Shanghai Chinafortune Co., Ltd. (600621) 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

Shanghai Chinafortune Co., Ltd.

Why is Shanghai Chinafortune Co., Ltd. ?

Weak Long Term Fundamental Strength with an average Return on Equity (ROE) of 6.37%

Poor long term growth as Net Sales has grown by an annual rate of 10.60% and Operating profit at 9.40%
The company has been able to generate a Return on Equity (avg) of 6.37% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 10.60% and Operating profit at 9.40%

Positive results in Jun 26

OPERATING CASH FLOW(Y) Highest at CNY 12,004.44 MM
NET PROFIT(HY) At CNY 402.26 MM has Grown at 79.47%
ROCE(HY) Highest at 9.11%

With ROE of 6.80%, it has a expensive valuation with a 1.46 Price to Book Value

Over the past year, while the stock has generated a return of -10.83%, its profits have risen by 74% ; the PEG ratio of the company is 0.3
At the current price, the company has a high dividend yield of 0.9

Underperformed the market in the last 1 year

Even though the market (China Shanghai Composite) has generated returns of 3.40% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -10.83% returns

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Shanghai Chinafortune Co., Ltd. should be less than 10%
Overall Portfolio exposure to Capital Markets should be less than 30%

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

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

Is Shanghai Chinafortune Co., Ltd. for you?

Medium Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Shanghai Chinafortune Co., Ltd.

-12.98%

0.27

29.70%

China Shanghai Composite

3.23%

0.23

14.72%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

10.60%

EBIT Growth (5y)

9.40%

EBIT to Interest (avg)

2.23

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

Tax Ratio

24.77%

Dividend Payout Ratio

30.04%

Pledged Shares

Institutional Holding

ROCE (avg)

28,701.88%

ROE (avg)

6.37%

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

1.46

EV to EBIT

-4.71

EV to EBITDA

-4.06

EV to Capital Employed

0.58

EV to Sales

-1.61

PEG Ratio

0.29

Dividend Yield

0.91%

ROCE (Latest)

-12.34%

ROE (Latest)

6.80%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bearish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Mildly Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bullish

Bearish

Dow Theory

Mildly Bullish

No Trend

OBV

Bullish

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

17What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 12,004.44 MM

NET PROFIT(HY)

At CNY 402.26 MM has Grown at 79.47%

ROCE(HY)

Highest at 9.11%

RAW MATERIAL COST(Y)

Fallen by -21.52% (YoY

CASH AND EQV(HY)

Highest at CNY 40,853.71 MM

DEBT-EQUITY RATIO (HY)

Lowest at 16.68 %

DIVIDEND PER SHARE(HY)

Highest at CNY 0.43

NET SALES(Q)

At CNY 907.84 MM has Grown at 24.45%

-3What is not working for the Company

DEBTORS TURNOVER RATIO(HY)

Lowest at 0.43 times

INVENTORY TURNOVER RATIO(HY)

Lowest at 0 times

Here's what is working for Shanghai Chinafortune Co., Ltd.

Operating Cash Flow

Highest at CNY 12,004.44 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)

Net Profit

At CNY 402.26 MM has Grown at 79.47%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

Net Sales

At CNY 907.84 MM has Grown at 24.45%

over average net sales of the previous four periods of CNY 729.46 MM

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Cash and Eqv

Highest at CNY 40,853.71 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio

Lowest at 16.68 %

in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Dividend per share

Highest at CNY 0.43

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (CNY)

Raw Material Cost

Fallen by -21.52% (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 Shanghai Chinafortune Co., Ltd.

Debtors Turnover Ratio

Lowest at 0.43 times and Fallen

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

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Inventory Turnover Ratio

Lowest at 0 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

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