NBTM New Materials Group Co., Ltd. (600114) 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

NBTM New Materials Group Co., Ltd.

Why is NBTM New Materials Group Co., Ltd. ?

The company has declared Positive results for the last 7 consecutive quarters

OPERATING CASH FLOW(Y) Highest at CNY 705.26 MM
NET SALES(HY) At CNY 2,901.98 MM has Grown at 24.39%
ROCE(HY) Highest at 17.09%

With ROE of 20.47%, it has a very expensive valuation with a 6.90 Price to Book Value

Over the past year, while the stock has generated a return of 56.02%, its profits have risen by 56.6% ; the PEG ratio of the company is 0.6
At the current price, the company has a high dividend yield of 0.9

Consistent Returns over the last 3 years

Along with generating 56.02% returns in the last 1 year, the stock has outperformed China Shanghai Composite in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to NBTM New Materials Group Co., Ltd. should be less than 10%
Overall Portfolio exposure to Industrial Manufacturing should be less than 30%

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

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

Is NBTM New Materials Group Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

NBTM New Materials Group Co., Ltd.

56.02%

2.66

47.42%

China Shanghai Composite

24.8%

1.76

14.08%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

16.54%

EBIT Growth (5y)

10.94%

EBIT to Interest (avg)

2.91

Debt to EBITDA (avg)

3.95

Net Debt to Equity (avg)

0.94

Sales to Capital Employed (avg)

0.81

Tax Ratio

1.72%

Dividend Payout Ratio

46.58%

Pledged Shares

Institutional Holding

ROCE (avg)

5.60%

ROE (avg)

8.62%

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

6.90

EV to EBIT

35.53

EV to EBITDA

21.69

EV to Capital Employed

4.06

EV to Sales

3.98

PEG Ratio

0.60

Dividend Yield

0.93%

ROCE (Latest)

11.43%

ROE (Latest)

20.47%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

No Trend

OBV

No Trend

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

21What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 705.26 MM

NET SALES(HY)

At CNY 2,901.98 MM has Grown at 24.39%

ROCE(HY)

Highest at 17.09%

INTEREST COVERAGE RATIO(Q)

Highest at 1,290.62

RAW MATERIAL COST(Y)

Fallen by -5.58% (YoY

CASH AND EQV(HY)

Highest at CNY 1,013.31 MM

DEBT-EQUITY RATIO (HY)

Lowest at 96.86 %

INVENTORY TURNOVER RATIO(HY)

Highest at 4.37%

OPERATING PROFIT(Q)

Highest at CNY 298.47 MM

OPERATING PROFIT MARGIN(Q)

Highest at 20.48 %

PRE-TAX PROFIT(Q)

Highest at CNY 190.21 MM

NET PROFIT(Q)

Highest at CNY 149.21 MM

EPS(Q)

Highest at CNY 0.24

0What is not working for the Company

NO KEY NEGATIVE TRIGGERS

Here's what is working for NBTM New Materials Group Co., Ltd.

Operating Cash Flow

Highest at CNY 705.26 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)

Interest Coverage Ratio

Highest at 1,290.62

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Net Sales

At CNY 2,901.98 MM has Grown at 24.39%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Operating Profit

Highest at CNY 298.47 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (CNY MM)

Operating Profit Margin

Highest at 20.48 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at CNY 190.21 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

Highest at CNY 149.21 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY 0.24

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Cash and Eqv

Highest at CNY 1,013.31 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio

Lowest at 96.86 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Inventory Turnover Ratio

Highest at 4.37%

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 -5.58% (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