Ningbo Techmation Co., Ltd. (603015) 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

Ningbo Techmation Co., Ltd.

Why is Ningbo Techmation Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 4.60%

The company has been able to generate a Return on Capital Employed (avg) of 4.60% signifying low profitability per unit of total capital (equity and debt)

The company is Net-Debt Free

Poor long term growth as Net Sales has grown by an annual rate of -1.22% and Operating profit at -41.63% over the last 5 years
The company is Net-Debt Free
The company has been able to generate a Return on Equity (avg) of 5.50% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of -1.22% and Operating profit at -41.63% over the last 5 years

The company has declared Negative results for the last 5 consecutive quarters

OPERATING CASH FLOW(Y) Lowest at CNY 51.82 MM
NET PROFIT(HY) At CNY 21.31 MM has Grown at -24.5%
ROCE(HY) Lowest at 2.85%

With ROE of 0.97%, it has a very expensive valuation with a 3.50 Price to Book Value

Over the past year, while the stock has generated a return of -9.46%, its profits have fallen by -83.1%
At the current price, the company has a high dividend yield of 0.7

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 Ningbo Techmation Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Ningbo Techmation Co., Ltd.

-10.15%

0.95

50.40%

China Shanghai Composite

3.23%

0.23

14.72%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-1.22%

EBIT Growth (5y)

-41.63%

EBIT to Interest (avg)

3.94

Debt to EBITDA (avg)

1.42

Net Debt to Equity (avg)

0.03

Sales to Capital Employed (avg)

0.43

Tax Ratio

47.87%

Dividend Payout Ratio

75.33%

Pledged Shares

Institutional Holding

ROCE (avg)

3.16%

ROE (avg)

5.50%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

360

Industry P/E

Price to Book Value

3.50

EV to EBIT

710.58

EV to EBITDA

196.32

EV to Capital Employed

3.43

EV to Sales

6.12

PEG Ratio

Dividend Yield

0.66%

ROCE (Latest)

0.48%

ROE (Latest)

0.97%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bullish

Mildly Bearish

Dow Theory

No Trend

Mildly Bearish

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

7What is working for the Company

NET SALES(Q)

Highest at CNY 250.39 MM

PRE-TAX PROFIT(Q)

At CNY 6.03 MM has Grown at 107.52%

NET PROFIT(Q)

Highest at CNY 14.56 MM

EPS(Q)

Highest at CNY 0.05

-15What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at CNY 51.82 MM

NET PROFIT(HY)

At CNY 21.31 MM has Grown at -24.5%

ROCE(HY)

Lowest at 2.85%

INTEREST(Q)

At CNY 2.97 MM has Grown at 22.69%

RAW MATERIAL COST(Y)

Grown by 23.25% (YoY

CASH AND EQV(HY)

Lowest at CNY 780.19 MM

Here's what is working for Ningbo Techmation Co., Ltd.

Net Profit

At CNY 14.56 MM has Grown at 139.88%

over average net sales of the previous four periods of CNY 6.07 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (CNY MM)

Net Sales

Highest at CNY 250.39 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Net Sales

At CNY 250.39 MM has Grown at 24.45%

over average net sales of the previous four periods of CNY 201.2 MM

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Pre-Tax Profit

At CNY 6.03 MM has Grown at 107.52%

over average net sales of the previous four periods of CNY 2.91 MM

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

Highest at CNY 14.56 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY 0.05

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Depreciation

At CNY 9.27 MM has Grown at inf%

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 (CNY MM)

Here's what is not working for Ningbo Techmation Co., Ltd.

Operating Cash Flow

Lowest at CNY 51.82 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CNY MM)

Interest

At CNY 2.97 MM has Grown at 22.69%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Cash and Eqv

Lowest at CNY 780.19 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Raw Material Cost

Grown by 23.25% (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