Why is Shanghai Rendu Biotechnology Co., Ltd. ?
1
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)
2
Poor long term growth as Net Sales has grown by an annual rate of -18.99% and Operating profit at -196.46% over the last 5 years
- RAW MATERIAL COST(Y) Fallen by -3.58% (YoY)
- PRE-TAX PROFIT(Q) At CNY -1.05 MM has Grown at 71.87%
- NET PROFIT(Q) At CNY -0.39 MM has Grown at 76.29%
3
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 15.98%, its profits have fallen by -143.7%
How much should you hold?
- 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%
1.54
44.20%
China Shanghai Composite
15.19%
1.04
14.54%
Quality key factors
Factor
Value
Sales Growth (5y)
-18.99%
EBIT Growth (5y)
-196.46%
EBIT to Interest (avg)
-6.82
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.84
Sales to Capital Employed (avg)
0.20
Tax Ratio
42.93%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
17.05%
ROE (avg)
2.04%
Valuation Key Factors 
Factor
Value
P/E Ratio
NA (Loss Making)
Industry P/E
Price to Book Value
1.54
EV to EBIT
-15.13
EV to EBITDA
-30.14
EV to Capital Employed
5.49
EV to Sales
3.55
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
-36.27%
ROE (Latest)
-1.02%
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Mildly Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
Mildly Bearish
No Trend
OBV
Mildly Bearish
No Trend
Technical Movement
3What is working for the Company
RAW MATERIAL COST(Y)
Fallen by -3.58% (YoY
PRE-TAX PROFIT(Q)
At CNY -1.05 MM has Grown at 71.87%
NET PROFIT(Q)
At CNY -0.39 MM has Grown at 76.29%
-16What is not working for the Company
NET PROFIT(HY)
At CNY -8.97 MM has Grown at -148.01%
INTEREST(HY)
At CNY 0.17 MM has Grown at 27.89%
ROCE(HY)
Lowest at -1.1%
NET SALES(Q)
Lowest at CNY 40.38 MM
Here's what is working for Shanghai Rendu Biotechnology Co., Ltd.
Pre-Tax Profit
At CNY -1.05 MM has Grown at 71.87%
over average net sales of the previous four periods of CNY -3.75 MMMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (CNY MM)
Net Profit
At CNY -0.39 MM has Grown at 76.29%
over average net sales of the previous four periods of CNY -1.63 MMMOJO Watch
Near term Net Profit trend is positive
Net Profit (CNY MM)
Raw Material Cost
Fallen by -3.58% (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 Rendu Biotechnology Co., Ltd.
Interest
At CNY 0.17 MM has Grown at 27.89%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (CNY MM)
Net Sales
Lowest at CNY 40.38 MM
in the last five periodsMOJO Watch
Near term sales trend is negative
Net Sales (CNY MM)
Net Sales
At CNY 40.38 MM has Fallen at -8.42%
over average net sales of the previous four periods of CNY 44.09 MMMOJO Watch
Near term sales trend is negative
Net Sales (CNY MM)






