Nanjing Chemical Fibre Co., Ltd. (600889) 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

Nanjing Chemical Fibre Co., Ltd.

Why is Nanjing Chemical Fibre Co., Ltd. ?

With a growth in Net Profit of 186.08%, the company declared Very Positive results in Jun 26

The company has declared positive results for the last 2 consecutive quarters
OPERATING CASH FLOW(Y) Highest at CNY 135.66 MM
NET PROFIT(Q) At CNY 34.76 MM has Grown at 717.28%
ROCE(HY) Highest at 3.75%

With ROE of -3.61%, it has a risky valuation with a 7.89 Price to Book Value

Over the past year, while the stock has generated a return of -15.07%, its profits have risen by 92%

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Nanjing Chemical Fibre Co., Ltd. should be less than 10%
Overall Portfolio exposure to Garments & Apparels should be less than 30%

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

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

Is Nanjing Chemical Fibre Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Nanjing Chemical Fibre Co., Ltd.

-13.93%

4.73

37.18%

China Shanghai Composite

3.23%

0.23

14.72%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

1.68%

EBIT Growth (5y)

2.36%

EBIT to Interest (avg)

-46.83

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

1.02

Sales to Capital Employed (avg)

0.50

Tax Ratio

5.93%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

ROE (avg)

2.17%

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

7.89

EV to EBIT

-76.26

EV to EBITDA

-140.98

EV to Capital Employed

7.39

EV to Sales

18.79

PEG Ratio

Dividend Yield

ROCE (Latest)

-9.69%

ROE (Latest)

-3.61%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

No Trend

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

30What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 135.66 MM

NET PROFIT(Q)

At CNY 34.76 MM has Grown at 717.28%

ROCE(HY)

Highest at 3.75%

RAW MATERIAL COST(Y)

Fallen by -70.9% (YoY

CASH AND EQV(HY)

Highest at CNY 789.97 MM

DEBT-EQUITY RATIO (HY)

Lowest at -19.23 %

NET SALES(Q)

At CNY 187.33 MM has Grown at 21.83%

OPERATING PROFIT(Q)

Highest at CNY 45.3 MM

OPERATING PROFIT MARGIN(Q)

Highest at 24.18 %

PRE-TAX PROFIT(Q)

Highest at CNY 36.99 MM

-4What is not working for the Company

INTEREST(Q)

At CNY 2.66 MM has Grown at 1,292.34%

INVENTORY TURNOVER RATIO(HY)

Lowest at 2.89 times

Here's what is working for Nanjing Chemical Fibre Co., Ltd.

Pre-Tax Profit

At CNY 36.99 MM has Grown at 1,197.7%

over average net sales of the previous four periods of CNY -3.37 MM

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 34.76 MM has Grown at 717.28%

over average net sales of the previous four periods of CNY -5.63 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (CNY MM)

Operating Cash Flow

Highest at CNY 135.66 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Net Sales

At CNY 187.33 MM has Grown at 21.83%

over average net sales of the previous four periods of CNY 153.76 MM

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Operating Profit

Highest at CNY 45.3 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (CNY MM)

Operating Profit Margin

Highest at 24.18 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at CNY 36.99 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Cash and Eqv

Highest at CNY 789.97 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio

Lowest at -19.23 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Raw Material Cost

Fallen by -70.9% (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 Nanjing Chemical Fibre Co., Ltd.

Interest

At CNY 2.66 MM has Grown at 1,292.34%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Inventory Turnover Ratio

Lowest at 2.89 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio