Ninestar Corp. (002180) 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

Ninestar Corp.

Why is Ninestar Corp. ?

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 0.09% and Operating profit at -152.12% 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 6.08% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 0.09% and Operating profit at -152.12% over the last 5 years

With a fall in Net Sales of -65.82%, the company declared Very Negative results in Sep 25

NET PROFIT(HY) At CNY -435.17 MM has Grown at -155.64%
RAW MATERIAL COST(Y) Grown by 18.56% (YoY)
CASH AND EQV(HY) Lowest at CNY 7,311.45 MM

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of -39.69%, its profits have risen by 91.7%

Below par performance in long term as well as near term

Along with generating -39.69% returns in the last 1 year, the stock has also underperformed China Shanghai Composite in the last 3 years, 1 year and 3 months

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 Electronics & Appliances)

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

Is Ninestar Corp. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Ninestar Corp.

-39.69%

-1.08

35.28%

China Shanghai Composite

13.33%

0.90

14.74%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

0.09%

EBIT Growth (5y)

-152.12%

EBIT to Interest (avg)

0.09

Debt to EBITDA (avg)

2.03

Net Debt to Equity (avg)

0.77

Sales to Capital Employed (avg)

1.17

Tax Ratio

53.81%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

7.48%

ROE (avg)

6.08%

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

3.55

EV to EBIT

57.72

EV to EBITDA

17.40

EV to Capital Employed

3.50

EV to Sales

1.34

PEG Ratio

Dividend Yield

ROCE (Latest)

6.06%

ROE (Latest)

-6.93%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bullish

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Mildly Bullish

Bearish

Dow Theory

Mildly Bearish

OBV

No Trend

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

2What is working for the Company

DEBT-EQUITY RATIO (HY)

Lowest at 10.29 %

NET PROFIT(Q)

At CNY -44.42 MM has Grown at 66.51%

-25What is not working for the Company

NET PROFIT(HY)

At CNY -435.17 MM has Grown at -155.64%

RAW MATERIAL COST(Y)

Grown by 18.56% (YoY

CASH AND EQV(HY)

Lowest at CNY 7,311.45 MM

INVENTORY TURNOVER RATIO(HY)

Lowest at 2.85 times

NET SALES(Q)

Lowest at CNY 2,177.65 MM

OPERATING PROFIT(Q)

Lowest at CNY -68.27 MM

OPERATING PROFIT MARGIN(Q)

Lowest at -3.14 %

Here's what is working for Ninestar Corp.

Net Profit

At CNY -44.42 MM has Grown at 66.51%

over average net sales of the previous four periods of CNY -132.64 MM

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

Debt-Equity Ratio

Lowest at 10.29 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Here's what is not working for Ninestar Corp.

Net Sales

At CNY 2,177.65 MM has Fallen at -66.35%

over average net sales of the previous four periods of CNY 6,472.17 MM

MOJO Watch

Near term sales trend is extremely negative

Net Sales (CNY MM)

Net Sales

Lowest at CNY 2,177.65 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Operating Profit

Lowest at CNY -68.27 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at -3.14 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Cash and Eqv

Lowest at CNY 7,311.45 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Inventory Turnover Ratio

Lowest at 2.85 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Raw Material Cost

Grown by 18.56% (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