Qilu Expressway Co., Ltd. (1576) 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

China Communications Services Corp. Ltd.

Chi Kan Holdings Ltd.

Qilu Expressway Co., Ltd.

Shenzhen Investment Holdings Bay Area Development Co. Ltd.

Metallurgical Corp. of China Ltd.

China Energy Engineering Corp. Ltd.

China Railway Construction Corp. Ltd.

China Everbright Environment Group Ltd.

Grand Ming Group Holdings Ltd.

SINOPEC Engineering (Group) Co., Ltd.

Canvest Environmental Protection Group Co. Ltd.

Why is Qilu Expressway Co., Ltd. ?

High Debt Company with a Debt to Equity ratio (avg) at times

Poor long term growth as Operating profit has grown by an annual rate 4.04% of over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times

Poor long term growth as Operating profit has grown by an annual rate 4.04% of over the last 5 years

The company has declared negative results for the last 4 consecutive quarters

OPERATING CASH FLOW(Y) Lowest at HKD 731.25 MM
ROCE(HY) Lowest at 10.92%
DEBT-EQUITY RATIO (HY) Highest at 319.26 %

With ROE of 12.41%, it has a Very Expensive valuation with a 0.85 Price to Book Value

Over the past year, while the stock has generated a return of -17.54%, its profits have fallen by -10.5%

Underperformed the market in the last 1 year

Even though the market (Hang Seng Hong Kong) has generated returns of 8.25% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -17.54% 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 Construction)

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

Is Qilu Expressway Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Qilu Expressway Co., Ltd.

-17.54%

-1.08

19.64%

Hang Seng Hong Kong

8.25%

0.41

19.93%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

37.43%

EBIT Growth (5y)

4.04%

EBIT to Interest (avg)

9.53

Debt to EBITDA (avg)

5.67

Net Debt to Equity (avg)

2.93

Sales to Capital Employed (avg)

0.35

Tax Ratio

24.20%

Dividend Payout Ratio

41.68%

Pledged Shares

Institutional Holding

ROCE (avg)

12.52%

ROE (avg)

18.60%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

0.85

EV to EBIT

24.41

EV to EBITDA

17.48

EV to Capital Employed

0.96

EV to Sales

2.16

PEG Ratio

Dividend Yield

5.89%

ROCE (Latest)

3.94%

ROE (Latest)

12.41%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bullish

Bollinger Bands

Mildly Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

Mildly Bullish

No Trend

OBV

Mildly Bearish

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

3What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -44.75% (YoY

OPERATING PROFIT(Q)

Highest at HKD 742.9 MM

OPERATING PROFIT MARGIN(Q)

Highest at 64.79 %

-24What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at HKD 731.25 MM

ROCE(HY)

Lowest at 10.92%

DEBT-EQUITY RATIO (HY)

Highest at 319.26 %

INTEREST COVERAGE RATIO(Q)

Lowest at 489.31

CASH AND EQV(HY)

Lowest at HKD 405.12 MM

INVENTORY TURNOVER RATIO(HY)

Lowest at 93.01 times

DEBTORS TURNOVER RATIO(HY)

Lowest at 6.9 times

NET SALES(Q)

Lowest at HKD 1,146.55 MM

INTEREST(Q)

Highest at HKD 151.83 MM

PRE-TAX PROFIT(Q)

Lowest at HKD 285.2 MM

NET PROFIT(Q)

Lowest at HKD 215.27 MM

EPS(Q)

Lowest at HKD 0.11

Here's what is working for Qilu Expressway Co., Ltd.

Operating Profit

Highest at HKD 742.9 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (HKD MM)

Operating Profit Margin

Highest at 64.79 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Raw Material Cost

Fallen by -44.75% (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 350.35 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 350.35 MM has Grown at 143.33%

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 Qilu Expressway Co., Ltd.

Operating Cash Flow

Lowest at HKD 731.25 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 (HKD MM)

Net Sales

At HKD 1,146.55 MM has Fallen at -62.31%

Year on Year (YoY)

MOJO Watch

Near term sales trend is very negative

Net Sales (HKD MM)

Interest Coverage Ratio

Lowest at 489.31

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Debt-Equity Ratio

Highest at 319.26 % and Grown

In each half year 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

Net Sales

Lowest at HKD 1,146.55 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (HKD MM)

Interest

Highest at HKD 151.83 MM

in the last five periods and Increased by 261.08% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (HKD MM)

Pre-Tax Profit

Lowest at HKD 285.2 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (HKD MM)

Net Profit

Lowest at HKD 215.27 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (HKD MM)

EPS

Lowest at HKD 0.11

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (HKD)

Cash and Eqv

Lowest at HKD 405.12 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Inventory Turnover Ratio

Lowest at 93.01 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Debtors Turnover Ratio

Lowest at 6.9 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio