Shandong Ruifeng Chemical Co. Ltd. (300243) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Shandong Ruifeng Chemical Co. Ltd.

Why is Shandong Ruifeng Chemical 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 12.48% and Operating profit at -7.83% 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 7.66% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 12.48% and Operating profit at -7.83% over the last 5 years

The company has declared Negative results for the last 5 consecutive quarters

NET PROFIT(HY) At CNY -9.21 MM has Grown at -131.72%
OPERATING CASH FLOW(Y) Lowest at CNY 32.47 MM
ROCE(HY) Lowest at 1.64%

With ROE of 0.89%, it has a very expensive valuation with a 1.84 Price to Book Value

Over the past year, while the stock has generated a return of -6.95%, its profits have fallen by -85.4%

Underperformed the market in the last 1 year

Even though the market (China Shanghai Composite) has generated returns of 15.18% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -6.95% 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 Other Industrial Products)

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

Is Shandong Ruifeng Chemical Co. Ltd. for you?

High Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Shandong Ruifeng Chemical Co. Ltd.

-8.21%

0.42

42.80%

China Shanghai Composite

14.77%

1.01

15.10%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

12.48%

EBIT Growth (5y)

-7.83%

EBIT to Interest (avg)

5.23

Debt to EBITDA (avg)

4.24

Net Debt to Equity (avg)

0.71

Sales to Capital Employed (avg)

0.96

Tax Ratio

35.59%

Dividend Payout Ratio

56.69%

Pledged Shares

Institutional Holding

ROCE (avg)

6.96%

ROE (avg)

7.66%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

206

Industry P/E

Price to Book Value

1.84

EV to EBIT

50.10

EV to EBITDA

18.02

EV to Capital Employed

1.50

EV to Sales

1.32

PEG Ratio

Dividend Yield

0.60%

ROCE (Latest)

2.99%

ROE (Latest)

0.89%

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

Mildly Bearish

Bullish

Dow Theory

Mildly Bearish

Mildly Bullish

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

1What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -12.36% (YoY

-28What is not working for the Company

NET PROFIT(HY)

At CNY -9.21 MM has Grown at -131.72%

OPERATING CASH FLOW(Y)

Lowest at CNY 32.47 MM

ROCE(HY)

Lowest at 1.64%

INTEREST COVERAGE RATIO(Q)

Lowest at 99.99

INVENTORY TURNOVER RATIO(HY)

Lowest at 5.83%

DEBTORS TURNOVER RATIO(HY)

Lowest at 3.31%

NET SALES(Q)

Lowest at CNY 471.19 MM

INTEREST(Q)

Highest at CNY 11.4 MM

OPERATING PROFIT(Q)

Lowest at CNY 11.4 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 2.42 %

Here's what is working for Shandong Ruifeng Chemical Co. Ltd.

Raw Material Cost

Fallen by -12.36% (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 Ruifeng Chemical Co. Ltd.

Net Profit

At CNY -9.21 MM has Grown at -131.72%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Interest Coverage Ratio

Lowest at 99.99

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Operating Cash Flow

Lowest at CNY 32.47 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CNY MM)

Net Sales

Lowest at CNY 471.19 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Interest

Highest at CNY 11.4 MM

in the last five periods and Increased by 6.29% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Operating Profit

Lowest at CNY 11.4 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 2.42 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Inventory Turnover Ratio

Lowest at 5.83%

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 3.31%

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio