Why is MLS Co., Ltd. ?
1
Poor long term growth as Net Sales has grown by an annual rate of -0.06% and Operating profit at -3.64% over the last 5 years
2
With a fall in Net Sales of -3.49%, the company declared Very Negative results in Mar 25
- The company has declared negative results for the last 2 consecutive quarters
- NET PROFIT(HY) At CNY 155.62 MM has Grown at -39.58%
- INTEREST COVERAGE RATIO(Q) Lowest at 955.2
- CASH AND EQV(HY) Lowest at CNY 8,101.83 MM
3
Underperformed the market in the last 1 year
- The stock has generated a return of 1.34% in the last 1 year, much lower than market (China Shanghai Composite) returns of 15.18%
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 Other Electrical Equipment)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is MLS Co., Ltd. for you?
High Risk, Medium Return
Absolute
Risk Adjusted
Volatility
MLS Co., Ltd.
3.34%
0.33
35.54%
China Shanghai Composite
14.77%
1.01
15.10%
Quality key factors
Factor
Value
Sales Growth (5y)
-0.06%
EBIT Growth (5y)
-3.64%
EBIT to Interest (avg)
3.88
Debt to EBITDA (avg)
0.83
Net Debt to Equity (avg)
-0.03
Sales to Capital Employed (avg)
1.01
Tax Ratio
39.05%
Dividend Payout Ratio
162.83%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
4.85%
ROE (avg)
3.79%
Valuation Key Factors 
Factor
Value
P/E Ratio
32
Industry P/E
Price to Book Value
0.63
EV to EBIT
17.38
EV to EBITDA
4.27
EV to Capital Employed
0.58
EV to Sales
0.42
PEG Ratio
NA
Dividend Yield
6.90%
ROCE (Latest)
3.34%
ROE (Latest)
1.94%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bullish
Mildly Bullish
Moving Averages
Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
Mildly Bullish
No Trend
OBV
Bullish
Bullish
Technical Movement
1What is working for the Company
RAW MATERIAL COST(Y)
Fallen by -2.92% (YoY
-13What is not working for the Company
NET PROFIT(HY)
At CNY 155.62 MM has Grown at -39.58%
INTEREST COVERAGE RATIO(Q)
Lowest at 955.2
CASH AND EQV(HY)
Lowest at CNY 8,101.83 MM
DEBTORS TURNOVER RATIO(HY)
Lowest at 3.29%
NET SALES(Q)
Lowest at CNY 3,868.46 MM
OPERATING PROFIT(Q)
Lowest at CNY 194.82 MM
OPERATING PROFIT MARGIN(Q)
Lowest at 5.04 %
Here's what is working for MLS Co., Ltd.
Raw Material Cost
Fallen by -2.92% (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 MLS Co., Ltd.
Net Profit
At CNY 155.62 MM has Grown at -39.58%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is very negative
Net Profit (CNY MM)
Interest Coverage Ratio
Lowest at 955.2
in the last five periodsMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Net Sales
Lowest at CNY 3,868.46 MM
in the last five periodsMOJO Watch
Near term sales trend is negative
Net Sales (CNY MM)
Operating Profit
Lowest at CNY 194.82 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is negative
Operating Profit (CNY MM)
Operating Profit Margin
Lowest at 5.04 %
in the last five periodsMOJO Watch
Company's profit margin has deteriorated
Operating Profit to Sales
Cash and Eqv
Lowest at CNY 8,101.83 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is deteriorating
Cash and Cash Equivalents
Debtors Turnover Ratio
Lowest at 3.29%
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio






