Why is Modern Avenue Group Co., Ltd. ?
1
Poor Management Efficiency with a low ROCE of 0%
- The company has reported losses and also has negative networth. This is not a good sign for the investors. Either company will have to raise fresh capital or report profits to sustain going forward
2
Poor long term growth as Net Sales has grown by an annual rate of -18.82% and Operating profit at 14.62% over the last 5 years
3
Risky -
- The stock is trading risky as compared to its average historical valuations
- Over the past year, while the stock has generated a return of 84.06%, its profits have risen by 80.3%
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 Footwear)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Modern Avenue Group Co., Ltd. for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Modern Avenue Group Co., Ltd.
107.58%
3.09
43.07%
China Shanghai Composite
14.77%
1.01
15.10%
Quality key factors
Factor
Value
Sales Growth (5y)
-18.82%
EBIT Growth (5y)
14.62%
EBIT to Interest (avg)
-23.95
Debt to EBITDA (avg)
Negative Net Debt
Net Debt to Equity (avg)
-0.86
Sales to Capital Employed (avg)
0.62
Tax Ratio
0.33%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
0
ROE (avg)
0.94%
Valuation Key Factors 
Factor
Value
P/E Ratio
NA (Loss Making)
Industry P/E
Price to Book Value
2.35
EV to EBIT
-34.40
EV to EBITDA
54.77
EV to Capital Employed
5.00
EV to Sales
2.19
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
-14.54%
ROE (Latest)
-4.89%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Bullish
Dow Theory
Mildly Bullish
Mildly Bullish
OBV
Mildly Bearish
No Trend
Technical Movement
22What is working for the Company
OPERATING CASH FLOW(Y)
Highest at CNY 22.76 MM
ROCE(HY)
Highest at -1.06%
DEBTORS TURNOVER RATIO(HY)
Highest at 5.75%
PRE-TAX PROFIT(Q)
At CNY 3.28 MM has Grown at 106.08%
NET PROFIT(Q)
At CNY 3.28 MM has Grown at 106.11%
DEBT-EQUITY RATIO
(HY)
Lowest at -83.56 %
INVENTORY TURNOVER RATIO(HY)
Highest at 1.5%
NET SALES(Q)
Highest at CNY 91.54 MM
-1What is not working for the Company
RAW MATERIAL COST(Y)
Grown by 18.75% (YoY
Here's what is working for Modern Avenue Group Co., Ltd.
Operating Cash Flow
Highest at CNY 22.76 MM and Grown
In each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (CNY MM)
Net Sales
At CNY 91.54 MM has Grown at 45.28%
Year on Year (YoY)MOJO Watch
Near term sales trend is very positive
Net Sales (CNY MM)
Pre-Tax Profit
At CNY 3.28 MM has Grown at 106.08%
Year on Year (YoY)MOJO Watch
Near term Pre-Tax Profit trend is very positive
Pre-Tax Profit (CNY MM)
Net Profit
At CNY 3.28 MM has Grown at 106.11%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is very positive
Net Profit (CNY MM)
Debtors Turnover Ratio
Highest at 5.75% and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Net Sales
Highest at CNY 91.54 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (CNY MM)
Debt-Equity Ratio
Lowest at -83.56 %
in the last five Semi-Annual periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Inventory Turnover Ratio
Highest at 1.5%
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Here's what is not working for Modern Avenue Group Co., Ltd.
Raw Material Cost
Grown by 18.75% (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






