Shandong Swan Cotton Industrial Machinery Stock Co., Ltd. (603029) 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 Swan Cotton Industrial Machinery Stock Co., Ltd.

Why is Shandong Swan Cotton Industrial Machinery Stock Co., Ltd. ?

Flat results in Sep 25

INTEREST COVERAGE RATIO(Q) Lowest at 1,755.5
RAW MATERIAL COST(Y) Grown by 24.34% (YoY)
INTEREST(Q) Highest at CNY 1.09 MM

With ROE of 8.10%, it has a very attractive valuation with a 2.41 Price to Book Value

Over the past year, while the stock has generated a return of 11.36%, its profits have risen by 7% ; the PEG ratio of the company is 4.2
At the current price, the company has a high dividend yield of 1

Underperformed the market in the last 1 year

The stock has generated a return of 11.36% in the last 1 year, much lower than market (China Shanghai Composite) returns of 22.49%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Shandong Swan Cotton Industrial Machinery Stock Co., Ltd. should be less than 10%
Overall Portfolio exposure to Industrial Manufacturing should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Industrial Manufacturing)

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

Is Shandong Swan Cotton Industrial Machinery Stock Co., Ltd. for you?

Medium Risk, High Return

Absolute

Risk Adjusted

Volatility

Shandong Swan Cotton Industrial Machinery Stock Co., Ltd.

-9.54%

1.18

30.15%

China Shanghai Composite

23.91%

1.58

14.20%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

17.56%

EBIT Growth (5y)

44.60%

EBIT to Interest (avg)

8.43

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.05

Sales to Capital Employed (avg)

0.80

Tax Ratio

4.51%

Dividend Payout Ratio

30.08%

Pledged Shares

Institutional Holding

ROCE (avg)

4.29%

ROE (avg)

5.72%

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

2.01

EV to EBIT

34.58

EV to EBITDA

21.98

EV to Capital Employed

2.00

EV to Sales

1.92

PEG Ratio

3.62

Dividend Yield

ROCE (Latest)

5.77%

ROE (Latest)

7.78%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly Bearish

OBV

No Trend

Mildly Bearish

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

6What is working for the Company

NET SALES(Q)

At CNY 174.62 MM has Grown at 42.7%

INVENTORY TURNOVER RATIO(HY)

Highest at 0.63 times

DEBTORS TURNOVER RATIO(HY)

Highest at 5.25 times

-14What is not working for the Company

INTEREST(HY)

At CNY 1.92 MM has Grown at 64.14%

INTEREST COVERAGE RATIO(Q)

Lowest at 974.48

RAW MATERIAL COST(Y)

Grown by 9.23% (YoY

DEBT-EQUITY RATIO (HY)

Highest at 4.27 %

OPERATING PROFIT(Q)

Lowest at CNY 9.61 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 5.5 %

Here's what is working for Shandong Swan Cotton Industrial Machinery Stock Co., Ltd.

Net Sales

At CNY 174.62 MM has Grown at 42.7%

Year on Year (YoY)

MOJO Watch

Near term sales trend is very positive

Net Sales (CNY MM)

Inventory Turnover Ratio

Highest at 0.63 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Debtors Turnover Ratio

Highest at 5.25 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Here's what is not working for Shandong Swan Cotton Industrial Machinery Stock Co., Ltd.

Interest

At CNY 1.92 MM has Grown at 64.14%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Interest Coverage Ratio

Lowest at 974.48

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Operating Profit

Lowest at CNY 9.61 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 5.5 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Debt-Equity Ratio

Highest at 4.27 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Raw Material Cost

Grown by 9.23% (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