Qinghai Jinrui Mineral Development Co., Ltd. (600714) 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

Qinghai Jinrui Mineral Development Co., Ltd.

Why is Qinghai Jinrui Mineral Development Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 12.65%

The company has been able to generate a Return on Capital Employed (avg) of 12.65% signifying low profitability per unit of total capital (equity and debt)

The company is Net-Debt Free

Poor long term growth as Net Sales has grown by an annual rate of 10.22% and Operating profit at 32.17% over the last 5 years
The company is Net-Debt Free
The company has been able to generate a Return on Equity (avg) of 5.37% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 10.22% and Operating profit at 32.17% over the last 5 years

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

NET PROFIT(HY) At CNY 15.99 MM has Grown at -54.61%
NET SALES(HY) At CNY 152.17 MM has Grown at -15.79%
OPERATING CASH FLOW(Y) Lowest at CNY 36.93 MM

With ROE of 1.93%, it has a very expensive valuation with a 8.14 Price to Book Value

Over the past year, while the stock has generated a return of 65.66%, its profits have fallen by -70%
At the current price, the company has a high dividend yield of 0.3

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 Minerals & Mining)

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

Is Qinghai Jinrui Mineral Development Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Qinghai Jinrui Mineral Development Co., Ltd.

66.99%

2.06

69.71%

China Shanghai Composite

3.23%

0.23

14.72%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

10.22%

EBIT Growth (5y)

32.17%

EBIT to Interest (avg)

34.96

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.66

Sales to Capital Employed (avg)

0.43

Tax Ratio

29.73%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

13.66%

ROE (avg)

5.37%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

422

Industry P/E

Price to Book Value

8.14

EV to EBIT

458.05

EV to EBITDA

194.58

EV to Capital Employed

23.16

EV to Sales

18.69

PEG Ratio

Dividend Yield

0.33%

ROCE (Latest)

5.06%

ROE (Latest)

1.93%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bullish

Moving Averages

Mildly Bearish (Daily)

KST

Bearish

Bullish

Dow Theory

Mildly Bearish

OBV

Mildly Bearish

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

9What is working for the Company

PRE-TAX PROFIT(Q)

At CNY 21.15 MM has Grown at 316.5%

NET PROFIT(Q)

At CNY 17.5 MM has Grown at 382.12%

CASH AND EQV(HY)

Highest at CNY 1,029.1 MM

NET SALES(Q)

Highest at CNY 97.69 MM

-22What is not working for the Company

NET PROFIT(HY)

At CNY 15.99 MM has Grown at -54.61%

NET SALES(HY)

At CNY 152.17 MM has Grown at -15.79%

OPERATING CASH FLOW(Y)

Lowest at CNY 36.93 MM

ROCE(HY)

Lowest at 1.44%

RAW MATERIAL COST(Y)

Grown by 19.45% (YoY

INVENTORY TURNOVER RATIO(HY)

Lowest at 3.34 times

DEBTORS TURNOVER RATIO(HY)

Lowest at 2.86 times

Here's what is working for Qinghai Jinrui Mineral Development Co., Ltd.

Pre-Tax Profit

At CNY 21.15 MM has Grown at 316.5%

over average net sales of the previous four periods of CNY 5.08 MM

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 17.5 MM has Grown at 382.12%

over average net sales of the previous four periods of CNY 3.63 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (CNY MM)

Net Sales

Highest at CNY 97.69 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Net Sales

At CNY 97.69 MM has Grown at 30.04%

over average net sales of the previous four periods of CNY 75.13 MM

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Cash and Eqv

Highest at CNY 1,029.1 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Here's what is not working for Qinghai Jinrui Mineral Development Co., Ltd.

Operating Cash Flow

Lowest at CNY 36.93 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CNY MM)

Inventory Turnover Ratio

Lowest at 3.34 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 2.86 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Raw Material Cost

Grown by 19.45% (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