Nanjing Hicin Pharmaceutical Co., Ltd. (300584) 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 Hicin Pharmaceutical Co., Ltd.

Why is Nanjing Hicin Pharmaceutical Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 4.33%

The company has been able to generate a Return on Capital Employed (avg) of 4.33% signifying low profitability per unit of total capital (equity and debt)

Poor long term growth as Net Sales has grown by an annual rate of -0.39% and Operating profit at 5.03% over the last 5 years

Positive results in Mar 26

NET SALES(HY) At CNY 359.86 MM has Grown at 25.6%
NET PROFIT(HY) At CNY 42.3 MM has Grown at 55.88%
DEBT-EQUITY RATIO (HY) Lowest at 21.01 %

With ROE of 5.39%, it has a expensive valuation with a 1.87 Price to Book Value

Over the past year, while the stock has generated a return of 5.45%, its profits have risen by 38% ; the PEG ratio of the company is 0.9
At the current price, the company has a high dividend yield of 0.3

Underperformed the market in the last 1 year

The stock has generated a return of 5.45% in the last 1 year, much lower than market (China Shanghai Composite) returns of 23.91%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Nanjing Hicin Pharmaceutical Co., Ltd. should be less than 10%
Overall Portfolio exposure to Pharmaceuticals & Biotechnology should be less than 30%

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

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

Is Nanjing Hicin Pharmaceutical Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Nanjing Hicin Pharmaceutical Co., Ltd.

-6.68%

2.26

71.93%

China Shanghai Composite

23.91%

1.73

13.79%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-0.39%

EBIT Growth (5y)

5.03%

EBIT to Interest (avg)

5.66

Debt to EBITDA (avg)

1.66

Net Debt to Equity (avg)

0.25

Sales to Capital Employed (avg)

0.42

Tax Ratio

Tax Ratio is Negative%

Dividend Payout Ratio

28.53%

Pledged Shares

Institutional Holding

ROCE (avg)

4.33%

ROE (avg)

4.12%

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

1.87

EV to EBIT

28.61

EV to EBITDA

17.37

EV to Capital Employed

1.72

EV to Sales

3.23

PEG Ratio

0.91

Dividend Yield

0.32%

ROCE (Latest)

6.00%

ROE (Latest)

5.39%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

Bearish

Bollinger Bands

Bearish

Bullish

Moving Averages

Mildly Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

No Trend

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

16What is working for the Company

NET SALES(HY)

At CNY 359.86 MM has Grown at 25.6%

NET PROFIT(HY)

At CNY 42.3 MM has Grown at 55.88%

DEBT-EQUITY RATIO (HY)

Lowest at 21.01 %

DEBTORS TURNOVER RATIO(HY)

Highest at 3.47 times

RAW MATERIAL COST(Y)

Fallen by 0.84% (YoY

INVENTORY TURNOVER RATIO(HY)

Highest at 1.94 times

EPS(Q)

Highest at CNY 0.14

-4What is not working for the Company

INTEREST COVERAGE RATIO(Q)

Lowest at 1,242.05

OPERATING PROFIT(Q)

Lowest at CNY 17.96 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 11.2 %

Here's what is working for Nanjing Hicin Pharmaceutical Co., Ltd.

Net Sales

At CNY 359.86 MM has Grown at 25.6%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Net Profit

At CNY 42.3 MM has Grown at 55.88%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

Debt-Equity Ratio

Lowest at 21.01 % 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

Debtors Turnover Ratio

Highest at 3.47 times and Grown

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

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

EPS

Highest at CNY 0.14

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Inventory Turnover Ratio

Highest at 1.94 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Raw Material Cost

Fallen by 0.84% (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 Hicin Pharmaceutical Co., Ltd.

Interest Coverage Ratio

Lowest at 1,242.05

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 17.96 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 11.2 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales