Liuzhou Iron & Steel Co., Ltd. (601003) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Liuzhou Iron & Steel Co., Ltd.

Why is Liuzhou Iron & Steel Co., Ltd. ?

With a growth in Net Sales of 2.58%, the company declared Very Positive results in Mar 25

PRE-TAX PROFIT(Q) At CNY 456.2 MM has Grown at 401.97%
OPERATING CASH FLOW(Y) Highest at CNY 6,691.58 MM
ROCE(HY) Highest at -2.4%

With ROE of 0.26%, it has a risky valuation with a 1.52 Price to Book Value

Over the past year, while the stock has generated a return of 58.90%, its profits have risen by 102.5% ; the PEG ratio of the company is 5.8

Market Beating Performance

The stock has generated a return of 58.90% in the last 1 year, much higher than market (China Shanghai Composite) returns of 14.77%

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Liuzhou Iron & Steel Co., Ltd. should be less than 10%
Overall Portfolio exposure to Ferrous Metals should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Ferrous Metals)

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

Is Liuzhou Iron & Steel Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Liuzhou Iron & Steel Co., Ltd.

58.9%

1.51

52.62%

China Shanghai Composite

14.77%

1.01

14.58%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

6.56%

EBIT Growth (5y)

-16.74%

EBIT to Interest (avg)

1.52

Debt to EBITDA (avg)

23.10

Net Debt to Equity (avg)

3.20

Sales to Capital Employed (avg)

1.76

Tax Ratio

1.35%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

2.26%

ROE (avg)

5.00%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

594

Industry P/E

Price to Book Value

1.52

EV to EBIT

47.05

EV to EBITDA

11.12

EV to Capital Employed

1.13

EV to Sales

0.59

PEG Ratio

5.80

Dividend Yield

ROCE (Latest)

2.40%

ROE (Latest)

0.26%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

Bullish

Bearish

Bollinger Bands

Mildly Bearish

Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bearish

OBV

Mildly Bearish

No Trend

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

22What is working for the Company

PRE-TAX PROFIT(Q)

At CNY 456.2 MM has Grown at 401.97%

OPERATING CASH FLOW(Y)

Highest at CNY 6,691.58 MM

ROCE(HY)

Highest at -2.4%

RAW MATERIAL COST(Y)

Fallen by -50.14% (YoY

NET PROFIT(Q)

Highest at CNY 253.55 MM

EPS(Q)

Highest at CNY 0.1

-8What is not working for the Company

NET SALES(9M)

At CNY 49,274.12 MM has Grown at -20.44%

Here's what is working for Liuzhou Iron & Steel Co., Ltd.

Pre-Tax Profit

At CNY 456.2 MM has Grown at 401.97%

over average net sales of the previous four periods of CNY -151.08 MM

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 253.55 MM has Grown at 334.89%

over average net sales of the previous four periods of CNY -107.95 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (CNY MM)

Operating Cash Flow

Highest at CNY 6,691.58 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Pre-Tax Profit

Highest at CNY 456.2 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

Highest at CNY 253.55 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY 0.1

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Raw Material Cost

Fallen by -50.14% (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 Liuzhou Iron & Steel Co., Ltd.

Net Sales

At CNY 34,049.67 MM has Grown at -19.94%

Year on Year (YoY)

MOJO Watch

Near term sales trend is very negative

Net Sales (CNY MM)