Orient Overseas (International) Ltd. (316) 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

Orient Overseas (International) Ltd.

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Why is Orient Overseas (International) Ltd. ?

Strong Long Term Fundamental Strength with an average Return on Equity (ROE) of 39.44%

Healthy long term growth as Net Sales has grown by an annual rate of 9.28% and Operating profit at 57.65%
Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 86.33

With ROE of 20.07%, it has a Attractive valuation with a 0.98 Price to Book Value

Over the past year, while the stock has generated a return of -0.48%, its profits have risen by 136.5% ; the PEG ratio of the company is 0

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Orient Overseas (International) Ltd. should be less than 10%
Overall Portfolio exposure to Transport Services should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Transport Services)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Orient Overseas (International) Ltd. for you?

Low Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Orient Overseas (International) Ltd.

-0.48%

0.16

28.74%

Hang Seng Hong Kong

8.76%

0.45

19.63%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

9.28%

EBIT Growth (5y)

57.65%

EBIT to Interest (avg)

86.33

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.56

Sales to Capital Employed (avg)

1.05

Tax Ratio

1.36%

Dividend Payout Ratio

49.86%

Pledged Shares

Institutional Holding

0.15%

ROCE (avg)

128.82%

ROE (avg)

39.44%

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

0.98

EV to EBIT

2.88

EV to EBITDA

2.05

EV to Capital Employed

0.97

EV to Sales

0.61

PEG Ratio

0.04

Dividend Yield

1.30%

ROCE (Latest)

33.61%

ROE (Latest)

20.07%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bullish

Mildly Bearish

OBV

Mildly Bullish

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

2What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -168.68% (YoY

INVENTORY TURNOVER RATIO(HY)

Highest at 42.01 times

-7What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at HKD 46,536.39 MM

DIVIDEND PAYOUT RATIO(Y)

Lowest at 49.82%

CASH AND EQV(HY)

Lowest at HKD 48,956.63 MM

DEBT-EQUITY RATIO (HY)

Highest at -37.37 %

PRE-TAX PROFIT(Q)

Fallen at -68.78%

NET PROFIT(Q)

Fallen at -67.69%

Here's what is working for Orient Overseas (International) Ltd.

Inventory Turnover Ratio

Highest at 42.01 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 -168.68% (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

Depreciation

Highest at HKD 3,999.33 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (HKD MM)

Depreciation

At HKD 3,999.33 MM has Grown at 6.62%

period on period (QoQ)

MOJO Watch

The expenditure on assets done by the company has gone into productive use which should positively reflect in the future sales

Depreciation (HKD MM)

Here's what is not working for Orient Overseas (International) Ltd.

Operating Cash Flow

Lowest at HKD 46,536.39 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (HKD MM)

Pre-Tax Profit

Fallen at -68.78%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (HKD MM)

Net Profit

Fallen at -67.69%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is negative

Net Profit (HKD MM)

Cash and Eqv

Lowest at HKD 48,956.63 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debt-Equity Ratio

Highest at -37.37 %

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

Dividend Payout Ratio

Lowest at 49.82%

in the last five years

MOJO Watch

Company is distributing lower proportion of profits generated as dividend

DPR (%)