Lowest at -14.8 %

With ROE of 10.41%, it has a Very Expensive valuation with a 1.29 Price to Book Value

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 193.76%, its profits have fallen by -1.6%

Company is among the highest 1% of companies rated by MarketsMojo across all 4,000 stocks

Market Beating performance in long term as well as near term

Along with generating 193.76% returns in the last 1 year, the stock has outperformed Hang Seng Hong Kong in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Johnson Electric Holdings Ltd. should be less than 10%
Overall Portfolio exposure to Auto Components & Equipments should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Auto Components & Equipments)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Johnson Electric Holdings Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Johnson Electric Holdings Ltd.

182.55%

22.72

69.14%

Hang Seng Hong Kong

27.36%

1.03

25.88%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

3.44%

EBIT Growth (5y)

11.86%

EBIT to Interest (avg)

8.70

Debt to EBITDA (avg)

0.13

Net Debt to Equity (avg)

-0.17

Sales to Capital Employed (avg)

1.23

Tax Ratio

11.92%

Dividend Payout Ratio

27.45%

Pledged Shares

Institutional Holding

0.00%

ROCE (avg)

8.93%

ROE (avg)

9.04%

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

1.29

EV to EBIT

8.72

EV to EBITDA

4.93

EV to Capital Employed

1.34

EV to Sales

0.82

PEG Ratio

Dividend Yield

0.17%

ROCE (Latest)

15.40%

ROE (Latest)

10.41%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

No Trend

OBV

Mildly Bearish

No Trend

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

12What is working for the Company

OPERATING CASH FLOW(Y)

Highest at HKD 8,442.34 MM

ROCE(HY)

Highest at 10.06%

DEBT-EQUITY RATIO (HY)

Lowest at -14.8 %

INTEREST COVERAGE RATIO(Q)

Highest at 2,357.31

RAW MATERIAL COST(Y)

Fallen by -43.43% (YoY

OPERATING PROFIT(Q)

Highest at HKD 2,490.61 MM

OPERATING PROFIT MARGIN(Q)

Highest at 17.86 %

EPS(Q)

Highest at HKD 1.11

-1What is not working for the Company

NET SALES(Q)

Lowest at HKD 13,948.16 MM

Here's what is working for Johnson Electric Holdings Ltd.

Interest Coverage Ratio

Highest at 2,357.31

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Debt-Equity Ratio

Lowest at -14.8 % and Grown

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

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Operating Cash Flow

Highest at HKD 8,442.34 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (HKD MM)

Operating Profit

Highest at HKD 2,490.61 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (HKD MM)

Operating Profit Margin

Highest at 17.86 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

EPS

Highest at HKD 1.11

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (HKD)

Raw Material Cost

Fallen by -43.43% (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 Johnson Electric Holdings Ltd.

Net Sales

Lowest at HKD 13,948.16 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (HKD MM)