New World Development Co. Ltd. (17) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

China Resources Mixc Lifestyle Services Ltd.

Longfor Group Holdings Ltd.

CK Asset Holdings Ltd.

Wharf Real Estate Investment Co. Ltd.

Henderson Land Development Co. Ltd.

Hang Lung Properties Ltd.

The Wharf (Holdings) Ltd.

Sino Land Co. Ltd.

Swire Properties Ltd.

New World Development Co. Ltd.

Tsim Sha Tsui Properties Ltd.

Why is New World Development Co. Ltd. ?

Weak Long Term Fundamental Strength with an average Return on Equity (ROE) of 0.40%

Poor long term growth as Net Sales has grown by an annual rate of -20.12%

The company has declared Negative results for the last 3 consecutive quarters

NET PROFIT(Q) At HKD -4,807.4 MM has Fallen at -29,190.27%
OPERATING CASH FLOW(Y) Lowest at HKD -12,141.5 MM
DIVIDEND PAYOUT RATIO(Y) Lowest at 0%

With ROE of -6.67%, it has a Expensive valuation with a 0.10 Price to Book Value

Over the past year, while the stock has generated a return of 10.65%, its profits have fallen by -19241.1%

Underperformed the market in the last 1 year

The stock has generated a return of 10.65% in the last 1 year, much lower than market (Hang Seng Hong Kong) returns of 26.67%

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 Realty)

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

Is New World Development Co. Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

New World Development Co. Ltd.

13.77%

-0.23

55.72%

Hang Seng Hong Kong

27.36%

1.03

25.88%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-20.12%

EBIT Growth (5y)

-179.24%

EBIT to Interest (avg)

2.73

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

Tax Ratio

51.23%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

7.13%

ROE (avg)

0.40%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

0.10

EV to EBIT

-3.17

EV to EBITDA

-2.01

EV to Capital Employed

-0.04

EV to Sales

-0.19

PEG Ratio

Dividend Yield

ROCE (Latest)

Negative Capital Employed

ROE (Latest)

-6.67%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Mildly Bullish

Dow Theory

Mildly Bearish

OBV

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

Not enough Data to analyse Financial Trend

Here's what is working for New World Development Co. Ltd.

Debtors Turnover Ratio

Highest at 22.94%

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by -23.27% (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

Depreciation

At HKD 639.5 MM has Grown at 38.96%

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 New World Development Co. Ltd.

Net Profit

At HKD -4,807.4 MM has Fallen at -29,190.27%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (HKD MM)

Operating Cash Flow

Lowest at HKD -12,141.5 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (HKD MM)

Dividend Payout Ratio

Lowest at 0% and Fallen

In each year in the last five years

MOJO Watch

Company is distributing lower proportion of profits generated as dividend

DPR (%)

Pre-Tax Profit

Fallen at -87.48%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (HKD MM)

Cash and Eqv

Lowest at HKD 22,656.3 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debt-Equity Ratio

Highest at 97.44 %

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

Dividend per share

Lowest at HKD 22.94

in the last five years

MOJO Watch

Company is distributing lower dividend than previous years

DPS (HKD)