Lancy Co., Ltd. (002612) 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

Lancy Co., Ltd.

Why is Lancy Co., Ltd. ?

With a growth in Net Profit of 134.03%, the company declared Very Positive results in Mar 25

ROCE(HY) Highest at 9.09%
RAW MATERIAL COST(Y) Fallen by -0.95% (YoY)
CASH AND EQV(HY) Highest at CNY 1,284.39 MM

With ROE of 14.88%, it has a fair valuation with a 1.67 Price to Book Value

Over the past year, while the stock has generated a return of 12.57%, its profits have risen by 51.2% ; the PEG ratio of the company is 0.2
At the current price, the company has a high dividend yield of 3.7

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Lancy Co., Ltd. should be less than 10%
Overall Portfolio exposure to Footwear should be less than 30%

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

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

Is Lancy Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Lancy Co., Ltd.

8.48%

0.93

36.80%

China Shanghai Composite

14.77%

1.01

15.10%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

15.35%

EBIT Growth (5y)

103.06%

EBIT to Interest (avg)

3.38

Debt to EBITDA (avg)

1.44

Net Debt to Equity (avg)

0.37

Sales to Capital Employed (avg)

1.21

Tax Ratio

24.92%

Dividend Payout Ratio

68.81%

Pledged Shares

Institutional Holding

ROCE (avg)

6.26%

ROE (avg)

7.00%

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

1.67

EV to EBIT

13.49

EV to EBITDA

7.56

EV to Capital Employed

1.48

EV to Sales

1.03

PEG Ratio

0.22

Dividend Yield

3.70%

ROCE (Latest)

10.98%

ROE (Latest)

14.88%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

No Trend

OBV

Mildly Bearish

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

9What is working for the Company

ROCE(HY)

Highest at 9.09%

RAW MATERIAL COST(Y)

Fallen by -0.95% (YoY

CASH AND EQV(HY)

Highest at CNY 1,284.39 MM

INVENTORY TURNOVER RATIO(HY)

Highest at 2.27%

DEBTORS TURNOVER RATIO(HY)

Highest at 20.9%

PRE-TAX PROFIT(Q)

Highest at CNY 128.29 MM

NET PROFIT(Q)

Highest at CNY 95.24 MM

EPS(Q)

Highest at CNY 0.22

-9What is not working for the Company

INTEREST(9M)

At CNY 72.24 MM has Grown at 65.67%

INTEREST COVERAGE RATIO(Q)

Lowest at 606.13

DEBT-EQUITY RATIO (HY)

Highest at 62.79 %

OPERATING PROFIT(Q)

Lowest at CNY 123.07 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 8.84 %

Here's what is working for Lancy Co., Ltd.

Pre-Tax Profit

Highest at CNY 128.29 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

Highest at CNY 95.24 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY 0.22

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Cash and Eqv

Highest at CNY 1,284.39 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Inventory Turnover Ratio

Highest at 2.27%

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Debtors Turnover Ratio

Highest at 20.9%

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 -0.95% (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 Lancy Co., Ltd.

Interest

At CNY 72.24 MM has Grown at 65.67%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Interest Coverage Ratio

Lowest at 606.13

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 123.07 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 8.84 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Debt-Equity Ratio

Highest at 62.79 %

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