Shanghai Emperor of Cleaning Hi-Tech Co., Ltd. (603200) 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 Emperor of Cleaning Hi-Tech Co., Ltd.

Why is Shanghai Emperor of Cleaning Hi-Tech Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 3.09%

The company has been able to generate a Return on Capital Employed (avg) of 3.09% signifying low profitability per unit of total capital (equity and debt)

Poor long term growth as Net Sales has grown by an annual rate of -4.42% and Operating profit at -18.58% over the last 5 years

The company has declared Negative results for the last 3 consecutive quarters

INTEREST(HY) At CNY 5.81 MM has Grown at 24.22%
PRE-TAX PROFIT(Q) At CNY 10.61 MM has Fallen at -60.12%
NET PROFIT(Q) At CNY 12.05 MM has Fallen at -55.56%

With ROE of 9.51%, it has a very expensive valuation with a 14.58 Price to Book Value

Over the past year, while the stock has generated a return of 75.39%, its profits have risen by 83% ; the PEG ratio of the company is 1.9
At the current price, the company has a high dividend yield of 0.1

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 Chemicals & Petrochemicals)

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

Is Shanghai Emperor of Cleaning Hi-Tech Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Shanghai Emperor of Cleaning Hi-Tech Co., Ltd.

13.42%

4.38

57.47%

China Shanghai Composite

21.43%

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)

-1.22%

EBIT Growth (5y)

-152.80%

EBIT to Interest (avg)

3.64

Debt to EBITDA (avg)

0.68

Net Debt to Equity (avg)

0.17

Sales to Capital Employed (avg)

0.38

Tax Ratio

10.81%

Dividend Payout Ratio

5.85%

Pledged Shares

Institutional Holding

ROCE (avg)

3.09%

ROE (avg)

4.00%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

127

Industry P/E

Price to Book Value

7.67

EV to EBIT

-8581.35

EV to EBITDA

398.72

EV to Capital Employed

6.86

EV to Sales

16.79

PEG Ratio

0.82

Dividend Yield

0.19%

ROCE (Latest)

-0.06%

ROE (Latest)

6.02%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly Bullish

Mildly Bearish

OBV

No Trend

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

3What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -8.22% (YoY

CASH AND EQV(HY)

Highest at CNY 853.11 MM

DEBTORS TURNOVER RATIO(HY)

Highest at 1.24 times

-20What is not working for the Company

INTEREST(9M)

At CNY 8.99 MM has Grown at 13.54%

PRE-TAX PROFIT(Q)

At CNY -1.21 MM has Fallen at -105.45%

NET PROFIT(Q)

At CNY 1.86 MM has Fallen at -91.62%

INVENTORY TURNOVER RATIO(HY)

Lowest at 2.92 times

NET SALES(Q)

At CNY 111.71 MM has Fallen at -11%

Here's what is working for Shanghai Emperor of Cleaning Hi-Tech Co., Ltd.

Cash and Eqv

Highest at CNY 853.11 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debtors Turnover Ratio

Highest at 1.24 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by -8.22% (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 Emperor of Cleaning Hi-Tech Co., Ltd.

Pre-Tax Profit

At CNY -1.21 MM has Fallen at -105.45%

over average net sales of the previous four periods of CNY 22.28 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 1.86 MM has Fallen at -91.62%

over average net sales of the previous four periods of CNY 22.18 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Interest

At CNY 8.99 MM has Grown at 13.54%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Inventory Turnover Ratio

Lowest at 2.92 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

Net Sales

At CNY 111.71 MM has Fallen at -11%

over average net sales of the previous four periods of CNY 125.52 MM

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)