SG Micro Corp. (300661) 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

SG Micro Corp.

Why is SG Micro Corp. ?

Poor long term growth as Net Sales has grown by an annual rate of 26.99% and Operating profit at 4.05% over the last 5 years

The company has declared negative results in Mar'2025 after 3 consecutive positive quarters

INTEREST(HY) At CNY 2.08 MM has Grown at 98.58%
DEBT-EQUITY RATIO (HY) Highest at -42.21 %
INTEREST COVERAGE RATIO(Q) Lowest at 5,046.08

With ROE of 10.36%, it has a very expensive valuation with a 10.70 Price to Book Value

Over the past year, while the stock has generated a return of 2.91%, its profits have risen by 35.7% ; the PEG ratio of the company is 23.6
At the current price, the company has a high dividend yield of 0.1

Underperformed the market in the last 1 year

The stock has generated a return of 2.91% in the last 1 year, much lower than market (China Shanghai Composite) returns of 13.33%

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 Other Electrical Equipment)

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

Is SG Micro Corp. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

SG Micro Corp.

0.58%

-0.25

55.07%

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)

26.99%

EBIT Growth (5y)

4.05%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.44

Sales to Capital Employed (avg)

0.72

Tax Ratio

Tax Ratio is Negative%

Dividend Payout Ratio

14.49%

Pledged Shares

Institutional Holding

ROCE (avg)

39.46%

ROE (avg)

17.78%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

103

Industry P/E

Price to Book Value

10.70

EV to EBIT

144.32

EV to EBITDA

93.04

EV to Capital Employed

20.32

EV to Sales

13.47

PEG Ratio

23.60

Dividend Yield

0.14%

ROCE (Latest)

14.08%

ROE (Latest)

10.36%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Sideways

Moving Averages

Bearish (Daily)

KST

Bullish

Dow Theory

Mildly Bullish

Mildly Bearish

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

4What is working for the Company

ROCE(HY)

Highest at 12.15%

RAW MATERIAL COST(Y)

Fallen by -3.46% (YoY

CASH AND EQV(HY)

Highest at CNY 4,711.31 MM

-16What is not working for the Company

INTEREST(HY)

At CNY 2.08 MM has Grown at 98.58%

DEBT-EQUITY RATIO (HY)

Highest at -42.21 %

INTEREST COVERAGE RATIO(Q)

Lowest at 5,046.08

INVENTORY TURNOVER RATIO(HY)

Lowest at 1.58 times

DEBTORS TURNOVER RATIO(HY)

Lowest at 15.96 times

OPERATING PROFIT(Q)

Lowest at CNY 44.77 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 4.56 %

Here's what is working for SG Micro Corp.

Cash and Eqv

Highest at CNY 4,711.31 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Raw Material Cost

Fallen by -3.46% (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 SG Micro Corp.

Interest

At CNY 2.08 MM has Grown at 98.58%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Interest Coverage Ratio

Lowest at 5,046.08

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Debt-Equity Ratio

Highest at -42.21 % and Grown

In each half year 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

Operating Profit

Lowest at CNY 44.77 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 4.56 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Inventory Turnover Ratio

Lowest at 1.58 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 15.96 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Non Operating Income

Highest at CNY 0.68 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income