Liaoning Energy Industry Co., Ltd. (600758) 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

Liaoning Energy Industry Co., Ltd.

Why is Liaoning Energy Industry Co., Ltd. ?

High Debt Company with a Debt to Equity ratio (avg) at times

Poor long term growth as Net Sales has grown by an annual rate of -4.24% and Operating profit at 36.57% over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times
The company has been able to generate a Return on Equity (avg) of 2.44% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of -4.24% and Operating profit at 36.57% over the last 5 years

With a fall in Net Sales of -17.38%, the company declared Very Negative results in Sep 25

The company has declared negative results in Jan 70 after 3 consecutive negative quarters
NET SALES(Q) At CNY 1,012.85 MM has Fallen at -17.38%
OPERATING PROFIT MARGIN(Q) Lowest at -5.69 %
RAW MATERIAL COST(Y) Grown by 59.91% (YoY)

With ROE of 3.63%, it has a very expensive valuation with a 0.89 Price to Book Value

Over the past year, while the stock has generated a return of 15.43%, its profits have risen by 192.4% ; the PEG ratio of the company is 0.1
At the current price, the company has a high dividend yield of 1.4

Real-Time Research Report

Verdict Report

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 Miscellaneous)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Liaoning Energy Industry Co., Ltd. for you?

High Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Liaoning Energy Industry Co., Ltd.

-11.8%

0.81

39.68%

China Shanghai Composite

19.22%

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)

-2.47%

EBIT Growth (5y)

-208.81%

EBIT to Interest (avg)

1.77

Debt to EBITDA (avg)

3.23

Net Debt to Equity (avg)

0.24

Sales to Capital Employed (avg)

0.52

Tax Ratio

57.71%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

5.26%

ROE (avg)

2.44%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

1.13

EV to EBIT

-15.51

EV to EBITDA

93.97

EV to Capital Employed

1.11

EV to Sales

1.68

PEG Ratio

Dividend Yield

0.70%

ROCE (Latest)

-7.14%

ROE (Latest)

-9.07%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

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

3What is working for the Company

DEBTORS TURNOVER RATIO(HY)

Highest at 4.73 times

CASH AND EQV(HY)

Highest at CNY 7,571.35 MM

-34What is not working for the Company

NET SALES(Q)

At CNY 1,078.88 MM has Fallen at -27.41%

PRE-TAX PROFIT(Q)

At CNY -170.88 MM has Fallen at -270.87%

NET PROFIT(Q)

At CNY -115.59 MM has Fallen at -222.5%

ROCE(HY)

Lowest at -8.79%

OPERATING PROFIT(Q)

Lowest at CNY -134.03 MM

OPERATING PROFIT MARGIN(Q)

Lowest at -12.42 %

RAW MATERIAL COST(Y)

Grown by 100.56% (YoY

Here's what is working for Liaoning Energy Industry Co., Ltd.

Debtors Turnover Ratio

Highest at 4.73 times and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Cash and Eqv

Highest at CNY 7,571.35 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Here's what is not working for Liaoning Energy Industry Co., Ltd.

Net Sales

At CNY 1,078.88 MM has Fallen at -27.41%

Year on Year (YoY)

MOJO Watch

Near term sales trend is extremely negative

Net Sales (CNY MM)

Pre-Tax Profit

At CNY -170.88 MM has Fallen at -270.87%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Net Profit

At CNY -115.59 MM has Fallen at -222.5%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Operating Profit

Lowest at CNY -134.03 MM and Fallen

In each period in the last five periods

MOJO Watch

Near term Operating Profit trend is quite negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at -12.42 % and Fallen

In each period in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Raw Material Cost

Grown by 100.56% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales