Luyan Pharma Co., Ltd. (002788) 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

Luyan Pharma Co., Ltd.

Why is Luyan Pharma 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 6.46% and Operating profit at 2.91% 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 11.96% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 6.46% and Operating profit at 2.91% over the last 5 years

Negative results in Sep 25

OPERATING CASH FLOW(Y) Lowest at CNY 609.46 MM
ROCE(HY) Lowest at 9.76%
INTEREST COVERAGE RATIO(Q) Lowest at 320.97

With ROE of 9.76%, it has a fair valuation with a 0.99 Price to Book Value

Over the past year, while the stock has generated a return of 62.06%, its profits have fallen by -15%
At the current price, the company has a high dividend yield of 4.2

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 Retailing)

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

Is Luyan Pharma Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Luyan Pharma Co., Ltd.

62.06%

1.35

50.88%

China Shanghai Composite

16.01%

1.07

14.99%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

6.46%

EBIT Growth (5y)

2.91%

EBIT to Interest (avg)

3.24

Debt to EBITDA (avg)

6.98

Net Debt to Equity (avg)

1.87

Sales to Capital Employed (avg)

2.18

Tax Ratio

23.83%

Dividend Payout Ratio

39.34%

Pledged Shares

Institutional Holding

ROCE (avg)

8.02%

ROE (avg)

11.96%

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

0.98

EV to EBIT

14.32

EV to EBITDA

11.70

EV to Capital Employed

0.99

EV to Sales

0.44

PEG Ratio

Dividend Yield

4.24%

ROCE (Latest)

6.95%

ROE (Latest)

9.76%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bearish

OBV

Mildly Bearish

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

2What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -5.38% (YoY

NET SALES(Q)

Highest at CNY 5,455.38 MM

-15What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at CNY 609.46 MM

ROCE(HY)

Lowest at 9.76%

INTEREST COVERAGE RATIO(Q)

Lowest at 320.97

DEBT-EQUITY RATIO (HY)

Highest at 196.36 %

INVENTORY TURNOVER RATIO(HY)

Lowest at 7.12 times

DEBTORS TURNOVER RATIO(HY)

Lowest at 3.27 times

OPERATING PROFIT(Q)

Lowest at CNY 130.17 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 2.39 %

PRE-TAX PROFIT(Q)

Lowest at CNY 83.54 MM

NET PROFIT(Q)

Lowest at CNY 65.14 MM

EPS(Q)

Lowest at CNY 0.17

Here's what is working for Luyan Pharma Co., Ltd.

Net Sales

Highest at CNY 5,455.38 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Raw Material Cost

Fallen by -5.38% (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 Luyan Pharma Co., Ltd.

Operating Cash Flow

Lowest at CNY 609.46 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CNY MM)

Interest Coverage Ratio

Lowest at 320.97

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 130.17 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 2.39 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at CNY 83.54 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 65.14 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CNY MM)

EPS

Lowest at CNY 0.17

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (CNY)

Debt-Equity Ratio

Highest at 196.36 %

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

Inventory Turnover Ratio

Lowest at 7.12 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Debtors Turnover Ratio

Lowest at 3.27 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio