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Neo-Neon Holdings Ltd.

  • Market Cap: N/A
  • Industry: Electronics & Appliances
  • ISIN: KYG642571015
  • HKG: 1868
HKD
0.16
0 (-0.62%)

Sep 23

HKG

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  • Price Points
  • Score
  • Mojo Parameters
  • Total Return
  • News and Corporate Actions
  • Key factors
  • Shareholding
  • Financials
  • CompanyCV
stock-recommendationScore
Click here to find our call on this stock
Strong Sell
Sell
Hold
Buy
Strong Buy

Comparison

Company
Score
Quality
Valuation
Financial
Technical
Harbin Electric Co. Ltd.
Time Interconnect Technology Ltd.
Leoch International Technology Ltd.
Dongfang Electric Corp. Ltd.
Neo-Neon Holdings Ltd.
Sun King Technology Group Ltd.
Goldwind Science & Technology Co., Ltd.
VPower Group International Holdings Ltd.
China Nature Energy Technology Holdings Ltd.
Xinyi Electric Storage Holdings Ltd.
USPACE Technology Group Ltd.

Why is Neo-Neon Holdings Ltd. ?

1
High Debt company with Weak Long Term Fundamental Strength
  • Poor long term growth as Net Sales has grown by an annual rate of -3.81% over the last 5 years
  • The company is Net-Debt Free
  • The company has been able to generate a Return on Capital Employed (avg) of 1.29% signifying low profitability per unit of total capital (equity and debt)
2
Negative results in Jun 26
  • RAW MATERIAL COST(Y) Grown by 18.77% (YoY)
  • DEBT-EQUITY RATIO (HY) Highest at -35.92 %
  • INTEREST(Q) Highest at HKD 2.02 MM
3
With ROE of 1.05%, it has a Very Expensive valuation with a 0.37 Price to Book Value
  • Over the past year, while the stock has generated a return of -58.72%, its profits have fallen by -50.8%
4
Consistent Underperformance against the benchmark over the last 3 years
  • Along with generating -58.72% returns in the last 1 year, the stock has also underperformed Hang Seng Hong Kong in each of the last 3 annual periods
stock-recommendationReal-Time Research Report

Verdict Report

How much should you sell?

  1. 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 Electronics & Appliances)

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

Is Neo-Neon Holdings Ltd. for you?

High Risk, Low Return

Absolute
Risk Adjusted
Volatility
Neo-Neon Holdings Ltd.
-57.33%
-1.04
58.09%
Hang Seng Hong Kong
-4.77%
-0.26
18.70%
stock-recommendationQuality
stock-summaryManagement Risk
stock-summaryGrowth
stock-summaryCapital Structure
stock-recommendation
Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor
Value
Sales Growth (5y)
-3.81%
EBIT Growth (5y)
10.48%
EBIT to Interest (avg)
-2.61
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.63
Sales to Capital Employed (avg)
0.53
Tax Ratio
47.34%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
1.65%
ROE (avg)
2.00%
stock-recommendationValuation

Valuation Scorecard stock-summary

stock-recommendation
Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors stock-summary

Factor
Value
P/E Ratio
35
Industry P/E
Price to Book Value
0.37
EV to EBIT
1.51
EV to EBITDA
3.22
EV to Capital Employed
-0.05
EV to Sales
-0.06
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
Negative Capital Employed
ROE (Latest)
1.05%
stock-recommendationTechnicals

Technical key factors

Indicator
Weekly
Monthly
MACD
Bearish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Bearish
Dow Theory
No Trend
No Trend
OBV
Mildly Bearish
Mildly Bearish
stock-recommendation Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish  Turned 
Technical Movement
Analyse All Technical Factors stock-recommendation
stock-recommendationFinancial Trend

Financial Trend Scorecard stock-summary

stock-recommendation
Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

1What is working for the Company
INVENTORY TURNOVER RATIO(HY)

Highest at 2.95 times

-9What is not working for the Company
RAW MATERIAL COST(Y)

Grown by 18.77% (YoY

DEBT-EQUITY RATIO (HY)

Highest at -35.92 %

INTEREST(Q)

Highest at HKD 2.02 MM

OPERATING PROFIT(Q)

Lowest at HKD -28.1 MM

NET PROFIT(Q)

Lowest at HKD 4.41 MM

Here's what is working for Neo-Neon Holdings Ltd.

Inventory Turnover Ratio
Highest at 2.95 times
in the last five Semi-Annual periods
MOJO Watch
Company has been able to sell its inventory faster

Inventory Turnover Ratio

Depreciation
At HKD 10.17 MM has Grown at 10.63%
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 (HKD MM)

Here's what is not working for Neo-Neon Holdings Ltd.

Interest
Highest at HKD 2.02 MM
in the last five periods and Increased by 64.16% (QoQ)
MOJO Watch
Rising interest cost signifies increased borrowings

Interest Paid (HKD MM)

Operating Profit
Lowest at HKD -28.1 MM
in the last five periods
MOJO Watch
Near term Operating Profit trend is negative

Operating Profit (HKD MM)

Net Profit
Lowest at HKD 4.41 MM
in the last five periods
MOJO Watch
Near term Net Profit trend is negative

Net Profit (HKD MM)

Debt-Equity Ratio
Highest at -35.92 %
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

Raw Material Cost
Grown by 18.77% (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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