Why is Liaoning Chengda Biotechnology Co. Ltd. ?
1
Poor long term growth as Net Sales has grown by an annual rate of -2.26% and Operating profit at -22.75% over the last 5 years
2
With a fall in Net Sales of -32.72%, the company declared Very Negative results in Mar 25
- The company has declared negative results for the last 2 consecutive quarters
- OPERATING CASH FLOW(Y) Lowest at CNY 534.32 MM
- INTEREST(9M) At CNY 1.3 MM has Grown at 15.03%
- NET SALES(Q) Lowest at CNY 353.36 MM
3
Below par performance in long term as well as near term
- Along with generating -2.49% returns in the last 1 year, the stock has also underperformed China Shanghai Composite in the last 3 years, 1 year and 3 months
How much should you sell?
- All quantity irrespective of whether you are making profits or losses
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Pharmaceuticals & Biotechnology)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Liaoning Chengda Biotechnology Co. Ltd. for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
Liaoning Chengda Biotechnology Co. Ltd.
-100.0%
0.04
22.32%
China Shanghai Composite
15.44%
1.01
14.52%
Quality key factors
Factor
Value
Sales Growth (5y)
-2.26%
EBIT Growth (5y)
-22.75%
EBIT to Interest (avg)
100.00
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.56
Sales to Capital Employed (avg)
0.18
Tax Ratio
10.80%
Dividend Payout Ratio
96.39%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
23,213.24%
ROE (avg)
16,776.56%
Valuation Key Factors 
Factor
Value
P/E Ratio
41
Industry P/E
Price to Book Value
1.18
EV to EBIT
27.97
EV to EBITDA
15.20
EV to Capital Employed
1.40
EV to Sales
3.99
PEG Ratio
NA
Dividend Yield
1.30%
ROCE (Latest)
4.99%
ROE (Latest)
2.87%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Mildly Bullish (Daily)
KST
Bearish
Bearish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
Mildly Bearish
Mildly Bullish
Technical Movement
1What is working for the Company
RAW MATERIAL COST(Y)
Fallen by -3.17% (YoY
-11What is not working for the Company
OPERATING CASH FLOW(Y)
Lowest at CNY 534.32 MM
INTEREST(9M)
At CNY 1.3 MM has Grown at 15.03%
NET SALES(Q)
Lowest at CNY 353.36 MM
Here's what is working for Liaoning Chengda Biotechnology Co. Ltd.
Raw Material Cost
Fallen by -3.17% (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 Liaoning Chengda Biotechnology Co. Ltd.
Interest
At CNY 1.1 MM has Grown at 23.57%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (CNY MM)
Operating Cash Flow
Lowest at CNY 534.32 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 (CNY MM)
Net Sales
Lowest at CNY 353.36 MM
in the last five periodsMOJO Watch
Near term sales trend is negative
Net Sales (CNY MM)






