Lecron Industrial Development Group Co., Ltd. (300343) 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

Lecron Industrial Development Group Co., Ltd.

Why is Lecron Industrial Development Group Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of -19.86% and Operating profit at 15.14% over the last 5 years

Flat results in Jun 25

OPERATING CASH FLOW(Y) Lowest at CNY -34.72 MM
PRE-TAX PROFIT(Q) At CNY 1.66 MM has Fallen at -77.09%
NET PROFIT(Q) At CNY 3.65 MM has Fallen at -57.38%

With ROE of 1.86%, it has a fair valuation with a 2.35 Price to Book Value

Over the past year, while the stock has generated a return of -10.49%, its profits have risen by 228.4% ; the PEG ratio of the company is 0.6

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -10.49% 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 hold?

Overall Portfolio exposure to Lecron Industrial Development Group Co., Ltd. should be less than 10%
Overall Portfolio exposure to Media & Entertainment should be less than 30%

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

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

Is Lecron Industrial Development Group Co., Ltd. for you?

High Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Lecron Industrial Development Group Co., Ltd.

-15.75%

0.24

52.56%

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)

-19.86%

EBIT Growth (5y)

15.14%

EBIT to Interest (avg)

17.80

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.29

Sales to Capital Employed (avg)

0.45

Tax Ratio

Tax Ratio is Negative%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

18.93%

ROE (avg)

16.26%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

126

Industry P/E

Price to Book Value

2.35

EV to EBIT

396.18

EV to EBITDA

54.16

EV to Capital Employed

2.72

EV to Sales

4.49

PEG Ratio

0.55

Dividend Yield

ROCE (Latest)

0.69%

ROE (Latest)

1.86%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Mildly Bearish

Mildly Bullish

Dow Theory

Mildly Bearish

No Trend

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

11What is working for the Company

NET PROFIT(HY)

At CNY 7.73 MM has Grown at 155.29%

RAW MATERIAL COST(Y)

Fallen by -55.34% (YoY

NET SALES(Q)

Highest at CNY 280.21 MM

-10What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at CNY -34.72 MM

PRE-TAX PROFIT(Q)

At CNY 1.66 MM has Fallen at -77.09%

NET PROFIT(Q)

At CNY 3.65 MM has Fallen at -57.38%

INVENTORY TURNOVER RATIO(HY)

Lowest at 4.57%

Here's what is working for Lecron Industrial Development Group Co., Ltd.

Net Sales

Highest at CNY 280.21 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Net Sales

At CNY 280.21 MM has Grown at 27.68%

over average net sales of the previous four periods of CNY 219.46 MM

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Raw Material Cost

Fallen by -55.34% (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 Lecron Industrial Development Group Co., Ltd.

Pre-Tax Profit

At CNY 1.66 MM has Fallen at -77.09%

over average net sales of the previous four periods of CNY 7.23 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 3.65 MM has Fallen at -57.38%

over average net sales of the previous four periods of CNY 8.56 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Operating Cash Flow

Lowest at CNY -34.72 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CNY MM)

Inventory Turnover Ratio

Lowest at 4.57%

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Non Operating Income

Highest at CNY 0.68 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income