Koal Software Co., Ltd. (603232) 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

Koal Software Co., Ltd.

Why is Koal Software Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 2.24%

The company has been able to generate a Return on Capital Employed (avg) of 2.24% signifying low profitability per unit of total capital (equity and debt)

Poor long term growth as Net Sales has grown by an annual rate of 1.86% and Operating profit at -202.68% over the last 5 years

With a fall in Net Sales of -14.14%, the company declared Very Negative results in Sep 25

INTEREST(HY) At CNY 0.94 MM has Grown at 157.14%
DEBT-EQUITY RATIO (HY) Highest at -16.35 %
CASH AND EQV(HY) Lowest at CNY 554.02 MM

With ROE of 1.16%, it has a expensive valuation with a 2.56 Price to Book Value

Over the past year, while the stock has generated a return of 73.55%, its profits have fallen by -42.1%
At the current price, the company has a high dividend yield of 0.3

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 Software Products)

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

Is Koal Software Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Koal Software Co., Ltd.

14.04%

2.25

59.40%

China Shanghai Composite

21.43%

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)

-4.06%

EBIT Growth (5y)

-223.08%

EBIT to Interest (avg)

-11.11

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.21

Sales to Capital Employed (avg)

0.35

Tax Ratio

Tax Ratio is Negative%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

2.24%

ROE (avg)

1.80%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

3.08

EV to EBIT

-33.25

EV to EBITDA

-47.48

EV to Capital Employed

4.02

EV to Sales

9.54

PEG Ratio

Dividend Yield

0.29%

ROCE (Latest)

-12.09%

ROE (Latest)

-5.19%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

Bullish

No Signal

Bollinger Bands

Mildly Bearish

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Bullish

Dow Theory

Mildly Bearish

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

4What is working for the Company

NET SALES(Q)

At CNY 65.93 MM has Grown at 47.16%

RAW MATERIAL COST(Y)

Fallen by -424.31% (YoY

DEBT-EQUITY RATIO (HY)

Lowest at -30.81 %

-32What is not working for the Company

NET SALES(HY)

At CNY 188.04 MM has Grown at -22.07%

NET PROFIT(HY)

At CNY -53.58 MM has Grown at -317.38%

ROCE(HY)

Lowest at -4.73%

INVENTORY TURNOVER RATIO(HY)

Lowest at 1.64 times

DEBTORS TURNOVER RATIO(HY)

Lowest at 1.17 times

INTEREST(Q)

Highest at CNY 1.93 MM

Here's what is working for Koal Software Co., Ltd.

Net Sales

At CNY 65.93 MM has Grown at 47.16%

Year on Year (YoY)

MOJO Watch

Near term sales trend is very positive

Net Sales (CNY MM)

Debt-Equity Ratio

Lowest at -30.81 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Raw Material Cost

Fallen by -424.31% (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 Koal Software Co., Ltd.

Net Profit

At CNY -53.58 MM has Grown at -317.38%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Interest

At CNY 1.93 MM has Grown at 303.82%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Interest

Highest at CNY 1.93 MM

in the last five periods and Increased by 303.82% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Inventory Turnover Ratio

Lowest at 1.64 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Debtors Turnover Ratio

Lowest at 1.17 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio