North Huajin Chemical Industries Co., Ltd. (000059) 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 Huajin Chemical Industries Co., Ltd.

Why is North Huajin Chemical Industries Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 3.92%

The company has been able to generate a Return on Capital Employed (avg) of 3.92% signifying low profitability per unit of total capital (equity and debt)

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 3.61% and Operating profit at -241.93% 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 3.60% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 3.61% and Operating profit at -241.93% over the last 5 years

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 11.21%, its profits have fallen by -14365.2%
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 Oil)

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

Is North Huajin Chemical Industries Co., Ltd. for you?

High Risk, Medium Return

Absolute

Risk Adjusted

Volatility

North Huajin Chemical Industries Co., Ltd.

13.11%

0.43

35.81%

China Shanghai Composite

13.33%

0.90

14.74%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

3.61%

EBIT Growth (5y)

-241.93%

EBIT to Interest (avg)

0.06

Debt to EBITDA (avg)

2.50

Net Debt to Equity (avg)

0.77

Sales to Capital Employed (avg)

1.66

Tax Ratio

2.10%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

3.92%

ROE (avg)

3.60%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

0.79

EV to EBIT

-4.98

EV to EBITDA

-8.64

EV to Capital Employed

0.87

EV to Sales

0.49

PEG Ratio

Dividend Yield

0.35%

ROCE (Latest)

-17.43%

ROE (Latest)

-29.36%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

Mildly Bullish

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

15What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -576.11% (YoY

DEBTORS TURNOVER RATIO(HY)

Highest at 87.37 times

NET SALES(Q)

Highest at CNY 10,186.6 MM

PRE-TAX PROFIT(Q)

At CNY -408.62 MM has Grown at 66.77%

NET PROFIT(Q)

At CNY -404.46 MM has Grown at 64.72%

-8What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at CNY 85.04 MM

INTEREST(HY)

At CNY 146.87 MM has Grown at 5.63%

CASH AND EQV(HY)

Lowest at CNY 9,822.83 MM

Here's what is working for North Huajin Chemical Industries Co., Ltd.

Net Sales

At CNY 10,186.6 MM has Grown at 205.27%

Year on Year (YoY)

MOJO Watch

Near term sales trend is extremely positive

Net Sales (CNY MM)

Net Sales

Highest at CNY 10,186.6 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Pre-Tax Profit

At CNY -408.62 MM has Grown at 66.77%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

At CNY -404.46 MM has Grown at 64.72%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

Debtors Turnover Ratio

Highest at 87.37 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 -576.11% (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 Huajin Chemical Industries Co., Ltd.

Operating Cash Flow

Lowest at CNY 85.04 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 146.87 MM has Grown at 5.63%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Cash and Eqv

Lowest at CNY 9,822.83 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents