Shanghai Rendu Biotechnology 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 Rendu Biotechnology Co., Ltd.

Why is Shanghai Rendu Biotechnology Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 17.05%

The company has been able to generate a Return on Capital Employed (avg) of 17.05% 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 -18.72% and Operating profit at -213.53% over the last 5 years

DIVIDEND PAYOUT RATIO(Y) Highest at 116.91%
RAW MATERIAL COST(Y) Fallen by -5.3% (YoY)
DEBT-EQUITY RATIO (HY) Lowest at -84.84 %

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of 33.21%, its profits have fallen by -143.7%

Market Beating Performance

The stock has generated a return of 33.21% in the last 1 year, much higher than market (China Shanghai Composite) returns of 22.49%

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Shanghai Rendu Biotechnology Co., Ltd. should be less than 10%
Overall Portfolio exposure to Pharmaceuticals & Biotechnology should be less than 30%

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

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

Is Shanghai Rendu Biotechnology Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Shanghai Rendu Biotechnology Co., Ltd.

-100.0%

1.93

41.85%

China Shanghai Composite

16.78%

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)

-14.01%

EBIT Growth (5y)

-148.12%

EBIT to Interest (avg)

-6.82

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.84

Sales to Capital Employed (avg)

0.18

Tax Ratio

42.93%

Dividend Payout Ratio

441.63%

Pledged Shares

Institutional Holding

ROCE (avg)

17.05%

ROE (avg)

2.04%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

122

Industry P/E

Price to Book Value

1.62

EV to EBIT

-222.90

EV to EBITDA

63.34

EV to Capital Employed

5.27

EV to Sales

4.30

PEG Ratio

0.55

Dividend Yield

ROCE (Latest)

-2.37%

ROE (Latest)

1.32%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Sideways

Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bullish

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

24What is working for the Company

DEBT-EQUITY RATIO (HY)

Lowest at -85.19 %

INVENTORY TURNOVER RATIO(HY)

Highest at 2.02 times

NET PROFIT(Q)

Highest at CNY 4.77 MM

RAW MATERIAL COST(Y)

Fallen by -8.34% (YoY

DEBTORS TURNOVER RATIO(HY)

Highest at 3.31 times

PRE-TAX PROFIT(Q)

Highest at CNY 5.22 MM

0What is not working for the Company

NO KEY NEGATIVE TRIGGERS

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

Pre-Tax Profit

At CNY 5.22 MM has Grown at 216.78%

over average net sales of the previous four periods of CNY 1.65 MM

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (CNY MM)

Net Profit

Highest at CNY 4.77 MM and Grown

In each period in the last five periods

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (CNY MM)

Net Profit

At CNY 4.77 MM has Grown at 171.98%

over average net sales of the previous four periods of CNY 1.75 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (CNY MM)

Debt-Equity Ratio

Lowest at -85.19 % and Grown

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

MOJO Watch

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

Debt-Equity Ratio

Inventory Turnover Ratio

Highest at 2.02 times and Grown

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

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Pre-Tax Profit

Highest at CNY 5.22 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Debtors Turnover Ratio

Highest at 3.31 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 -8.34% (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