Nextool Technology Co., Ltd. () 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

Nextool Technology Co., Ltd.

Why is Nextool Technology Co., Ltd. ?

High Debt Company with a Debt to Equity ratio (avg) at times

Poor long term growth as Net Sales has grown by an annual rate of 23.46% and Operating profit at 37.08% over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times
The company has been able to generate a Return on Equity (avg) of 6.35% signifying low profitability per unit of shareholders funds

Flat results in Sep 25

DEBT-EQUITY RATIO (HY) Highest at -72.13 %
NET SALES(Q) Fallen at -10.43%

With ROE of 7.25%, it has a very attractive valuation with a 3.59 Price to Book Value

Over the past year, while the stock has generated a return of 83.43%, its profits have risen by 16% ; the PEG ratio of the company is 3.1

Market Beating performance in long term as well as near term

Along with generating 83.43% returns in the last 1 year, the stock has outperformed China Shanghai Composite in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Nextool Technology 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 Nextool Technology Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Nextool Technology Co., Ltd.

84.92%

2.78

56.93%

China Shanghai Composite

16.01%

1.58

14.20%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

23.46%

EBIT Growth (5y)

37.08%

EBIT to Interest (avg)

48.37

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.76

Sales to Capital Employed (avg)

0.24

Tax Ratio

10.74%

Dividend Payout Ratio

36.60%

Pledged Shares

Institutional Holding

ROCE (avg)

22.66%

ROE (avg)

6.35%

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

3.59

EV to EBIT

47.19

EV to EBITDA

41.09

EV to Capital Employed

11.93

EV to Sales

9.49

PEG Ratio

3.10

Dividend Yield

ROCE (Latest)

25.29%

ROE (Latest)

7.25%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Dow Theory

Mildly Bearish

Bullish

OBV

Mildly Bearish

No Trend

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

5What is working for the Company

INVENTORY TURNOVER RATIO(HY)

Highest at 1.27 times

RAW MATERIAL COST(Y)

Fallen by -1.75% (YoY

NET PROFIT(9M)

Higher at CNY 66.24 MM

EPS(Q)

Highest at CNY 0.22

-2What is not working for the Company

DEBT-EQUITY RATIO (HY)

Highest at -72.13 %

NET SALES(Q)

Fallen at -10.43%

Here's what is working for Nextool Technology Co., Ltd.

Inventory Turnover Ratio

Highest at 1.27 times and Grown

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

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

EPS

Highest at CNY 0.22

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Net Profit

Higher at CNY 66.24 MM

than preceding 12 month period ended Sep 2025

MOJO Watch

In the nine month period the company has already crossed sales of the previous twelve months

Net Profit (CNY MM)

Raw Material Cost

Fallen by -1.75% (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 Nextool Technology Co., Ltd.

Net Sales

Fallen at -10.43%

Year on Year (YoY)

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Debt-Equity Ratio

Highest at -72.13 %

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