Shandong Mining Machinery Group Co., Ltd. (002526) 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 Mining Machinery Group Co., Ltd.

Why is Shandong Mining Machinery Group Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of -0.84% and Operating profit at -39.87% over the last 5 years

Negative results in Sep 25

NET SALES(Q) At CNY 457.45 MM has Fallen at -19.03%
NET PROFIT(Q) At CNY 11.24 MM has Fallen at -63.05%
INVENTORY TURNOVER RATIO(HY) Lowest at 1.68 times

With ROE of 4.15%, it has a expensive valuation with a 2.13 Price to Book Value

Over the past year, while the stock has generated a return of -11.72%, its profits have risen by 29.2% ; the PEG ratio of the company is 1.8
At the current price, the company has a high dividend yield of 0.3

Underperformed the market in the last 1 year

Even though the market (China Shanghai Composite) has generated returns of 25.05% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -11.72% 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 Automobiles)

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

Is Shandong Mining Machinery Group Co., Ltd. for you?

Medium Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Shandong Mining Machinery Group Co., Ltd.

-12.44%

1.04

31.81%

China Shanghai Composite

24.7%

1.93

12.95%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-0.84%

EBIT Growth (5y)

-39.87%

EBIT to Interest (avg)

24.45

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.11

Sales to Capital Employed (avg)

0.67

Tax Ratio

18.21%

Dividend Payout Ratio

15.58%

Pledged Shares

Institutional Holding

ROCE (avg)

7.93%

ROE (avg)

6.73%

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

2.13

EV to EBIT

173.64

EV to EBITDA

50.48

EV to Capital Employed

2.23

EV to Sales

2.94

PEG Ratio

1.75

Dividend Yield

0.26%

ROCE (Latest)

1.28%

ROE (Latest)

4.15%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly Bearish

No Trend

OBV

Mildly Bullish

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

4What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 151.86 MM

RAW MATERIAL COST(Y)

Fallen by -29.13% (YoY

-23What is not working for the Company

NET SALES(Q)

At CNY 457.45 MM has Fallen at -19.03%

NET PROFIT(Q)

At CNY 11.24 MM has Fallen at -63.05%

INVENTORY TURNOVER RATIO(HY)

Lowest at 1.68 times

INTEREST(Q)

At CNY 1.46 MM has Grown at 286.28%

INTEREST COVERAGE RATIO(Q)

Lowest at 493.79

PRE-TAX PROFIT(Q)

At CNY 18.3 MM has Fallen at -54.52%

OPERATING PROFIT(Q)

Lowest at CNY 7.2 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 1.57 %

Here's what is working for Shandong Mining Machinery Group Co., Ltd.

Operating Cash Flow

Highest at CNY 151.86 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)

Raw Material Cost

Fallen by -29.13% (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 Mining Machinery Group Co., Ltd.

Net Sales

At CNY 457.45 MM has Fallen at -19.03%

over average net sales of the previous four periods of CNY 564.94 MM

MOJO Watch

Near term sales trend is extremely negative

Net Sales (CNY MM)

Net Profit

At CNY 11.24 MM has Fallen at -63.05%

over average net sales of the previous four periods of CNY 30.42 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Interest

At CNY 1.46 MM has Grown at 286.28%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Interest Coverage Ratio

Lowest at 493.79

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Pre-Tax Profit

At CNY 18.3 MM has Fallen at -54.52%

over average net sales of the previous four periods of CNY 40.24 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Inventory Turnover Ratio

Lowest at 1.68 times and Fallen

In each half year in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Operating Profit

Lowest at CNY 7.2 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 1.57 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales