Shandong Chenming Paper Holdings Ltd. (000488) 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

Shandong Chenming Paper Holdings Ltd.

Why is Shandong Chenming Paper Holdings Ltd. ?

With a Operating Losses, the company has a Weak Long Term Fundamental Strength

Poor long term growth as Net Sales has grown by an annual rate of -24.80% and Operating profit at -200.04% over the last 5 years
The company is Net-Debt Free

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of 8.99%, its profits have risen by 17%

Underperformed the market in the last 1 year

The stock has generated a return of 8.99% in the last 1 year, much lower than market (China Shanghai Composite) returns of 23.91%

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 Paper, Forest & Jute Products)

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

Is Shandong Chenming Paper Holdings Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Shandong Chenming Paper Holdings Ltd.

10.64%

-1.25

34.55%

China Shanghai Composite

23.91%

1.73

13.79%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-24.80%

EBIT Growth (5y)

-200.04%

EBIT to Interest (avg)

-0.05

Debt to EBITDA (avg)

9.84

Net Debt to Equity (avg)

3.65

Sales to Capital Employed (avg)

0.36

Tax Ratio

2.81%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

3.42%

ROE (avg)

3.63%

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

8.40

EV to EBIT

-6.57

EV to EBITDA

-10.28

EV to Capital Employed

1.10

EV to Sales

3.88

PEG Ratio

Dividend Yield

ROCE (Latest)

-16.81%

ROE (Latest)

-1858.12%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Bearish

Mildly Bullish

Dow Theory

Mildly Bullish

Mildly Bearish

OBV

Mildly Bearish

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

23What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -93.02% (YoY

NET SALES(Q)

Highest at CNY 2,981.11 MM

OPERATING PROFIT(Q)

Highest at CNY -466.67 MM

OPERATING PROFIT MARGIN(Q)

Highest at -15.65 %

PRE-TAX PROFIT(Q)

Highest at CNY -757.65 MM

NET PROFIT(Q)

Highest at CNY -506.21 MM

EPS(Q)

Highest at CNY -0.17

-12What is not working for the Company

NET SALES(9M)

At CNY 7,061.03 MM has Grown at -26.34%

OPERATING CASH FLOW(Y)

Lowest at CNY -259.72 MM

ROCE(HY)

Lowest at -181.15%

DEBT-EQUITY RATIO (HY)

Highest at 7,459.79 %

CASH AND EQV(HY)

Lowest at CNY 502.11 MM

Here's what is working for Shandong Chenming Paper Holdings Ltd.

Net Sales

At CNY 2,981.11 MM has Grown at 92.75%

over average net sales of the previous four periods of CNY 1,546.64 MM

MOJO Watch

Near term sales trend is extremely positive

Net Sales (CNY MM)

Net Sales

Highest at CNY 2,981.11 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Operating Profit

Highest at CNY -466.67 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (CNY MM)

Operating Profit Margin

Highest at -15.65 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at CNY -757.65 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Pre-Tax Profit

At CNY -757.65 MM has Grown at 62.63%

over average net sales of the previous four periods of CNY -2,027.46 MM

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

Highest at CNY -506.21 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

Net Profit

At CNY -506.21 MM has Grown at 75.15%

over average net sales of the previous four periods of CNY -2,036.8 MM

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY -0.17

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Raw Material Cost

Fallen by -93.02% (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 Shandong Chenming Paper Holdings Ltd.

Operating Cash Flow

Lowest at CNY -259.72 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)

Debt-Equity Ratio

Highest at 7,459.79 % 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

Cash and Eqv

Lowest at CNY 502.11 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents