Lihuayi Weiyuan Chemical Co., Ltd. () 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

Lihuayi Weiyuan Chemical Co., Ltd.

Why is Lihuayi Weiyuan Chemical Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of 2.02% and Operating profit at -154.98% over the last 5 years

With a fall in Net Profit of -67.71%, the company declared Very Negative results in Sep 25

The company has declared negative results for the last 2 consecutive quarters
NET PROFIT(HY) At CNY -16.07 MM has Grown at -123.36%
INTEREST(HY) At CNY 34.6 MM has Grown at 215.18%
OPERATING CASH FLOW(Y) Lowest at CNY 599.77 MM

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 30.79%, its profits have fallen by -242.8%

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 Specialty Chemicals)

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

Is Lihuayi Weiyuan Chemical Co., Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Lihuayi Weiyuan Chemical Co., Ltd.

9.58%

0.42

39.05%

China Shanghai Composite

16.67%

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)

2.02%

EBIT Growth (5y)

-154.98%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

2.72

Net Debt to Equity (avg)

0.30

Sales to Capital Employed (avg)

0.73

Tax Ratio

19.74%

Dividend Payout Ratio

29.15%

Pledged Shares

Institutional Holding

ROCE (avg)

15.36%

ROE (avg)

6.78%

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

0.92

EV to EBIT

-46.71

EV to EBITDA

16.01

EV to Capital Employed

0.94

EV to Sales

1.06

PEG Ratio

Dividend Yield

ROCE (Latest)

-2.01%

ROE (Latest)

-1.74%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

Mildly Bullish

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

7What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -28.77% (YoY

PRE-TAX PROFIT(Q)

At CNY -11.96 MM has Grown at 73.17%

NET PROFIT(Q)

At CNY -11.84 MM has Grown at 67.7%

-27What is not working for the Company

NET PROFIT(HY)

At CNY -16.07 MM has Grown at -123.36%

INTEREST(HY)

At CNY 34.6 MM has Grown at 215.18%

OPERATING CASH FLOW(Y)

Lowest at CNY 599.77 MM

ROCE(HY)

Lowest at -2.47%

NET SALES(Q)

Lowest at CNY 2,151.68 MM

OPERATING PROFIT(Q)

Lowest at CNY -6.81 MM

OPERATING PROFIT MARGIN(Q)

Lowest at -0.32 %

Here's what is working for Lihuayi Weiyuan Chemical Co., Ltd.

Pre-Tax Profit

At CNY -11.96 MM has Grown at 73.17%

over average net sales of the previous four periods of CNY -44.57 MM

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

At CNY -11.84 MM has Grown at 67.7%

over average net sales of the previous four periods of CNY -36.66 MM

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

Raw Material Cost

Fallen by -28.77% (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 Lihuayi Weiyuan Chemical Co., Ltd.

Interest

At CNY 34.6 MM has Grown at 215.18%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Operating Cash Flow

Lowest at CNY 599.77 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CNY MM)

Net Sales

Lowest at CNY 2,151.68 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Net Sales

At CNY 2,151.68 MM has Fallen at -10.34%

over average net sales of the previous four periods of CNY 2,399.87 MM

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Operating Profit

Lowest at CNY -6.81 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at -0.32 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales