Kunshan Huguang Auto Harness Co., Ltd.

  • Market Cap: Large Cap
  • Industry: Auto Components & Equipments
  • ISIN: CNE1000043X2
CNY
30.91
0.1 (0.32%)
  • Price Points
  • Score
  • Mojo Parameters
  • Total Return
  • News and Corporate Actions
  • Key factors
  • Shareholding
  • Financials
  • CompanyCV
stock-recommendationScore
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
Kunshan Huguang Auto Harness Co., Ltd.
Why is Kunshan Huguang Auto Harness Co., Ltd. ?
1
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 43.02% and Operating profit at 79.79% 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 9.95% signifying low profitability per unit of shareholders funds
2
The company has declared Positive results for the last 6 consecutive quarters
  • OPERATING CASH FLOW(Y) Highest at CNY 453.23 MM
  • NET SALES(HY) At CNY 3,896.58 MM has Grown at 23.35%
  • NET PROFIT(HY) At CNY 325.03 MM has Grown at 83.01%
3
With ROE of 28.82%, it has a fair valuation with a 7.15 Price to Book Value
  • Over the past year, while the stock has generated a return of -4.60%, its profits have risen by 97.6% ; the PEG ratio of the company is 0.3
  • At the current price, the company has a high dividend yield of 0.6
4
Underperformed the market in the last 1 year
  • Even though the market (China Shanghai Composite) has generated returns of 14.77% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -4.60% returns
stock-recommendationReal-Time Research Report
Verdict Report
How much should you hold?
  1. Overall Portfolio exposure to Kunshan Huguang Auto Harness Co., Ltd. should be less than 10%
  2. Overall Portfolio exposure to Auto Components & Equipments should be less than 30%

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

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

Is Kunshan Huguang Auto Harness Co., Ltd. for you?

High Risk, Medium Return

Absolute
Risk Adjusted
Volatility
Kunshan Huguang Auto Harness Co., Ltd.
-4.6%
0.31
45.22%
China Shanghai Composite
14.77%
1.01
14.58%
stock-recommendationQuality
stock-summaryManagement Risk
stock-summaryGrowth
stock-summaryCapital Structure
stock-recommendation
Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors
Factor
Value
Sales Growth (5y)
43.02%
EBIT Growth (5y)
79.79%
EBIT to Interest (avg)
3.72
Debt to EBITDA (avg)
8.83
Net Debt to Equity (avg)
0.98
Sales to Capital Employed (avg)
1.20
Tax Ratio
8.66%
Dividend Payout Ratio
14.99%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
4.97%
ROE (avg)
9.95%
stock-recommendationValuation
Valuation Scorecard stock-summary
stock-recommendation
Valuation grade scale :

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

Valuation Key Factors stock-summary
Factor
Value
P/E Ratio
25
Industry P/E
Price to Book Value
7.15
EV to EBIT
27.26
EV to EBITDA
19.77
EV to Capital Employed
4.07
EV to Sales
2.42
PEG Ratio
0.25
Dividend Yield
0.59%
ROCE (Latest)
14.95%
ROE (Latest)
28.82%
stock-recommendationTechnicals
Technical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Sideways
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Mildly Bearish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
Mildly Bearish
Mildly Bearish
stock-recommendation Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish  Turned 
Technical Movement
stock-recommendationFinancial Trend
Financial Trend Scorecard stock-summary
stock-recommendation
Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

21What is working for the Company
OPERATING CASH FLOW(Y)

Highest at CNY 453.23 MM

NET SALES(HY)

At CNY 3,896.58 MM has Grown at 23.35%

NET PROFIT(HY)

At CNY 325.03 MM has Grown at 83.01%

ROCE(HY)

Highest at 33.47%

RAW MATERIAL COST(Y)

Fallen by -6.23% (YoY

DEBT-EQUITY RATIO (HY)

Lowest at 101.14 %

DEBTORS TURNOVER RATIO(HY)

Highest at 3.27%

-9What is not working for the Company
INTEREST(Q)

At CNY 13.22 MM has Grown at 55.02%

INTEREST COVERAGE RATIO(Q)

Lowest at 773.36

OPERATING PROFIT(Q)

Lowest at CNY 102.2 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 6.66 %

PRE-TAX PROFIT(Q)

Lowest at CNY 103.53 MM

NET PROFIT(Q)

Lowest at CNY 93.1 MM

EPS(Q)

Lowest at CNY 0.21

Here's what is working for Kunshan Huguang Auto Harness Co., Ltd.
Operating Cash Flow
Highest at CNY 453.23 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)

Net Sales
At CNY 3,896.58 MM has Grown at 23.35%
Year on Year (YoY)
MOJO Watch
Near term sales trend is positive

Net Sales (CNY MM)

Debt-Equity Ratio
Lowest at 101.14 %
in the last five Semi-Annual periods
MOJO Watch
The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Debtors Turnover Ratio
Highest at 3.27%
in the last five Semi-Annual periods
MOJO Watch
Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost
Fallen by -6.23% (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 Kunshan Huguang Auto Harness Co., Ltd.
Interest
At CNY 13.22 MM has Grown at 55.02%
period on period (QoQ)
MOJO Watch
Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Interest Coverage Ratio
Lowest at 773.36
in the last five periods
MOJO Watch
The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Operating Profit
Lowest at CNY 102.2 MM
in the last five periods
MOJO Watch
Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin
Lowest at 6.66 %
in the last five periods
MOJO Watch
Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit
Lowest at CNY 103.53 MM
in the last five periods
MOJO Watch
Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (CNY MM)

Net Profit
Lowest at CNY 93.1 MM
in the last five periods
MOJO Watch
Near term Net Profit trend is negative

Net Profit (CNY MM)

EPS
Lowest at CNY 0.21
in the last five periods
MOJO Watch
Declining profitability; company has created lower earnings for shareholders

EPS (CNY)