Shandong Hi-speed Co., Ltd. (600350) 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 Hi-speed Co., Ltd.

Why is Shandong Hi-speed Co., Ltd. ?

High Debt Company with a Debt to Equity ratio (avg) at times

Poor long term growth as Net Sales has grown by an annual rate of 21.64% and Operating profit at 11.42% over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times
The company has been able to generate a Return on Equity (avg) of 12.27% signifying low profitability per unit of shareholders funds

Negative results in Sep 25

NET SALES(Q) At CNY 6,102.29 MM has Fallen at -21.41%
INTEREST COVERAGE RATIO(Q) Lowest at 295.59
DEBT-EQUITY RATIO (HY) Highest at 283.3 %

With ROE of 13.91%, it has a very expensive valuation with a 1.45 Price to Book Value

Over the past year, while the stock has generated a return of -3.49%, its profits have risen by 4.1% ; the PEG ratio of the company is 2.6

Underperformed the market in the last 1 year

Even though the market (China Shanghai Composite) has generated returns of 22.49% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -3.49% returns

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 Transport Services)

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

Is Shandong Hi-speed Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Shandong Hi-speed Co., Ltd.

4.69%

0.34

18.90%

China Shanghai Composite

13.33%

1.58

14.20%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

21.64%

EBIT Growth (5y)

11.42%

EBIT to Interest (avg)

2.45

Debt to EBITDA (avg)

8.20

Net Debt to Equity (avg)

2.55

Sales to Capital Employed (avg)

0.24

Tax Ratio

28.98%

Dividend Payout Ratio

63.76%

Pledged Shares

Institutional Holding

ROCE (avg)

5.21%

ROE (avg)

12.27%

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

1.45

EV to EBIT

23.05

EV to EBITDA

13.61

EV to Capital Employed

1.12

EV to Sales

4.61

PEG Ratio

2.57

Dividend Yield

4.84%

ROCE (Latest)

4.85%

ROE (Latest)

13.91%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Mildly Bearish

Dow Theory

No Trend

Mildly Bullish

OBV

No Trend

Mildly 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

8What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 8,158.8 MM

ROCE(HY)

Highest at 11.23%

RAW MATERIAL COST(Y)

Fallen by -21.38% (YoY

NET PROFIT(Q)

Highest at CNY 923.13 MM

EPS(Q)

Highest at CNY 0.19

-16What is not working for the Company

NET SALES(Q)

At CNY 6,102.29 MM has Fallen at -21.41%

INTEREST COVERAGE RATIO(Q)

Lowest at 295.59

DEBT-EQUITY RATIO (HY)

Highest at 283.3 %

INVENTORY TURNOVER RATIO(HY)

Lowest at 16.15 times

DEBTORS TURNOVER RATIO(HY)

Lowest at 1.76 times

OPERATING PROFIT(Q)

Lowest at CNY 1,510.12 MM

Here's what is working for Shandong Hi-speed Co., Ltd.

Operating Cash Flow

Highest at CNY 8,158.8 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Net Profit

Highest at CNY 923.13 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY 0.19

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Raw Material Cost

Fallen by -21.38% (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 Hi-speed Co., Ltd.

Net Sales

At CNY 6,102.29 MM has Fallen at -21.41%

Year on Year (YoY)

MOJO Watch

Near term sales trend is extremely negative

Net Sales (CNY MM)

Interest Coverage Ratio

Lowest at 295.59

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Operating Profit

Lowest at CNY 1,510.12 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Debt-Equity Ratio

Highest at 283.3 %

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

Inventory Turnover Ratio

Lowest at 16.15 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 1.76 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio