Shandong Longertek Technology Co., Ltd. (300594) 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 Longertek Technology Co., Ltd.

Why is Shandong Longertek Technology Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 1.82%

The company has been able to generate a Return on Capital Employed (avg) of 1.82% signifying low profitability per unit of total capital (equity and debt)

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 8.49% and Operating profit at -184.75% 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 1.80% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 8.49% and Operating profit at -184.75% over the last 5 years

The company has declared Negative results for the last 4 consecutive quarters

INTEREST(HY) At CNY 12.58 MM has Grown at 35.62%
DEBTORS TURNOVER RATIO(HY) Lowest at 0.69 times

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 48.63%, its profits have fallen by -98.4%

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 Automobiles)

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

Is Shandong Longertek Technology Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Shandong Longertek Technology Co., Ltd.

59.09%

1.50

48.50%

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)

8.49%

EBIT Growth (5y)

-184.75%

EBIT to Interest (avg)

0.68

Debt to EBITDA (avg)

4.82

Net Debt to Equity (avg)

0.52

Sales to Capital Employed (avg)

0.66

Tax Ratio

12.42%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

1.82%

ROE (avg)

1.80%

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

1.95

EV to EBIT

-39.58

EV to EBITDA

-208.03

EV to Capital Employed

1.65

EV to Sales

2.43

PEG Ratio

Dividend Yield

ROCE (Latest)

-4.17%

ROE (Latest)

-6.54%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

No Trend

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

11What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 89.94 MM

NET PROFIT(HY)

Higher at CNY -0.16 MM

RAW MATERIAL COST(Y)

Fallen by -5.15% (YoY

-7What is not working for the Company

INTEREST(HY)

At CNY 12.58 MM has Grown at 35.62%

DEBTORS TURNOVER RATIO(HY)

Lowest at 0.69 times

Here's what is working for Shandong Longertek Technology Co., Ltd.

Net Profit

At CNY -0.16 MM has Grown at 99.25%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (CNY MM)

Net Profit

Higher at CNY -0.16 MM

than preceding 12 month period ended Sep 2025

MOJO Watch

In the half year the company has already crossed Net Profit of the previous twelve months

Net Profit (CNY MM)

Operating Cash Flow

Highest at CNY 89.94 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Raw Material Cost

Fallen by -5.15% (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 Longertek Technology Co., Ltd.

Interest

At CNY 12.58 MM has Grown at 35.62%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Debtors Turnover Ratio

Lowest at 0.69 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio