Linhai Co., Ltd. (600099) 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

Linhai Co., Ltd.

Why is Linhai Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 1.26%

The company has been able to generate a Return on Capital Employed (avg) of 1.26% signifying low profitability per unit of total capital (equity and debt)

With ROE of 4.00%, it has a expensive valuation with a 4.32 Price to Book Value

Over the past year, while the stock has generated a return of 16.95%, its profits have risen by 77.4% ; the PEG ratio of the company is 1.4
At the current price, the company has a high dividend yield of 0.3

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 Automobiles)

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

Is Linhai Co., Ltd. for you?

Medium Risk, High Return

Absolute

Risk Adjusted

Volatility

Linhai Co., Ltd.

7.76%

1.91

27.78%

China Shanghai Composite

15.17%

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)

13.74%

EBIT Growth (5y)

62.61%

EBIT to Interest (avg)

4.88

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.25

Sales to Capital Employed (avg)

1.35

Tax Ratio

11.05%

Dividend Payout Ratio

35.67%

Pledged Shares

Institutional Holding

ROCE (avg)

1.26%

ROE (avg)

2.49%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

108

Industry P/E

Price to Book Value

4.32

EV to EBIT

185.85

EV to EBITDA

90.08

EV to Capital Employed

5.21

EV to Sales

1.86

PEG Ratio

1.40

Dividend Yield

0.28%

ROCE (Latest)

2.80%

ROE (Latest)

4.00%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

No Trend

OBV

Mildly Bearish

Mildly 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

5What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 573.59 MM

ROCE(HY)

Highest at 3.94%

-14What is not working for the Company

DEBT-EQUITY RATIO (HY)

Highest at 3.79 %

NET SALES(Q)

Lowest at CNY 222.97 MM

OPERATING PROFIT(Q)

Lowest at CNY 0.83 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 0.37 %

PRE-TAX PROFIT(Q)

Lowest at CNY 3.66 MM

NET PROFIT(Q)

Lowest at CNY 2.87 MM

EPS(Q)

Lowest at CNY 0.01

Here's what is working for Linhai Co., Ltd.

Operating Cash Flow

Highest at CNY 573.59 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Here's what is not working for Linhai Co., Ltd.

Net Sales

At CNY 222.97 MM has Fallen at -25.4%

over average net sales of the previous four periods of CNY 298.9 MM

MOJO Watch

Near term sales trend is extremely negative

Net Sales (CNY MM)

Pre-Tax Profit

At CNY 3.66 MM has Fallen at -44.69%

over average net sales of the previous four periods of CNY 6.61 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 2.87 MM has Fallen at -46.6%

over average net sales of the previous four periods of CNY 5.38 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Net Sales

Lowest at CNY 222.97 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Operating Profit

Lowest at CNY 0.83 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 0.37 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at CNY 3.66 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (CNY MM)

Net Profit

Lowest at CNY 2.87 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CNY MM)

EPS

Lowest at CNY 0.01

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (CNY)

Debt-Equity Ratio

Highest at 3.79 %

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