Kingnet Network Co., Ltd. (002517) 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

Kingnet Network Co., Ltd.

Why is Kingnet Network Co., Ltd. ?

OPERATING CASH FLOW(Y) Highest at CNY 2,313.51 MM
INTEREST COVERAGE RATIO(Q) Highest at 79,201.28
CASH AND EQV(HY) Highest at CNY 8,829.94 MM

With ROE of 21.49%, it has a very attractive valuation with a 2.71 Price to Book Value

Over the past year, while the stock has generated a return of -11.41%, its profits have risen by 27.5% ; the PEG ratio of the company is 0.5
At the current price, the company has a high dividend yield of 0.8

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Kingnet Network Co., Ltd. should be less than 10%
Overall Portfolio exposure to Software Products should be less than 30%

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

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

Is Kingnet Network Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Kingnet Network Co., Ltd.

-9.4%

1.35

46.63%

China Shanghai Composite

8.25%

1.20

14.07%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

31.65%

EBIT Growth (5y)

53.51%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.50

Sales to Capital Employed (avg)

0.71

Tax Ratio

6.83%

Dividend Payout Ratio

11.18%

Pledged Shares

Institutional Holding

ROCE (avg)

49.14%

ROE (avg)

24.41%

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

3.22

EV to EBIT

14.90

EV to EBITDA

14.06

EV to Capital Employed

4.72

EV to Sales

4.71

PEG Ratio

0.55

Dividend Yield

0.65%

ROCE (Latest)

31.66%

ROE (Latest)

21.49%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bullish

Mildly Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bullish

Mildly Bearish

Dow Theory

Mildly Bullish

OBV

Mildly 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

21What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 2,313.51 MM

INTEREST COVERAGE RATIO(Q)

Highest at 79,201.28

CASH AND EQV(HY)

Highest at CNY 8,829.94 MM

DEBTORS TURNOVER RATIO(HY)

Highest at 4.02 times

NET SALES(Q)

Highest at CNY 2,221.23 MM

OPERATING PROFIT(Q)

Highest at CNY 658.01 MM

PRE-TAX PROFIT(Q)

Highest at CNY 898.59 MM

NET PROFIT(Q)

Highest at CNY 778.01 MM

EPS(Q)

Highest at CNY 0.37

-13What is not working for the Company

INTEREST(HY)

At CNY 2.36 MM has Grown at 20.43%

INVENTORY TURNOVER RATIO(HY)

Lowest at 25.08 times

Here's what is working for Kingnet Network Co., Ltd.

Net Sales

At CNY 2,221.23 MM has Grown at 66.85%

over average net sales of the previous four periods of CNY 1,331.24 MM

MOJO Watch

Near term sales trend is extremely positive

Net Sales (CNY MM)

Operating Cash Flow

Highest at CNY 2,313.51 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Interest Coverage Ratio

Highest at 79,201.28

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Net Sales

Highest at CNY 2,221.23 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Operating Profit

Highest at CNY 658.01 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (CNY MM)

Pre-Tax Profit

Highest at CNY 898.59 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Pre-Tax Profit

At CNY 898.59 MM has Grown at 84.46%

over average net sales of the previous four periods of CNY 487.14 MM

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

Highest at CNY 778.01 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

Net Profit

At CNY 778.01 MM has Grown at 61.71%

over average net sales of the previous four periods of CNY 481.12 MM

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY 0.37

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Cash and Eqv

Highest at CNY 8,829.94 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debtors Turnover Ratio

Highest at 4.02 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Here's what is not working for Kingnet Network Co., Ltd.

Interest

At CNY 2.36 MM has Grown at 20.43%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Inventory Turnover Ratio

Lowest at 25.08 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Non Operating Income

Highest at CNY 0.27 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income