Why is SEC Electric Machinery Co., Ltd. ?
1
Poor long term growth as Net Sales has grown by an annual rate of -0.01% and Operating profit at -18.76% over the last 5 years
2
Flat results in Mar 25
- ROCE(HY) Lowest at 1.89%
- OPERATING PROFIT(Q) Lowest at CNY 0.33 MM
- OPERATING PROFIT MARGIN(Q) Lowest at 0.28 %
3
With ROE of 7.87%, it has a very expensive valuation with a 10.72 Price to Book Value
- Over the past year, while the stock has generated a return of -3.30%, its profits have risen by 322.9% ; the PEG ratio of the company is 0.4
- At the current price, the company has a high dividend yield of 0.1
4
Underperformed the market in the last 1 year
- Even though the market (China Shanghai Composite) has generated returns of 14.77% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -3.30% returns
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 Electronics & Appliances)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is SEC Electric Machinery Co., Ltd. for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
SEC Electric Machinery Co., Ltd.
-3.3%
4.11
53.33%
China Shanghai Composite
14.77%
1.01
14.58%
Quality key factors
Factor
Value
Sales Growth (5y)
-0.01%
EBIT Growth (5y)
-18.76%
EBIT to Interest (avg)
49.94
Debt to EBITDA (avg)
1.16
Net Debt to Equity (avg)
0.05
Sales to Capital Employed (avg)
0.88
Tax Ratio
Tax Ratio is Negative%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
8.97%
ROE (avg)
8.34%
Valuation Key Factors 
Factor
Value
P/E Ratio
136
Industry P/E
Price to Book Value
10.72
EV to EBIT
191.26
EV to EBITDA
136.80
EV to Capital Employed
11.00
EV to Sales
9.96
PEG Ratio
0.42
Dividend Yield
0.13%
ROCE (Latest)
5.75%
ROE (Latest)
7.87%
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
Mildly Bearish
No Trend
OBV
Mildly Bearish
No Trend
Technical Movement
15What is working for the Company
PRE-TAX PROFIT(Q)
At CNY 2.92 MM has Grown at 247%
OPERATING CASH FLOW(Y)
Highest at CNY 26.66 MM
NET PROFIT(Q)
At CNY 2.79 MM has Grown at 184.03%
RAW MATERIAL COST(Y)
Fallen by -52.72% (YoY
DEBT-EQUITY RATIO
(HY)
Lowest at 5.34 %
-4What is not working for the Company
ROCE(HY)
Lowest at 1.89%
OPERATING PROFIT(Q)
Lowest at CNY 0.33 MM
OPERATING PROFIT MARGIN(Q)
Lowest at 0.28 %
Here's what is working for SEC Electric Machinery Co., Ltd.
Pre-Tax Profit
At CNY 2.92 MM has Grown at 247%
Year on Year (YoY)MOJO Watch
Near term Pre-Tax Profit trend is very positive
Pre-Tax Profit (CNY MM)
Net Profit
At CNY 2.79 MM has Grown at 184.03%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is very positive
Net Profit (CNY MM)
Operating Cash Flow
Highest at CNY 26.66 MM
in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (CNY MM)
Debt-Equity Ratio
Lowest at 5.34 %
in the last five Semi-Annual periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Raw Material Cost
Fallen by -52.72% (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 SEC Electric Machinery Co., Ltd.
Operating Profit
Lowest at CNY 0.33 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is negative
Operating Profit (CNY MM)
Operating Profit Margin
Lowest at 0.28 %
in the last five periodsMOJO Watch
Company's profit margin has deteriorated
Operating Profit to Sales






