Kunming Longjin Pharmaceutical Co., Ltd. (002750) 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

Kunming Longjin Pharmaceutical Co., Ltd.

Why is Kunming Longjin Pharmaceutical Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 0%

The company has reported losses and also has negative networth. This is not a good sign for the investors. Either company will have to raise fresh capital or report profits to sustain going forward

Poor long term growth as Net Sales has grown by an annual rate of -29.14% and Operating profit at -0.94% over the last 5 years

With a fall in Net Sales of -68.72%, the company declared Very Negative results in Mar 25

The company has declared negative results for the last 3 consecutive quarters
INTEREST(HY) At CNY 0.04 MM has Grown at 875.99%
OPERATING CASH FLOW(Y) Lowest at CNY -40.87 MM
CASH AND EQV(HY) Lowest at CNY 565.45 MM

Risky - Not traded in last 10 days

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of -63.35%, its profits have risen by 36.1%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -63.35% returns in the last 1 year, the stock has also underperformed China Shanghai Composite in each of the last 3 annual periods

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 Pharmaceuticals: Other)

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

Is Kunming Longjin Pharmaceutical Co., Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Kunming Longjin Pharmaceutical Co., Ltd.

-63.35%

-0.94

72.25%

China Shanghai Composite

14.77%

0.88

20.65%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-29.14%

EBIT Growth (5y)

-0.94%

EBIT to Interest (avg)

-48.75

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

-0.58

Sales to Capital Employed (avg)

0.15

Tax Ratio

5.79%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

ROE (avg)

0.57%

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

0.97

EV to EBIT

-3.12

EV to EBITDA

-3.97

EV to Capital Employed

0.94

EV to Sales

4.17

PEG Ratio

Dividend Yield

ROCE (Latest)

-30.15%

ROE (Latest)

-10.13%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bullish

RSI

No Signal

Bullish

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

Bearish

OBV

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

6What is working for the Company

ROCE(HY)

Highest at -8.45%

RAW MATERIAL COST(Y)

Fallen by -5.69% (YoY

NET PROFIT(9M)

Higher at CNY -38.14 MM

-25What is not working for the Company

INTEREST(9M)

At CNY 0.09 MM has Grown at 2,136.58%

NET SALES(Q)

At CNY 5.82 MM has Fallen at -63.39%

OPERATING CASH FLOW(Y)

Lowest at CNY -40.87 MM

CASH AND EQV(HY)

Lowest at CNY 565.45 MM

DEBT-EQUITY RATIO (HY)

Highest at -57.66 %

INVENTORY TURNOVER RATIO(HY)

Lowest at 0.98%

Here's what is working for Kunming Longjin Pharmaceutical Co., Ltd.

Net Profit

Higher at CNY -32.91 MM

than preceding 12 month period ended Mar 2025

MOJO Watch

In the half year the company has already crossed Net Profit of the previous twelve months

Net Profit (CNY MM)

Raw Material Cost

Fallen by -5.69% (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 Kunming Longjin Pharmaceutical Co., Ltd.

Interest

At CNY 0.04 MM has Grown at 875.99%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Net Sales

At CNY 5.82 MM has Fallen at -63.39%

over average net sales of the previous four periods of CNY 15.9 MM

MOJO Watch

Near term sales trend is extremely negative

Net Sales (CNY MM)

Operating Cash Flow

Lowest at CNY -40.87 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CNY MM)

Net Sales

Lowest at CNY 5.82 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Cash and Eqv

Lowest at CNY 565.45 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debt-Equity Ratio

Highest at -57.66 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Inventory Turnover Ratio

Lowest at 0.98%

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio