Kingfa Sci. & Tech. Co., Ltd. (600143) 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

Kingfa Sci. & Tech. Co., Ltd.

Why is Kingfa Sci. & Tech. Co., Ltd. ?

High Debt Company with a Debt to Equity ratio (avg) at times

Poor long term growth as Net Sales has grown by an annual rate of 14.69% and Operating profit at -25.29% over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times
The company has been able to generate a Return on Equity (avg) of 11.12% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 14.69% and Operating profit at -25.29% over the last 5 years

The company has declared Positive results for the last 3 consecutive quarters

NET SALES(9M) At CNY 49,615.73 MM has Grown at 22.77%
RAW MATERIAL COST(Y) Fallen by -14.47% (YoY)
DEBT-EQUITY RATIO (HY) Lowest at 133.02 %

With ROE of 1.59%, it has a expensive valuation with a 2.84 Price to Book Value

Over the past year, while the stock has generated a return of 46.38%, its profits have risen by 336.7% ; the PEG ratio of the company is 0.5
At the current price, the company has a high dividend yield of 0.5

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Kingfa Sci. & Tech. Co., Ltd. should be less than 10%
Overall Portfolio exposure to Chemicals & Petrochemicals should be less than 30%

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

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

Is Kingfa Sci. & Tech. Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Kingfa Sci. & Tech. Co., Ltd.

59.01%

3.18

47.07%

China Shanghai Composite

24.7%

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)

14.69%

EBIT Growth (5y)

-25.29%

EBIT to Interest (avg)

4.33

Debt to EBITDA (avg)

6.26

Net Debt to Equity (avg)

1.43

Sales to Capital Employed (avg)

1.14

Tax Ratio

40.92%

Dividend Payout Ratio

29.87%

Pledged Shares

Institutional Holding

ROCE (avg)

8.33%

ROE (avg)

11.12%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

178

Industry P/E

Price to Book Value

2.84

EV to EBIT

84.62

EV to EBITDA

23.57

EV to Capital Employed

1.75

EV to Sales

1.15

PEG Ratio

0.53

Dividend Yield

0.50%

ROCE (Latest)

2.06%

ROE (Latest)

1.59%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bullish

Moving Averages

Mildly Bearish (Daily)

KST

Bearish

Bullish

Dow Theory

Mildly Bullish

Mildly Bearish

OBV

Mildly Bullish

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

15What is working for the Company

NET SALES(9M)

At CNY 49,615.73 MM has Grown at 22.77%

RAW MATERIAL COST(Y)

Fallen by -14.47% (YoY

DEBT-EQUITY RATIO (HY)

Lowest at 133.02 %

INVENTORY TURNOVER RATIO(HY)

Highest at 8.14 times

PRE-TAX PROFIT(Q)

Highest at CNY 487.02 MM

NET PROFIT(Q)

Highest at CNY 483.39 MM

EPS(Q)

Highest at CNY 0.19

0What is not working for the Company

NO KEY NEGATIVE TRIGGERS

Here's what is working for Kingfa Sci. & Tech. Co., Ltd.

Pre-Tax Profit

At CNY 487.02 MM has Grown at 260.03%

over average net sales of the previous four periods of CNY 135.27 MM

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (CNY MM)

Net Sales

At CNY 49,615.73 MM has Grown at 22.77%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Pre-Tax Profit

Highest at CNY 487.02 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

Highest at CNY 483.39 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

Net Profit

At CNY 483.39 MM has Grown at 87.98%

over average net sales of the previous four periods of CNY 257.15 MM

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY 0.19

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Debt-Equity Ratio

Lowest at 133.02 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Inventory Turnover Ratio

Highest at 8.14 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Raw Material Cost

Fallen by -14.47% (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