Kunming Dianchi Water Treatment Co., Ltd. (3768) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Universal Technologies Holdings Ltd.

China Water Affairs Group Ltd.

Guangdong Investment Ltd.

Tianjin Development Holdings Ltd.

Luzhou Xinglu Water (Group) Co., Ltd.

Kunming Dianchi Water Treatment Co., Ltd.

China Water Industry Group Ltd.

EverChina Int'l Holdings Co. Ltd.

Taizhou Water Group Co., Ltd.

Hao Bai International (Cayman) Ltd.

Why is Kunming Dianchi Water Treatment Co., Ltd. ?

High Debt company with Weak Long Term Fundamental Strength

Poor long term growth as Operating profit has grown by an annual rate -1.91% of over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times

Flat results in Dec 24

ROCE(HY) Lowest at 5.17%
DEBTORS TURNOVER RATIO(HY) Lowest at 0.31%
INTEREST COVERAGE RATIO(Q) Lowest at 312.54

With ROE of 5.55%, it has a Very Expensive valuation with a 0.05 Price to Book Value

Over the past year, while the stock has generated a return of 17.19%, its profits have fallen by -12%

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 Other Utilities)

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

Is Kunming Dianchi Water Treatment Co., Ltd. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Kunming Dianchi Water Treatment Co., Ltd.

17.19%

0.03

43.99%

Hang Seng Hong Kong

27.36%

1.03

25.88%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-4.95%

EBIT Growth (5y)

-1.91%

EBIT to Interest (avg)

2.18

Debt to EBITDA (avg)

5.73

Net Debt to Equity (avg)

0.85

Sales to Capital Employed (avg)

0.19

Tax Ratio

16.30%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

5.81%

ROE (avg)

7.32%

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

0.05

EV to EBIT

9.08

EV to EBITDA

5.78

EV to Capital Employed

0.48

EV to Sales

2.88

PEG Ratio

Dividend Yield

ROCE (Latest)

5.33%

ROE (Latest)

5.55%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Mildly Bullish

RSI

No Signal

Bearish

Bollinger Bands

Bullish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Bearish

OBV

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

Not enough Data to analyse Financial Trend

Here's what is working for Kunming Dianchi Water Treatment Co., Ltd.

Debt-Equity Ratio

Lowest at 84.73 % and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Operating Cash Flow

Highest at HKD 657.89 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (HKD MM)

Inventory Turnover Ratio

Highest at 128.19%

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 -0.08% (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

Depreciation

Highest at HKD 173.63 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (HKD MM)

Depreciation

At HKD 173.63 MM has Grown at 24.54%

period on period (QoQ)

MOJO Watch

The expenditure on assets done by the company has gone into productive use which should positively reflect in the future sales

Depreciation (HKD MM)

Here's what is not working for Kunming Dianchi Water Treatment Co., Ltd.

Interest Coverage Ratio

Lowest at 312.54

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Debtors Turnover Ratio

Lowest at 0.31% and Fallen

In each half year in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Operating Profit

Lowest at HKD 422.33 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (HKD MM)

Pre-Tax Profit

Lowest at HKD 145.48 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (HKD MM)

EPS

Lowest at HKD 0.12

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (HKD)

Cash and Eqv

Lowest at HKD 166.59 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents