Shanghai Karon Eco-Valve Manufacturing Co., Ltd. () 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 Karon Eco-Valve Manufacturing Co., Ltd.

Why is Shanghai Karon Eco-Valve Manufacturing Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of -7.33% and Operating profit at -33.75% over the last 5 years

With a fall in Net Sales of -23.97%, the company declared Very Negative results in Mar 26

The company has declared negative results for the last 2 consecutive quarters
ROCE(HY) Lowest at 2.21%
DEBT-EQUITY RATIO (HY) Highest at -40.89 %
DEBTORS TURNOVER RATIO(HY) Lowest at 1.46 times

Underperformed the market in the last 1 year

The stock has generated a return of 3.39% in the last 1 year, much lower than market (China Shanghai Composite) returns of 16.78%

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 Industrial Manufacturing)

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

Is Shanghai Karon Eco-Valve Manufacturing Co., Ltd. for you?

High Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Shanghai Karon Eco-Valve Manufacturing Co., Ltd.

3.39%

0.46

53.46%

China Shanghai Composite

16.78%

1.20

13.96%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-7.33%

EBIT Growth (5y)

-33.75%

EBIT to Interest (avg)

16.65

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.46

Sales to Capital Employed (avg)

0.41

Tax Ratio

18.78%

Dividend Payout Ratio

83.64%

Pledged Shares

Institutional Holding

ROCE (avg)

13.97%

ROE (avg)

8.77%

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

0.52

EV to EBIT

5.75

EV to EBITDA

3.56

EV to Capital Employed

0.18

EV to Sales

0.29

PEG Ratio

Dividend Yield

1.52%

ROCE (Latest)

3.18%

ROE (Latest)

2.14%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bearish

Moving Averages

Bearish (Daily)

KST

Mildly Bullish

Bullish

Dow Theory

Mildly Bullish

No Trend

OBV

Mildly Bearish

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

2What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 917.98 MM

-38What is not working for the Company

ROCE(HY)

Lowest at 2.21%

DEBT-EQUITY RATIO (HY)

Highest at -40.89 %

DEBTORS TURNOVER RATIO(HY)

Lowest at 1.46 times

RAW MATERIAL COST(Y)

Grown by 8.89% (YoY

NET SALES(Q)

Lowest at CNY 121.03 MM

OPERATING PROFIT(Q)

Lowest at CNY -10.13 MM

OPERATING PROFIT MARGIN(Q)

Lowest at -8.37 %

PRE-TAX PROFIT(Q)

Lowest at CNY -9.07 MM

NET PROFIT(Q)

Lowest at CNY -7.12 MM

EPS(Q)

Lowest at CNY -0.04

Here's what is working for Shanghai Karon Eco-Valve Manufacturing Co., Ltd.

Operating Cash Flow

Highest at CNY 917.98 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Here's what is not working for Shanghai Karon Eco-Valve Manufacturing Co., Ltd.

Net Sales

At CNY 121.03 MM has Fallen at -23.97%

Year on Year (YoY)

MOJO Watch

Near term sales trend is extremely negative

Net Sales (CNY MM)

Pre-Tax Profit

At CNY -9.07 MM has Fallen at -197.68%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Net Profit

At CNY -7.12 MM has Fallen at -195.83%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Debt-Equity Ratio

Highest at -40.89 % and Grown

In each half year 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

Debtors Turnover Ratio

Lowest at 1.46 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

Net Sales

Lowest at CNY 121.03 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Operating Profit

Lowest at CNY -10.13 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at -8.37 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at CNY -9.07 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (CNY MM)

Net Profit

Lowest at CNY -7.12 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CNY MM)

EPS

Lowest at CNY -0.04

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (CNY)

Raw Material Cost

Grown by 8.89% (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