Lingyun Industrial Corp. Ltd. (600480) 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

Lingyun Industrial Corp. Ltd.

Why is Lingyun Industrial Corp. Ltd. ?

Flat results in Sep 25

OPERATING CASH FLOW(Y) Lowest at CNY 1,695.72 MM
INTEREST COVERAGE RATIO(Q) Lowest at 1,330.05
DEBTORS TURNOVER RATIO(HY) Lowest at 2.82 times

With ROE of 12.74%, it has a very attractive valuation with a 2.21 Price to Book Value

Over the past year, while the stock has generated a return of -4.42%, its profits have risen by 2.9%
At the current price, the company has a high dividend yield of 2.6

Underperformed the market in the last 1 year

Even though the market (China Shanghai Composite) has generated returns of 22.49% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -4.42% returns

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Lingyun Industrial Corp. Ltd. should be less than 10%
Overall Portfolio exposure to Auto Components & Equipments should be less than 30%

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

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

Is Lingyun Industrial Corp. Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Lingyun Industrial Corp. Ltd.

-28.39%

0.07

51.04%

China Shanghai Composite

22.72%

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)

9.13%

EBIT Growth (5y)

15.38%

EBIT to Interest (avg)

7.05

Debt to EBITDA (avg)

0.64

Net Debt to Equity (avg)

-0.01

Sales to Capital Employed (avg)

1.75

Tax Ratio

12.09%

Dividend Payout Ratio

57.57%

Pledged Shares

Institutional Holding

ROCE (avg)

10.65%

ROE (avg)

11.35%

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

1.69

EV to EBIT

14.04

EV to EBITDA

7.41

EV to Capital Employed

1.67

EV to Sales

0.68

PEG Ratio

Dividend Yield

2.81%

ROCE (Latest)

11.92%

ROE (Latest)

13.31%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Mildly Bearish

RSI

No Signal

Bullish

Bollinger Bands

Mildly Bullish

Mildly Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bullish

Mildly Bearish

Dow Theory

Mildly Bullish

OBV

No Trend

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

RAW MATERIAL COST(Y)

Fallen by 0.13% (YoY

CASH AND EQV(HY)

Highest at CNY 7,242.12 MM

DEBT-EQUITY RATIO (HY)

Lowest at -0.51 %

-9What is not working for the Company

INTEREST COVERAGE RATIO(Q)

Lowest at 1,768.67

OPERATING PROFIT(Q)

Lowest at CNY 236.01 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 5.17 %

PRE-TAX PROFIT(Q)

Lowest at CNY 222.9 MM

NET PROFIT(Q)

Lowest at CNY 153.39 MM

EPS(Q)

Lowest at CNY 0.13

Here's what is working for Lingyun Industrial Corp. Ltd.

Cash and Eqv

Highest at CNY 7,242.12 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio

Lowest at -0.51 %

in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Raw Material Cost

Fallen by 0.13% (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 Lingyun Industrial Corp. Ltd.

Interest Coverage Ratio

Lowest at 1,768.67

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Operating Profit

Lowest at CNY 236.01 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 5.17 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at CNY 222.9 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (CNY MM)

Pre-Tax Profit

Fallen at -25.76%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (CNY MM)

Net Profit

Lowest at CNY 153.39 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CNY MM)

Net Profit

Fallen at -28.72%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CNY MM)

EPS

Lowest at CNY 0.13

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (CNY)