Why is Shandong Meichen Ecology & Environment Co., Ltd. ?
1
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 -10.03% and Operating profit at -204.55% over the last 5 years
- High Debt Company with a Debt to Equity ratio (avg) at times
2
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 6.48%, its profits have risen by 63%
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 Auto Components & Equipments)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Shandong Meichen Ecology & Environment Co., Ltd. for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Shandong Meichen Ecology & Environment Co., Ltd.
3.72%
2.15
82.01%
China Shanghai Composite
14.77%
1.01
15.10%
Quality key factors
Factor
Value
Sales Growth (5y)
-10.03%
EBIT Growth (5y)
-204.55%
EBIT to Interest (avg)
-1.37
Debt to EBITDA (avg)
Negative Net Debt
Net Debt to Equity (avg)
52.21
Sales to Capital Employed (avg)
0.39
Tax Ratio
0.75%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
0.72%
ROE (avg)
0.23%
Valuation Key Factors 
Factor
Value
P/E Ratio
NA (Loss Making)
Industry P/E
Price to Book Value
353.33
EV to EBIT
-21.43
EV to EBITDA
-32.26
EV to Capital Employed
2.21
EV to Sales
3.76
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
-10.32%
ROE (Latest)
-4766.53%
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bullish
Mildly Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
Mildly Bearish
No Trend
OBV
Mildly Bearish
Mildly Bullish
Technical Movement
11What is working for the Company
RAW MATERIAL COST(Y)
Fallen by -692% (YoY
DEBTORS TURNOVER RATIO(HY)
Highest at 0.41%
PRE-TAX PROFIT(Q)
At CNY -51.84 MM has Grown at 65.09%
NET PROFIT(Q)
At CNY -48.39 MM has Grown at 65.94%
-7What is not working for the Company
OPERATING CASH FLOW(Y)
Lowest at CNY -122.12 MM
DEBT-EQUITY RATIO
(HY)
Highest at 5,283.11 %
CASH AND EQV(HY)
Lowest at CNY 123.31 MM
NET SALES(Q)
At CNY 402 MM has Fallen at -8.75%
Here's what is working for Shandong Meichen Ecology & Environment Co., Ltd.
Pre-Tax Profit
At CNY -51.84 MM has Grown at 65.09%
over average net sales of the previous four periods of CNY -148.47 MMMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (CNY MM)
Net Profit
At CNY -48.39 MM has Grown at 65.94%
over average net sales of the previous four periods of CNY -142.1 MMMOJO Watch
Near term Net Profit trend is positive
Net Profit (CNY MM)
Debtors Turnover Ratio
Highest at 0.41%
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Raw Material Cost
Fallen by -692% (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 Meichen Ecology & Environment Co., Ltd.
Operating Cash Flow
Lowest at CNY -122.12 MM and Fallen
In each year in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (CNY MM)
Debt-Equity Ratio
Highest at 5,283.11 % and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
Net Sales
At CNY 402 MM has Fallen at -8.75%
over average net sales of the previous four periods of CNY 440.54 MMMOJO Watch
Near term sales trend is negative
Net Sales (CNY MM)
Cash and Eqv
Lowest at CNY 123.31 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is deteriorating
Cash and Cash Equivalents






