Qingdao Tianneng Heavy Industries Co., Ltd. (300569) 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

Qingdao Tianneng Heavy Industries Co., Ltd.

Why is Qingdao Tianneng Heavy Industries Co., Ltd. ?

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 5.87% and Operating profit at -59.78% 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 8.12% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 5.87% and Operating profit at -59.78% over the last 5 years

With a growth in Net Sales of 59.33%, the company declared Outstanding results in Sep 25

The company has declared positive results in Jan 70 after 4 consecutive negative quarters
OPERATING CASH FLOW(Y) Highest at CNY 648.27 MM
NET SALES(Q) At CNY 1,054.65 MM has Grown at 59.33%
PRE-TAX PROFIT(Q) At CNY 20.48 MM has Grown at 130.91%

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 12.97%, its profits have fallen by -235.6%
At the current price, the company has a high dividend yield of 0

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Qingdao Tianneng Heavy Industries Co., Ltd. should be less than 10%
Overall Portfolio exposure to Electronics & Appliances should be less than 30%

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

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

Is Qingdao Tianneng Heavy Industries Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Qingdao Tianneng Heavy Industries Co., Ltd.

17.25%

1.24

46.38%

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)

5.87%

EBIT Growth (5y)

-59.78%

EBIT to Interest (avg)

2.51

Debt to EBITDA (avg)

6.84

Net Debt to Equity (avg)

0.67

Sales to Capital Employed (avg)

0.39

Tax Ratio

1.78%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

7.08%

ROE (avg)

8.12%

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

1.32

EV to EBIT

-132.68

EV to EBITDA

39.66

EV to Capital Employed

1.19

EV to Sales

2.91

PEG Ratio

Dividend Yield

ROCE (Latest)

-0.90%

ROE (Latest)

-4.95%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

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

28What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 648.27 MM

NET SALES(Q)

At CNY 1,054.65 MM has Grown at 59.33%

PRE-TAX PROFIT(Q)

At CNY 20.48 MM has Grown at 130.91%

NET PROFIT(Q)

At CNY 14.82 MM has Grown at 124.98%

RAW MATERIAL COST(Y)

Fallen by -90.57% (YoY

DEBTORS TURNOVER RATIO(HY)

Highest at 1.32 times

-2What is not working for the Company

DEBT-EQUITY RATIO (HY)

Highest at 78.34 %

INVENTORY TURNOVER RATIO(HY)

Lowest at 1.63 times

Here's what is working for Qingdao Tianneng Heavy Industries Co., Ltd.

Operating Cash Flow

Highest at CNY 648.27 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Net Sales

At CNY 1,054.65 MM has Grown at 59.33%

Year on Year (YoY)

MOJO Watch

Near term sales trend is very positive

Net Sales (CNY MM)

Pre-Tax Profit

At CNY 20.48 MM has Grown at 130.91%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 14.82 MM has Grown at 124.98%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (CNY MM)

Debtors Turnover Ratio

Highest at 1.32 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 -90.57% (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 Qingdao Tianneng Heavy Industries Co., Ltd.

Debt-Equity Ratio

Highest at 78.34 %

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 1.63 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio