Qinchuan Machine Tool & Tool (Group) Corp. (000837) 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

Qinchuan Machine Tool & Tool (Group) Corp.

Why is Qinchuan Machine Tool & Tool (Group) Corp. ?

The company is Net-Debt Free

Poor long term growth as Net Sales has grown by an annual rate of -3.31% and Operating profit at -186.10% over the last 5 years
The company is Net-Debt Free
The company has been able to generate a Return on Equity (avg) of 6.76% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of -3.31% and Operating profit at -186.10% over the last 5 years

Flat results in Mar 26

DEBT-EQUITY RATIO (HY) Highest at -0.29 %
DEBTORS TURNOVER RATIO(HY) Lowest at 2.04 times

With ROE of 1.21%, it has a expensive valuation with a 2.59 Price to Book Value

Over the past year, while the stock has generated a return of 4.72%, its profits have fallen by -16.1%

Underperformed the market in the last 1 year

The stock has generated a return of 4.72% in the last 1 year, much lower than market (China Shanghai Composite) returns of 23.91%

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 Industrial Manufacturing)

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

Is Qinchuan Machine Tool & Tool (Group) Corp. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Qinchuan Machine Tool & Tool (Group) Corp.

4.93%

1.41

37.54%

China Shanghai Composite

23.91%

1.73

13.79%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-3.31%

EBIT Growth (5y)

-186.10%

EBIT to Interest (avg)

0.08

Debt to EBITDA (avg)

1.95

Net Debt to Equity (avg)

-0.01

Sales to Capital Employed (avg)

0.62

Tax Ratio

13.79%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

2.17%

ROE (avg)

6.76%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

214

Industry P/E

Price to Book Value

2.59

EV to EBIT

-82.81

EV to EBITDA

583.18

EV to Capital Employed

2.60

EV to Sales

3.04

PEG Ratio

Dividend Yield

0.24%

ROCE (Latest)

-3.14%

ROE (Latest)

1.21%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Mildly Bearish

RSI

No Signal

Bullish

Bollinger Bands

Mildly Bullish

Mildly Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bullish

Mildly Bearish

Dow Theory

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

4What is working for the Company

INVENTORY TURNOVER RATIO(HY)

Highest at 1.78 times

RAW MATERIAL COST(Y)

Fallen by -7.73% (YoY

NET SALES(Q)

Highest at CNY 1,144.25 MM

-2What is not working for the Company

DEBT-EQUITY RATIO (HY)

Highest at -0.29 %

DEBTORS TURNOVER RATIO(HY)

Lowest at 2.04 times

Here's what is working for Qinchuan Machine Tool & Tool (Group) Corp.

Inventory Turnover Ratio

Highest at 1.78 times and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Net Sales

Highest at CNY 1,144.25 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Raw Material Cost

Fallen by -7.73% (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 Qinchuan Machine Tool & Tool (Group) Corp.

Debt-Equity Ratio

Highest at -0.29 %

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

Debtors Turnover Ratio

Lowest at 2.04 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio