People.cn Co., Ltd. (603000) 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

People.cn Co., Ltd.

Why is People.cn Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of -0.53% and Operating profit at -10.22% over the last 5 years

Negative results in Sep 25

NET PROFIT(HY) At CNY 45.77 MM has Grown at -42.67%
OPERATING CASH FLOW(Y) Lowest at CNY 442.53 MM
ROCE(HY) Lowest at 5.14%

With ROE of 5.60%, it has a very expensive valuation with a 5.93 Price to Book Value

Over the past year, while the stock has generated a return of -7.30%, its profits have fallen by -32.3%
At the current price, the company has a high dividend yield of 0.7

Underperformed the market in the last 1 year

Even though the market (China Shanghai Composite) has generated returns of 22.49% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -7.30% returns

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 Computers - Software & Consulting)

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

Is People.cn Co., Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

People.cn Co., Ltd.

-17.48%

0.02

40.47%

China Shanghai Composite

21.43%

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)

-0.58%

EBIT Growth (5y)

-6.47%

EBIT to Interest (avg)

28.26

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.76

Sales to Capital Employed (avg)

0.55

Tax Ratio

18.96%

Dividend Payout Ratio

69.13%

Pledged Shares

Institutional Holding

0.03%

ROCE (avg)

36.38%

ROE (avg)

7.88%

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

4.88

EV to EBIT

67.10

EV to EBITDA

46.55

EV to Capital Employed

11.48

EV to Sales

7.91

PEG Ratio

14.55

Dividend Yield

0.78%

ROCE (Latest)

17.11%

ROE (Latest)

6.49%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

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

1What is working for the Company

NET PROFIT(9M)

Higher at CNY 223.98 MM

-24What is not working for the Company

ROCE(HY)

Lowest at 5.02%

RAW MATERIAL COST(Y)

Grown by 10.31% (YoY

CASH AND EQV(HY)

Lowest at CNY 5,451.85 MM

DEBT-EQUITY RATIO (HY)

Highest at -55.57 %

INVENTORY TURNOVER RATIO(HY)

Lowest at 4.7 times

NET SALES(Q)

Lowest at CNY 297.78 MM

INTEREST(Q)

Highest at CNY 3.39 MM

OPERATING PROFIT(Q)

Lowest at CNY -49.65 MM

OPERATING PROFIT MARGIN(Q)

Lowest at -16.67 %

PRE-TAX PROFIT(Q)

Lowest at CNY -36.03 MM

NET PROFIT(Q)

Lowest at CNY -31.9 MM

EPS(Q)

Lowest at CNY -0.03

Here's what is not working for People.cn Co., Ltd.

Pre-Tax Profit

At CNY -36.03 MM has Fallen at -7,908.01%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Net Profit

At CNY -31.9 MM has Fallen at -269.4%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Interest

At CNY 3.39 MM has Grown at 246.49%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Net Sales

Lowest at CNY 297.78 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Interest

Highest at CNY 3.39 MM

in the last five periods and Increased by 246.49% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Operating Profit

Lowest at CNY -49.65 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at -16.67 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at CNY -36.03 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (CNY MM)

Net Profit

Lowest at CNY -31.9 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CNY MM)

EPS

Lowest at CNY -0.03

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (CNY)

Cash and Eqv

Lowest at CNY 5,451.85 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debt-Equity Ratio

Highest at -55.57 %

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

Inventory Turnover Ratio

Lowest at 4.7 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Raw Material Cost

Grown by 10.31% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales