Rendong Holdings Co., Ltd. (002647) 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

Rendong Holdings Co., Ltd.

Why is Rendong Holdings Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of -20.90% and Operating profit at -232.32% over the last 5 years

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

OPERATING CASH FLOW(Y) Lowest at CNY -4.45 MM
NET SALES(Q) Lowest at CNY 195.13 MM

With ROE of -57.67%, it has a risky valuation with a 15.08 Price to Book Value

Over the past year, while the stock has generated a return of 43.93%, its profits have fallen by -48.2%

Market Beating performance in long term as well as near term

Along with generating 43.93% returns in the last 1 year, the stock has outperformed China Shanghai Composite in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Rendong Holdings Co., Ltd. should be less than 10%
Overall Portfolio exposure to Commercial Services & Supplies should be less than 30%

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

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

Is Rendong Holdings Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Rendong Holdings Co., Ltd.

59.8%

3.87

40.82%

China Shanghai Composite

15.17%

1.02

14.86%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-20.90%

EBIT Growth (5y)

-232.32%

EBIT to Interest (avg)

-0.39

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-4.08

Sales to Capital Employed (avg)

2.03

Tax Ratio

3.32%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

ROE (avg)

7.86%

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

15.08

EV to EBIT

-125.04

EV to EBITDA

-5527.19

EV to Capital Employed

-1.58

EV to Sales

6.21

PEG Ratio

Dividend Yield

ROCE (Latest)

Negative Capital Employed

ROE (Latest)

-57.67%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

No Trend

OBV

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

14What is working for the Company

PRE-TAX PROFIT(Q)

At CNY 27.8 MM has Grown at 131.25%

NET PROFIT(Q)

At CNY 19.91 MM has Grown at 121.35%

RAW MATERIAL COST(Y)

Fallen by -49.06% (YoY

CASH AND EQV(HY)

Highest at CNY 8,098.88 MM

OPERATING PROFIT MARGIN(Q)

Highest at 12.21 %

-16What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at CNY -4.45 MM

NET SALES(Q)

Lowest at CNY 195.13 MM

Here's what is working for Rendong Holdings Co., Ltd.

Pre-Tax Profit

At CNY 27.8 MM has Grown at 131.25%

over average net sales of the previous four periods of CNY -88.97 MM

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 19.91 MM has Grown at 121.35%

over average net sales of the previous four periods of CNY -93.27 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (CNY MM)

Operating Profit Margin

Highest at 12.21 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Cash and Eqv

Highest at CNY 8,098.88 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Raw Material Cost

Fallen by -49.06% (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 Rendong Holdings Co., Ltd.

Operating Cash Flow

Lowest at CNY -4.45 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 (CNY MM)

Net Sales

At CNY 195.13 MM has Fallen at -12.3%

over average net sales of the previous four periods of CNY 222.49 MM

MOJO Watch

Near term sales trend is very negative

Net Sales (CNY MM)

Net Sales

Lowest at CNY 195.13 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)