North Electro-Optic Co., Ltd. (600184) 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

North Electro-Optic Co., Ltd.

Why is North Electro-Optic Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 1.47%

The company has been able to generate a Return on Capital Employed (avg) of 1.47% signifying low profitability per unit of total capital (equity and debt)

Poor long term growth as Net Sales has grown by an annual rate of -7.91% and Operating profit at -231.86% over the last 5 years

With a growth in Net Sales of 68.84%, the company declared Very Positive results in Sep 25

The company has declared positive results in Jan 70 after 7 consecutive negative quarters
RAW MATERIAL COST(Y) Fallen by -46.26% (YoY)
DEBT-EQUITY RATIO (HY) Lowest at -29.54 %
NET SALES(Q) Highest at CNY 555.81 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 49.80%, its profits have fallen by -560.5%
At the current price, the company has a high dividend yield of 0

Market Beating performance in long term as well as near term

Along with generating 49.80% returns in the last 1 year, the stock has outperformed 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 Aerospace & Defense)

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

Is North Electro-Optic Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

North Electro-Optic Co., Ltd.

100.35%

2.16

50.31%

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)

-2.70%

EBIT Growth (5y)

-23.99%

EBIT to Interest (avg)

-20.03

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.03

Sales to Capital Employed (avg)

0.57

Tax Ratio

0.33%

Dividend Payout Ratio

34.85%

Pledged Shares

Institutional Holding

ROCE (avg)

1.47%

ROE (avg)

2.14%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

246

Industry P/E

Price to Book Value

3.78

EV to EBIT

683.45

EV to EBITDA

121.30

EV to Capital Employed

4.49

EV to Sales

4.98

PEG Ratio

1.94

Dividend Yield

ROCE (Latest)

0.66%

ROE (Latest)

1.53%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bullish

No Trend

OBV

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

20What is working for the Company

NET SALES(HY)

At CNY 1,341.11 MM has Grown at 140.93%

NET PROFIT(HY)

Higher at CNY 27.54 MM

RAW MATERIAL COST(Y)

Fallen by -66.81% (YoY

DEBTORS TURNOVER RATIO(HY)

Highest at 1.73 times

-17What is not working for the Company

INTEREST(HY)

At CNY 0.33 MM has Grown at 235.74%

OPERATING CASH FLOW(Y)

Lowest at CNY -170.95 MM

OPERATING PROFIT(Q)

Lowest at CNY -9.42 MM

OPERATING PROFIT MARGIN(Q)

Lowest at -2.99 %

PRE-TAX PROFIT(Q)

Lowest at CNY -3.97 MM

Here's what is working for North Electro-Optic Co., Ltd.

Net Sales

At CNY 1,341.11 MM has Grown at 140.93%

Year on Year (YoY)

MOJO Watch

Sales trend is very positive

Net Sales (CNY MM)

Net Profit

At CNY 27.54 MM has Grown at 113.35%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (CNY MM)

Net Profit

Higher at CNY 27.54 MM

than preceding 12 month period ended Mar 2026

MOJO Watch

In the half year the company has already crossed Net Profit of the previous twelve months

Net Profit (CNY MM)

Debtors Turnover Ratio

Highest at 1.73 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by -66.81% (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 North Electro-Optic Co., Ltd.

Interest

At CNY 0.33 MM has Grown at 235.74%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Pre-Tax Profit

At CNY -3.97 MM has Fallen at -661.61%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Operating Cash Flow

Lowest at CNY -170.95 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)

Operating Profit

Lowest at CNY -9.42 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at -2.99 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at CNY -3.97 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (CNY MM)