Leysen Jewelry, Inc. (603900) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Leysen Jewelry, Inc.

Why is Leysen Jewelry, Inc. ?

Poor Management Efficiency with a low ROCE of 2.08%

The company has been able to generate a Return on Capital Employed (avg) of 2.08% signifying low profitability per unit of total capital (equity and debt)

Poor long term growth as Net Sales has grown by an annual rate of 5.66% and Operating profit at -187.25% over the last 5 years

NET SALES(HY) At CNY 828.35 MM has Grown at 29.42%
INVENTORY TURNOVER RATIO(HY) Highest at 0.65 times
PRE-TAX PROFIT(Q) At CNY 12.91 MM has Grown at 178.6%

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of 41.18%, its profits have risen by 37.1%

Market Beating Performance

The stock has generated a return of 41.18% in the last 1 year, much higher than market (China Shanghai Composite) returns of 22.49%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Leysen Jewelry, Inc. should be less than 10%
Overall Portfolio exposure to Retailing should be less than 30%

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

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

Is Leysen Jewelry, Inc. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Leysen Jewelry, Inc.

-49.37%

0.95

63.50%

China Shanghai Composite

16.78%

1.58

14.20%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

1.24%

EBIT Growth (5y)

-10.91%

EBIT to Interest (avg)

18.23

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.08

Sales to Capital Employed (avg)

0.58

Tax Ratio

0.73%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

2.08%

ROE (avg)

1.44%

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

1.08

EV to EBIT

21.30

EV to EBITDA

15.32

EV to Capital Employed

1.08

EV to Sales

1.42

PEG Ratio

0.14

Dividend Yield

1.60%

ROCE (Latest)

5.08%

ROE (Latest)

4.61%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly Bearish

OBV

No Trend

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

22What is working for the Company

ROCE(HY)

Highest at 4.32%

RAW MATERIAL COST(Y)

Fallen by -29.63% (YoY

OPERATING PROFIT(Q)

Highest at CNY 56.34 MM

OPERATING PROFIT MARGIN(Q)

Highest at 15.52 %

PRE-TAX PROFIT(Q)

Highest at CNY 54.21 MM

NET PROFIT(Q)

Highest at CNY 53.49 MM

EPS(Q)

Highest at CNY 0.16

-5What is not working for the Company

CASH AND EQV(HY)

Lowest at CNY 406.62 MM

DEBT-EQUITY RATIO (HY)

Highest at 0.77 %

INTEREST(Q)

Highest at CNY 1.25 MM

Here's what is working for Leysen Jewelry, Inc.

Pre-Tax Profit

At CNY 54.21 MM has Grown at 152.1%

over average net sales of the previous four periods of CNY 21.5 MM

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 53.49 MM has Grown at 192.72%

over average net sales of the previous four periods of CNY 18.27 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (CNY MM)

Operating Profit

Highest at CNY 56.34 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (CNY MM)

Operating Profit Margin

Highest at 15.52 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at CNY 54.21 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 53.49 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY 0.16

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Raw Material Cost

Fallen by -29.63% (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 Leysen Jewelry, Inc.

Interest

At CNY 1.25 MM has Grown at 80.1%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Interest

Highest at CNY 1.25 MM

in the last five periods and Increased by 80.1% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Cash and Eqv

Lowest at CNY 406.62 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debt-Equity Ratio

Highest at 0.77 %

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