ScoreComparison
Company
Score
Quality
Valuation
Financial
Technical
Why is Lee & Man Chemical Co. Ltd. ?
1
High Debt company with Weak Long Term Fundamental Strength
- Poor long term growth as Operating profit has grown by an annual rate 3.89% of over the last 5 years
- The company is Net-Debt Free
2
Flat results in Jun 26
- OPERATING CASH FLOW(Y) Lowest at HKD 1,765.73 MM
- INTEREST(HY) At HKD 12.95 MM has Grown at 36.15%
- DEBT-EQUITY RATIO (HY) Highest at 11.42 %
3
With ROE of 8.89%, it has a Fair valuation with a 0.55 Price to Book Value
- Over the past year, while the stock has generated a return of -12.62%, its profits have risen by 16.9% ; the PEG ratio of the company is 0.4
4
Below par performance in long term as well as near term
- Along with generating -12.62% returns in the last 1 year, the stock has also underperformed Hang Seng Hong Kong in the last 3 years, 1 year and 3 months
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Lee & Man Chemical Co. Ltd. should be less than 10%
- Overall Portfolio exposure to Specialty Chemicals should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Specialty Chemicals)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Lee & Man Chemical Co. Ltd. for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Lee & Man Chemical Co. Ltd.
-100.0%
0.32
39.56%
Hang Seng Hong Kong
-5.07%
-0.27
18.67%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
3.91%
EBIT Growth (5y)
3.89%
EBIT to Interest (avg)
29.28
Debt to EBITDA (avg)
0.45
Net Debt to Equity (avg)
0.06
Sales to Capital Employed (avg)
0.69
Tax Ratio
20.27%
Dividend Payout Ratio
49.50%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
13.76%
ROE (avg)
14.01%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
6
Industry P/E
Price to Book Value
0.55
EV to EBIT
5.77
EV to EBITDA
5.08
EV to Capital Employed
0.57
EV to Sales
1.03
PEG Ratio
0.36
Dividend Yield
7.98%
ROCE (Latest)
9.95%
ROE (Latest)
8.89%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Mildly Bullish
Mildly Bearish
Dow Theory
No Trend
Mildly Bullish
OBV
Mildly Bearish
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend10What is working for the Company
DIVIDEND PAYOUT RATIO(Y)
Highest at 49.58%
RAW MATERIAL COST(Y)
Fallen by -24.36% (YoY
NET SALES(Q)
Highest at HKD 2,168.28 MM
OPERATING PROFIT(Q)
Highest at HKD 498.52 MM
PRE-TAX PROFIT(Q)
Highest at HKD 424.79 MM
NET PROFIT(Q)
Highest at HKD 358.15 MM
EPS(Q)
Highest at HKD 0.41
-7What is not working for the Company
OPERATING CASH FLOW(Y)
Lowest at HKD 1,765.73 MM
INTEREST(HY)
At HKD 12.95 MM has Grown at 36.15%
DEBT-EQUITY RATIO
(HY)
Highest at 11.42 %
DEBTORS TURNOVER RATIO(HY)
Lowest at 7.09 times
Here's what is working for Lee & Man Chemical Co. Ltd.
Dividend Payout Ratio
Highest at 49.58% and Grown
In each year in the last five yearsMOJO Watch
Company is distributing higher proportion of profits generated as dividend
DPR (%)
Net Sales
Highest at HKD 2,168.28 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (HKD MM)
Operating Profit
Highest at HKD 498.52 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (HKD MM)
Pre-Tax Profit
Highest at HKD 424.79 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (HKD MM)
Net Profit
Highest at HKD 358.15 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (HKD MM)
EPS
Highest at HKD 0.41
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (HKD)
Raw Material Cost
Fallen by -24.36% (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
At HKD 52.11 MM has Grown at 11.41%
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 Lee & Man Chemical Co. Ltd.
Operating Cash Flow
Lowest at HKD 1,765.73 MM and Fallen
In each year in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (HKD MM)
Interest
At HKD 12.95 MM has Grown at 36.15%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (HKD MM)
Debt-Equity Ratio
Highest at 11.42 %
in the last five Semi-Annual periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
Debtors Turnover Ratio
Lowest at 7.09 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio
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