Shanghai PRET Composites Co. Ltd. (002324) 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 PRET Composites Co. Ltd.

Why is Shanghai PRET Composites Co. Ltd. ?

The company is Net-Debt Free

Poor long term growth as Net Sales has grown by an annual rate of 16.89% and Operating profit at -9.99% over the last 5 years
The company is Net-Debt Free
The company has been able to generate a Return on Equity (avg) of 7.79% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 16.89% and Operating profit at -9.99% over the last 5 years

Flat results in Mar 26

DEBT-EQUITY RATIO (HY) Highest at 93.68 %
INTEREST COVERAGE RATIO(Q) Lowest at 207.81
PRE-TAX PROFIT(Q) At CNY 48.35 MM has Fallen at -50.86%

With ROE of 6.26%, it has a fair valuation with a 2.90 Price to Book Value

Over the past year, while the stock has generated a return of 30.91%, its profits have risen by 139.5% ; the PEG ratio of the company is 0.3
At the current price, the company has a high dividend yield of 0.3

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 Miscellaneous)

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

Is Shanghai PRET Composites Co. Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Shanghai PRET Composites Co. Ltd.

27.17%

0.79

49.90%

China Shanghai Composite

23.91%

1.73

13.79%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

16.89%

EBIT Growth (5y)

-9.99%

EBIT to Interest (avg)

3.77

Debt to EBITDA (avg)

11.49

Net Debt to Equity (avg)

0.87

Sales to Capital Employed (avg)

0.95

Tax Ratio

27.51%

Dividend Payout Ratio

16.44%

Pledged Shares

Institutional Holding

ROCE (avg)

5.17%

ROE (avg)

7.79%

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

2.90

EV to EBIT

59.68

EV to EBITDA

30.93

EV to Capital Employed

2.00

EV to Sales

1.69

PEG Ratio

0.33

Dividend Yield

0.29%

ROCE (Latest)

3.35%

ROE (Latest)

6.26%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Bullish

Moving Averages

Bearish (Daily)

KST

Bearish

Bullish

Dow Theory

No Trend

Mildly Bearish

OBV

Mildly Bullish

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

13What is working for the Company

NET PROFIT(HY)

At CNY 89.18 MM has Grown at 109.24%

NET SALES(HY)

At CNY 5,652.57 MM has Grown at 25.85%

INVENTORY TURNOVER RATIO(HY)

Highest at 4.7 times

DEBTORS TURNOVER RATIO(HY)

Highest at 2.62 times

-11What is not working for the Company

DEBT-EQUITY RATIO (HY)

Highest at 93.68 %

INTEREST COVERAGE RATIO(Q)

Lowest at 207.81

PRE-TAX PROFIT(Q)

At CNY 48.35 MM has Fallen at -50.86%

NET PROFIT(Q)

At CNY 48.28 MM has Fallen at -47.37%

RAW MATERIAL COST(Y)

Grown by 32.93% (YoY

OPERATING PROFIT(Q)

Lowest at CNY 43.58 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 1.72 %

Here's what is working for Shanghai PRET Composites Co. Ltd.

Net Sales

At CNY 5,652.57 MM has Grown at 25.85%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Inventory Turnover Ratio

Highest at 4.7 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 2.62 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 Shanghai PRET Composites Co. Ltd.

Interest Coverage Ratio

Lowest at 207.81

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Pre-Tax Profit

At CNY 48.35 MM has Fallen at -50.86%

over average net sales of the previous four periods of CNY 98.39 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 48.28 MM has Fallen at -47.37%

over average net sales of the previous four periods of CNY 91.74 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Debt-Equity Ratio

Highest at 93.68 % 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

Operating Profit

Lowest at CNY 43.58 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 1.72 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Raw Material Cost

Grown by 32.93% (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