Ningbo TIP Rubber Technology Co., Ltd (605255) 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 TIP Rubber Technology Co., Ltd

Why is Ningbo TIP Rubber 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 0.53% and Operating profit at -7.56% 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 4.20% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 0.53% and Operating profit at -7.56% over the last 5 years

Flat results in Sep 25

INVENTORY TURNOVER RATIO(HY) Lowest at 4.01 times
OPERATING PROFIT(Q) Lowest at CNY 6.87 MM
OPERATING PROFIT MARGIN(Q) Lowest at 8.65 %

With ROE of 3.79%, it has a very attractive valuation with a 18.46 Price to Book Value

Over the past year, while the stock has generated a return of 703.66%, its profits have risen by 12.9% ; the PEG ratio of the company is 37.9
At the current price, the company has a high dividend yield of 0.3

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 Auto Components & Equipments)

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

Is Ningbo TIP Rubber Technology Co., Ltd for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Ningbo TIP Rubber Technology Co., Ltd

552.37%

10.44

82.23%

China Shanghai Composite

13.33%

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)

0.53%

EBIT Growth (5y)

-7.56%

EBIT to Interest (avg)

36.75

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.22

Sales to Capital Employed (avg)

0.41

Tax Ratio

35.82%

Dividend Payout Ratio

150.04%

Pledged Shares

Institutional Holding

ROCE (avg)

5.90%

ROE (avg)

4.20%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

488

Industry P/E

Price to Book Value

18.46

EV to EBIT

360.09

EV to EBITDA

166.53

EV to Capital Employed

22.65

EV to Sales

44.77

PEG Ratio

37.87

Dividend Yield

0.33%

ROCE (Latest)

6.29%

ROE (Latest)

3.79%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bearish

OBV

No Trend

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

6What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 123.23 MM

ROCE(HY)

Highest at 3.97%

RAW MATERIAL COST(Y)

Fallen by -27.8% (YoY

DEBT-EQUITY RATIO (HY)

Lowest at -23.58 %

-4What is not working for the Company

INVENTORY TURNOVER RATIO(HY)

Lowest at 4.01 times

OPERATING PROFIT(Q)

Lowest at CNY 6.87 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 8.65 %

PRE-TAX PROFIT(Q)

At CNY 6.93 MM has Fallen at -41.14%

Here's what is working for Ningbo TIP Rubber Technology Co., Ltd

Operating Cash Flow

Highest at CNY 123.23 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Debt-Equity Ratio

Lowest at -23.58 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Raw Material Cost

Fallen by -27.8% (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 Ningbo TIP Rubber Technology Co., Ltd

Operating Profit

Lowest at CNY 6.87 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 8.65 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

At CNY 6.93 MM has Fallen at -41.14%

over average net sales of the previous four periods of CNY 11.77 MM

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (CNY MM)

Inventory Turnover Ratio

Lowest at 4.01 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio