Why is Kingenta Ecological Engineering Group Co., Ltd. ?
1
Weak Long Term Fundamental Strength with an average Return on Capital Employed (ROCE) of 0%
- Poor long term growth as Net Sales has grown by an annual rate of -1.31% and Operating profit at 11.38% over the last 5 years
- High Debt Company with a Debt to Equity ratio (avg) at times
2
Risky -
- The stock is trading risky as compared to its average historical valuations
- Over the past year, while the stock has generated a return of -2.39%, its profits have risen by 71.4%
3
Underperformed the market in the last 1 year
- Even though the market (China Shanghai Composite) has generated returns of 15.18% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -2.39% returns
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 Chemicals & Petrochemicals)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Kingenta Ecological Engineering Group Co., Ltd. for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Kingenta Ecological Engineering Group Co., Ltd.
-5.03%
1.12
35.57%
China Shanghai Composite
15.19%
1.01
15.10%
Quality key factors
Factor
Value
Sales Growth (5y)
-1.31%
EBIT Growth (5y)
11.38%
EBIT to Interest (avg)
-1.98
Debt to EBITDA (avg)
16.44
Net Debt to Equity (avg)
2.14
Sales to Capital Employed (avg)
1.09
Tax Ratio
41.07%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0.03%
ROCE (avg)
0
ROE (avg)
0.40%
Valuation Key Factors 
Factor
Value
P/E Ratio
NA (Loss Making)
Industry P/E
Price to Book Value
2.76
EV to EBIT
-45.30
EV to EBITDA
30.78
EV to Capital Employed
1.53
EV to Sales
1.19
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
-3.38%
ROE (Latest)
-9.40%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bullish
Mildly Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Bullish
Dow Theory
Mildly Bearish
No Trend
OBV
Mildly Bearish
No Trend
Technical Movement
16What is working for the Company
OPERATING CASH FLOW(Y)
Highest at CNY 425.83 MM
NET PROFIT(HY)
Higher at CNY -111.68 MM
ROCE(HY)
Highest at 2.02%
DEBTORS TURNOVER RATIO(HY)
Highest at 10.29%
RAW MATERIAL COST(Y)
Fallen by -8.77% (YoY
-4What is not working for the Company
INTEREST(HY)
At CNY 84.87 MM has Grown at 19.04%
NET PROFIT(Q)
At CNY 8.81 MM has Fallen at -40.97%
Here's what is working for Kingenta Ecological Engineering Group Co., Ltd.
Operating Cash Flow
Highest at CNY 425.83 MM and Grown
In each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (CNY MM)
Debtors Turnover Ratio
Highest at 10.29% and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Raw Material Cost
Fallen by -8.77% (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 Kingenta Ecological Engineering Group Co., Ltd.
Interest
At CNY 84.87 MM has Grown at 19.04%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (CNY MM)
Net Profit
At CNY 8.81 MM has Fallen at -40.97%
over average net sales of the previous four periods of CNY 14.92 MMMOJO Watch
Near term Net Profit trend is negative
Net Profit (CNY MM)






