Shandong Humon Smelting Co. Ltd. (002237) 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 Humon Smelting Co. Ltd.

Why is Shandong Humon Smelting Co. Ltd. ?

With a growth in Net Profit of 65.53%, the company declared Very Positive results in Sep 25

The company has declared positive results in Jan 70 after 2 consecutive negative quarters
ROCE(HY) Highest at 6.36%
NET SALES(Q) Highest at CNY 33,393.86 MM
PRE-TAX PROFIT(Q) Highest at CNY 297.11 MM

With ROE of 6.27%, it has a attractive valuation with a 1.61 Price to Book Value

Over the past year, while the stock has generated a return of 24.39%, its profits have risen by 26.8% ; the PEG ratio of the company is 1
At the current price, the company has a high dividend yield of 1

Market Beating Performance

The stock has generated a return of 24.39% in the last 1 year, much higher than market (China Shanghai Composite) returns of 13.33%

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Shandong Humon Smelting Co. Ltd. should be less than 10%
Overall Portfolio exposure to Gems, Jewellery And Watches should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Gems, Jewellery And Watches)

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

Is Shandong Humon Smelting Co. Ltd. for you?

High Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Shandong Humon Smelting Co. Ltd.

28.23%

0.28

47.89%

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)

21.02%

EBIT Growth (5y)

-5.91%

EBIT to Interest (avg)

2.93

Debt to EBITDA (avg)

4.70

Net Debt to Equity (avg)

1.20

Sales to Capital Employed (avg)

3.33

Tax Ratio

17.21%

Dividend Payout Ratio

30.16%

Pledged Shares

Institutional Holding

ROCE (avg)

6.93%

ROE (avg)

5.37%

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

1.61

EV to EBIT

45.88

EV to EBITDA

22.89

EV to Capital Employed

1.28

EV to Sales

0.37

PEG Ratio

0.96

Dividend Yield

1.00%

ROCE (Latest)

2.78%

ROE (Latest)

6.27%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

Mildly Bullish

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

19What is working for the Company

ROCE(HY)

Highest at 6.36%

NET SALES(Q)

Highest at CNY 33,393.86 MM

PRE-TAX PROFIT(Q)

Highest at CNY 297.11 MM

NET PROFIT(Q)

Highest at CNY 281.48 MM

EPS(Q)

Highest at CNY 0.19

-11What is not working for the Company

INTEREST(HY)

At CNY 222 MM has Grown at 43.81%

OPERATING CASH FLOW(Y)

Lowest at CNY -971.26 MM

RAW MATERIAL COST(Y)

Grown by 47.13% (YoY

Here's what is working for Shandong Humon Smelting Co. Ltd.

Net Sales

At CNY 33,393.86 MM has Grown at 71.65%

over average net sales of the previous four periods of CNY 19,454.54 MM

MOJO Watch

Near term sales trend is extremely positive

Net Sales (CNY MM)

Net Sales

Highest at CNY 33,393.86 MM and Grown

In each period in the last five periods

MOJO Watch

Near term sales trend is very positive

Net Sales (CNY MM)

Pre-Tax Profit

Highest at CNY 297.11 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 297.11 MM has Grown at 92.19%

over average net sales of the previous four periods of CNY 154.59 MM

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

Highest at CNY 281.48 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

Net Profit

At CNY 281.48 MM has Grown at 75.27%

over average net sales of the previous four periods of CNY 160.59 MM

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)

Here's what is not working for Shandong Humon Smelting Co. Ltd.

Interest

At CNY 222 MM has Grown at 43.81%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Operating Cash Flow

Lowest at CNY -971.26 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CNY MM)

Raw Material Cost

Grown by 47.13% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales