Minmetals Development Co., Ltd. (600058) 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

Minmetals Development Co., Ltd.

Why is Minmetals Development 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 -3.25% and Operating profit at 3.94% 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 5.63% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of -3.25% and Operating profit at 3.94% over the last 5 years

Negative results in Sep 25

NET SALES(HY) At CNY 28,535.78 MM has Grown at -22.69%
NET PROFIT(Q) At CNY 9.66 MM has Fallen at -75.78%
DEBTORS TURNOVER RATIO(HY) Lowest at 4.35 times

With ROE of 3.44%, it has a very expensive valuation with a 1.91 Price to Book Value

Over the past year, while the stock has generated a return of 64.71%, its profits have risen by 1059.6% ; the PEG ratio of the company is 0.1

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 Trading & Distributors)

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

Is Minmetals Development Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Minmetals Development Co., Ltd.

44.41%

1.67

44.06%

China Shanghai Composite

23.91%

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)

-7.40%

EBIT Growth (5y)

-11.32%

EBIT to Interest (avg)

3.13

Debt to EBITDA (avg)

11.68

Net Debt to Equity (avg)

2.24

Sales to Capital Employed (avg)

3.59

Tax Ratio

45.49%

Dividend Payout Ratio

188.76%

Pledged Shares

Institutional Holding

ROCE (avg)

5.73%

ROE (avg)

5.63%

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

2.04

EV to EBIT

58.67

EV to EBITDA

41.36

EV to Capital Employed

1.35

EV to Sales

0.39

PEG Ratio

Dividend Yield

0.36%

ROCE (Latest)

2.30%

ROE (Latest)

-0.17%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bullish

Moving Averages

Bullish (Daily)

KST

Bearish

Bullish

Dow Theory

Mildly Bullish

Mildly Bearish

OBV

No Trend

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

4What is working for the Company

DEBT-EQUITY RATIO (HY)

Lowest at 203.8 %

CASH AND EQV(HY)

Highest at CNY 6,047.46 MM

NET PROFIT(Q)

At CNY 14.57 MM has Grown at 71.52%

-30What is not working for the Company

NET PROFIT(HY)

At CNY -64.87 MM has Grown at -231.85%

PRE-TAX PROFIT(Q)

At CNY 20.72 MM has Fallen at -63.09%

ROCE(HY)

Lowest at -0.63%

DEBTORS TURNOVER RATIO(HY)

Lowest at 4.16 times

RAW MATERIAL COST(Y)

Grown by 7.72% (YoY

NET SALES(Q)

Lowest at CNY 10,588.21 MM

OPERATING PROFIT(Q)

Lowest at CNY 63.66 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 0.6 %

Here's what is working for Minmetals Development Co., Ltd.

Debt-Equity Ratio

Lowest at 203.8 % and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Net Profit

At CNY 14.57 MM has Grown at 71.52%

over average net sales of the previous four periods of CNY 8.49 MM

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

Cash and Eqv

Highest at CNY 6,047.46 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

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

Net Sales

At CNY 10,588.21 MM has Fallen at -19.82%

over average net sales of the previous four periods of CNY 13,205.74 MM

MOJO Watch

Near term sales trend is extremely negative

Net Sales (CNY MM)

Pre-Tax Profit

At CNY 20.72 MM has Fallen at -63.09%

over average net sales of the previous four periods of CNY 56.12 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Debtors Turnover Ratio

Lowest at 4.16 times and Fallen

In each half year in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Net Sales

Lowest at CNY 10,588.21 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Operating Profit

Lowest at CNY 63.66 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 0.6 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Raw Material Cost

Grown by 7.72% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales