Nanjing Julong Science & Technology Co., Ltd. (300644) 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 Julong Science & Technology Co., Ltd.

Why is Nanjing Julong Science & Technology Co., Ltd. ?

The company is Net-Debt Free

Poor long term growth as Net Sales has grown by an annual rate of 15.95% and Operating profit at 11.04% over the last 5 years
The company is Net-Debt Free
The company has been able to generate a Return on Equity (avg) of 7.69% signifying low profitability per unit of shareholders funds

Negative results in Mar 26

OPERATING CASH FLOW(Y) Lowest at CNY -40.9 MM
INTEREST(HY) At CNY 14.76 MM has Grown at 7.28%
INTEREST COVERAGE RATIO(Q) Lowest at 448.7

Underperformed the market in the last 1 year

Even though the market (China Shanghai Composite) has generated returns of 16.83% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -2.27% returns

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 Specialty Chemicals)

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

Is Nanjing Julong Science & Technology Co., Ltd. for you?

High Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Nanjing Julong Science & Technology Co., Ltd.

-42.27%

0.45

51.39%

China Shanghai Composite

3.23%

1.20

14.07%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

15.95%

EBIT Growth (5y)

11.04%

EBIT to Interest (avg)

3.49

Debt to EBITDA (avg)

4.52

Net Debt to Equity (avg)

0.78

Sales to Capital Employed (avg)

1.27

Tax Ratio

8.36%

Dividend Payout Ratio

20.44%

Pledged Shares

Institutional Holding

ROCE (avg)

5.32%

ROE (avg)

7.69%

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

2.33

EV to EBIT

23.31

EV to EBITDA

16.84

EV to Capital Employed

1.77

EV to Sales

1.20

PEG Ratio

0.63

Dividend Yield

1.03%

ROCE (Latest)

7.59%

ROE (Latest)

11.24%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bullish

Mildly Bearish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

Mildly Bearish

Mildly Bullish

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

1What is working for the Company

NET SALES(Q)

At CNY 814.16 MM has Grown at 22.86%

-23What is not working for the Company

DEBT-EQUITY RATIO (HY)

Highest at 96.97 %

INTEREST COVERAGE RATIO(Q)

Lowest at 339.12

RAW MATERIAL COST(Y)

Grown by 35.26% (YoY

OPERATING PROFIT(Q)

Lowest at CNY 22.76 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 2.8 %

PRE-TAX PROFIT(Q)

Lowest at CNY -1.37 MM

NET PROFIT(Q)

Lowest at CNY -1.05 MM

EPS(Q)

Lowest at CNY -0.01

Here's what is working for Nanjing Julong Science & Technology Co., Ltd.

Net Sales

At CNY 814.16 MM has Grown at 22.86%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Depreciation

Highest at CNY 21.96 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (CNY MM)

Depreciation

At CNY 21.96 MM has Grown at inf%

period on period (QoQ)

MOJO Watch

The expenditure on assets done by the company has gone into productive use which should positively reflect in the future sales

Depreciation (CNY MM)

Here's what is not working for Nanjing Julong Science & Technology Co., Ltd.

Pre-Tax Profit

At CNY -1.37 MM has Fallen at -104.23%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Net Profit

At CNY -1.05 MM has Fallen at -103.9%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Interest Coverage Ratio

Lowest at 339.12

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Debt-Equity Ratio

Highest at 96.97 % and Grown

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

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Operating Profit

Lowest at CNY 22.76 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 2.8 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at CNY -1.37 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (CNY MM)

Net Profit

Lowest at CNY -1.05 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CNY MM)

EPS

Lowest at CNY -0.01

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (CNY)

Raw Material Cost

Grown by 35.26% (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

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