Saovang Rubber JSC (SRC) 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

Saovang Rubber JSC

The Southern Rubber Industry JSC

Danang Rubber JSC

Why is Saovang Rubber JSC ?

Poor Management Efficiency with a low ROCE of 6.99%

The company has been able to generate a Return on Capital Employed (avg) of 6.99% signifying low profitability per unit of total capital (equity and debt)

Poor long term growth as Net Sales has grown by an annual rate of 6.09% and Operating profit at -11.96% over the last 5 years

With ROE of 3.36%, it has a very expensive valuation with a 2.48 Price to Book Value

The stock is trading at a premium compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 80.00%, its profits have fallen by -86.4%
At the current price, the company has a high dividend yield of 1.2

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Saovang Rubber JSC should be less than 10%
Overall Portfolio exposure to Auto Components & Equipments should be less than 30%

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

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

Is Saovang Rubber JSC for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Saovang Rubber JSC

96.27%

1.29

46.55%

Vietnam VN Ho Chi Minh Index

16.45%

1.90

22.90%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

1.71%

EBIT Growth (5y)

-10.07%

EBIT to Interest (avg)

3.26

Debt to EBITDA (avg)

6.06

Net Debt to Equity (avg)

0.58

Sales to Capital Employed (avg)

1.37

Tax Ratio

21.06%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

5.89%

ROE (avg)

12.24%

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

2.53

EV to EBIT

33.04

EV to EBITDA

29.52

EV to Capital Employed

1.87

EV to Sales

1.23

PEG Ratio

Dividend Yield

0.19%

ROCE (Latest)

5.67%

ROE (Latest)

5.43%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bearish

Bollinger Bands

Mildly Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

No Trend

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

25What is working for the Company

NET SALES(HY)

At VND 885,883.44 MM has Grown at 76.77%

INVENTORY TURNOVER RATIO(HY)

Highest at 6.06 times

OPERATING PROFIT(Q)

Highest at VND 21,707.55 MM

OPERATING PROFIT MARGIN(Q)

Highest at 6.28 %

PRE-TAX PROFIT(Q)

Highest at VND 11,802.98 MM

NET PROFIT(Q)

Highest at VND 9,406.77 MM

EPS(Q)

Highest at VND 257.84

-3What is not working for the Company

INTEREST(Q)

Highest at VND 7,609.63 MM

Here's what is working for Saovang Rubber JSC

Net Sales

At VND 885,883.44 MM has Grown at 76.77%

Year on Year (YoY)

MOJO Watch

Near term sales trend is very positive

Net Sales (VND MM)

Inventory Turnover Ratio

Highest at 6.06 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

Operating Profit

Highest at VND 21,707.55 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (VND MM)

Operating Profit Margin

Highest at 6.28 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at VND 11,802.98 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (VND MM)

Pre-Tax Profit

At VND 11,802.98 MM has Grown at 46.05%

over average net sales of the previous four periods of VND 8,081.51 MM

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (VND MM)

Net Profit

Highest at VND 9,406.77 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (VND MM)

Net Profit

At VND 9,406.77 MM has Grown at 52.84%

over average net sales of the previous four periods of VND 6,154.83 MM

MOJO Watch

Near term Net Profit trend is positive

Net Profit (VND MM)

EPS

Highest at VND 257.84

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (VND)

Depreciation

At VND 1,953.2 MM has Grown at inf%

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 (VND MM)

Here's what is not working for Saovang Rubber JSC

Interest

At VND 7,609.63 MM has Grown at 45.63%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (VND MM)

Interest

Highest at VND 7,609.63 MM

in the last five periods and Increased by 45.63% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (VND MM)