Ningbo Water Meter Group Co., Ltd. (603700) 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 Water Meter Group Co., Ltd.

Why is Ningbo Water Meter Group Co., Ltd. ?

With ROE of 4.67%, it has a fair valuation with a 1.49 Price to Book Value

Over the past year, while the stock has generated a return of 15.29%, its profits have fallen by -31.9%
At the current price, the company has a high dividend yield of 17

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Ningbo Water Meter Group 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 Ningbo Water Meter Group Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Ningbo Water Meter Group Co., Ltd.

2.2%

1.09

35.80%

China Shanghai Composite

23.91%

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)

2.34%

EBIT Growth (5y)

-36.21%

EBIT to Interest (avg)

64.53

Debt to EBITDA (avg)

Net Debt is too low

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

0.88

Tax Ratio

7.70%

Dividend Payout Ratio

63.16%

Pledged Shares

Institutional Holding

ROCE (avg)

10.90%

ROE (avg)

10.45%

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

0.72

EV to EBIT

47.57

EV to EBITDA

23.61

EV to Capital Employed

0.74

EV to Sales

0.70

PEG Ratio

1.83

Dividend Yield

34.39%

ROCE (Latest)

1.55%

ROE (Latest)

4.52%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Bullish

Dow Theory

Mildly Bearish

OBV

No Trend

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

7What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -24.76% (YoY

INVENTORY TURNOVER RATIO(HY)

Highest at 3.11 times

NET SALES(Q)

At CNY 359.63 MM has Grown at 36.46%

-15What is not working for the Company

PRE-TAX PROFIT(Q)

At CNY 11.6 MM has Fallen at -62.99%

OPERATING CASH FLOW(Y)

Lowest at CNY -5.66 MM

CASH AND EQV(HY)

Lowest at CNY 584.41 MM

DEBT-EQUITY RATIO (HY)

Highest at 6.28 %

NET PROFIT(Q)

Lowest at CNY 10.79 MM

EPS(Q)

Lowest at CNY 0.05

Here's what is working for Ningbo Water Meter Group Co., Ltd.

Net Sales

At CNY 359.63 MM has Grown at 36.46%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Inventory Turnover Ratio

Highest at 3.11 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Raw Material Cost

Fallen by -24.76% (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 Water Meter Group Co., Ltd.

Pre-Tax Profit

At CNY 11.6 MM has Fallen at -62.99%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 10.79 MM has Fallen at -61.34%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Operating Cash Flow

Lowest at CNY -5.66 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CNY MM)

Net Profit

Lowest at CNY 10.79 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CNY MM)

EPS

Lowest at CNY 0.05

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (CNY)

Cash and Eqv

Lowest at CNY 584.41 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debt-Equity Ratio

Highest at 6.28 %

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