Keeson Technology Corp. Ltd. (603610) 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

Keeson Technology Corp. Ltd.

Why is Keeson Technology Corp. Ltd. ?

Poor Management Efficiency with a low ROCE of 10.89%

The company has been able to generate a Return on Capital Employed (avg) of 10.89% signifying low profitability per unit of total capital (equity and debt)

The company is Net-Debt Free

Poor long term growth as Net Sales has grown by an annual rate of 5.44% and Operating profit at -11.21% over the last 5 years
The company is Net-Debt Free
The company has been able to generate a Return on Equity (avg) of 6.93% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 5.44% and Operating profit at -11.21% over the last 5 years

With a fall in Net Sales of -1.27%, the company declared Very Negative results in Jun 26

The company has declared negative results for the last 3 consecutive quarters
PRE-TAX PROFIT(Q) At CNY -2.76 MM has Fallen at -107.68%
NET PROFIT(Q) At CNY 1.42 MM has Fallen at -94.21%
ROCE(HY) Lowest at 0.92%

With ROE of 3.02%, it has a expensive valuation with a 2.05 Price to Book Value

Over the past year, while the stock has generated a return of -21.10%, its profits have fallen by -44.6%
At the current price, the company has a high dividend yield of 0.5

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 Furniture, Home Furnishing)

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

Is Keeson Technology Corp. Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Keeson Technology Corp. Ltd.

-20.92%

0.30

54.65%

China Shanghai Composite

3.23%

0.23

14.72%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

5.44%

EBIT Growth (5y)

-11.21%

EBIT to Interest (avg)

8.74

Debt to EBITDA (avg)

Net Debt is too low

Net Debt to Equity (avg)

-0.03

Sales to Capital Employed (avg)

0.79

Tax Ratio

18.40%

Dividend Payout Ratio

47.09%

Pledged Shares

Institutional Holding

ROCE (avg)

8.19%

ROE (avg)

6.93%

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

2.05

EV to EBIT

35.54

EV to EBITDA

20.01

EV to Capital Employed

2.04

EV to Sales

2.06

PEG Ratio

Dividend Yield

0.46%

ROCE (Latest)

5.74%

ROE (Latest)

3.02%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly Bearish

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

1What is working for the Company

INVENTORY TURNOVER RATIO(HY)

Highest at 3.24 times

-30What is not working for the Company

PRE-TAX PROFIT(Q)

At CNY -2.76 MM has Fallen at -107.68%

NET PROFIT(Q)

At CNY 1.42 MM has Fallen at -94.21%

ROCE(HY)

Lowest at 0.92%

DEBT-EQUITY RATIO (HY)

Highest at 12.51 %

RAW MATERIAL COST(Y)

Grown by 16.43% (YoY

CASH AND EQV(HY)

Lowest at CNY 1,553.96 MM

INTEREST(Q)

Highest at CNY 11.08 MM

Here's what is working for Keeson Technology Corp. Ltd.

Inventory Turnover Ratio

Highest at 3.24 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Here's what is not working for Keeson Technology Corp. Ltd.

Pre-Tax Profit

At CNY -2.76 MM has Fallen at -107.68%

over average net sales of the previous four periods of CNY 35.95 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 1.42 MM has Fallen at -94.21%

over average net sales of the previous four periods of CNY 24.56 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Interest

At CNY 11.08 MM has Grown at 21.27%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Debt-Equity Ratio

Highest at 12.51 % 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

Interest

Highest at CNY 11.08 MM

in the last five periods and Increased by 21.27% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Cash and Eqv

Lowest at CNY 1,553.96 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Raw Material Cost

Grown by 16.43% (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