Ningbo Xusheng Group Co., Ltd. (603305) 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 Xusheng Group Co., Ltd.

Why is Ningbo Xusheng Group Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of 25.15% and Operating profit at 4.44% over the last 5 years

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

INTEREST(HY) At CNY 70.31 MM has Grown at 15.23%
INTEREST COVERAGE RATIO(Q) Lowest at 362.49
DEBT-EQUITY RATIO (HY) Highest at 24.19 %

With ROE of 4.95%, it has a expensive valuation with a 2.68 Price to Book Value

Over the past year, while the stock has generated a return of 0.32%, its profits have fallen by -43.5%
At the current price, the company has a high dividend yield of 2

Underperformed the market in the last 1 year

The stock has generated a return of 0.32% in the last 1 year, much lower than market (China Shanghai Composite) returns of 22.49%

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 Xusheng Group Co., Ltd. for you?

High Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Ningbo Xusheng Group Co., Ltd.

-6.4%

0.59

48.83%

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)

25.15%

EBIT Growth (5y)

4.44%

EBIT to Interest (avg)

28.69

Debt to EBITDA (avg)

0.84

Net Debt to Equity (avg)

0.23

Sales to Capital Employed (avg)

0.43

Tax Ratio

14.52%

Dividend Payout Ratio

85.20%

Pledged Shares

Institutional Holding

ROCE (avg)

10.49%

ROE (avg)

10.24%

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

2.68

EV to EBIT

54.44

EV to EBITDA

23.65

EV to Capital Employed

2.26

EV to Sales

4.68

PEG Ratio

Dividend Yield

1.98%

ROCE (Latest)

4.15%

ROE (Latest)

4.95%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bearish

Mildly Bullish

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

2What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -35.34% (YoY

NET PROFIT(Q)

Highest at CNY 101 MM

-12What is not working for the Company

INTEREST(HY)

At CNY 70.31 MM has Grown at 15.23%

INTEREST COVERAGE RATIO(Q)

Lowest at 362.49

DEBT-EQUITY RATIO (HY)

Highest at 24.19 %

OPERATING PROFIT(Q)

Lowest at CNY 120.41 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 10.66 %

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

Net Profit

Highest at CNY 101 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

Raw Material Cost

Fallen by -35.34% (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 Xusheng Group Co., Ltd.

Interest

At CNY 70.31 MM has Grown at 15.23%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Interest Coverage Ratio

Lowest at 362.49

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Operating Profit

Lowest at CNY 120.41 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 10.66 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Debt-Equity Ratio

Highest at 24.19 %

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