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

The stock has generated a return of 6.82% 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 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.

5.17%

0.47

50.98%

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)

15.95%

EBIT Growth (5y)

11.04%

EBIT to Interest (avg)

5.30

Debt to EBITDA (avg)

4.28

Net Debt to Equity (avg)

0.78

Sales to Capital Employed (avg)

1.27

Tax Ratio

13.79%

Dividend Payout Ratio

20.44%

Pledged Shares

Institutional Holding

ROCE (avg)

5.55%

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

2.03

EV to EBIT

21.02

EV to EBITDA

15.19

EV to Capital Employed

1.60

EV to Sales

1.08

PEG Ratio

0.55

Dividend Yield

1.18%

ROCE (Latest)

7.59%

ROE (Latest)

11.24%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly Bullish

Mildly Bearish

OBV

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

RAW MATERIAL COST(Y)

Fallen by -1.21% (YoY

-11What is not working for the Company

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

NET SALES(Q)

Lowest at CNY 593.73 MM

OPERATING PROFIT(Q)

Lowest at CNY 32.23 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 5.43 %

NET PROFIT(Q)

Lowest at CNY 25.94 MM

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

Raw Material Cost

Fallen by -1.21% (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 Julong Science & Technology Co., Ltd.

Operating Cash Flow

Lowest at CNY -40.9 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CNY MM)

Interest Coverage Ratio

Lowest at 448.7

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Interest

At CNY 14.76 MM has Grown at 7.28%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Net Sales

Lowest at CNY 593.73 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Operating Profit

Lowest at CNY 32.23 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 5.43 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Net Profit

Lowest at CNY 25.94 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CNY MM)