Shanghai Rongtai Health Technology Corp., Ltd. (603579) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Shanghai Rongtai Health Technology Corp., Ltd.

Why is Shanghai Rongtai Health Technology Corp., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of -5.71% and Operating profit at -14.18% over the last 5 years

The company has declared negative results for the last 4 consecutive quarters

The company has declared negative results in Jun 24 after 2 consecutive negative quarters
INTEREST COVERAGE RATIO(Q) Lowest at 541.72
NET PROFIT(9M) At CNY 130.31 MM has Grown at -20.25%
NET SALES(HY) At CNY 818.94 MM has Grown at -13.93%

With ROE of 8.45%, it has a expensive valuation with a 2.39 Price to Book Value

Over the past year, while the stock has generated a return of 53.99%, its profits have fallen by -17.6%
At the current price, the company has a high dividend yield of 1.8

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 Electronics & Appliances)

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

Is Shanghai Rongtai Health Technology Corp., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Shanghai Rongtai Health Technology Corp., Ltd.

-100.0%

0.71

63.45%

China Shanghai Composite

15.19%

1.01

14.58%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-5.71%

EBIT Growth (5y)

-14.18%

EBIT to Interest (avg)

10.67

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.07

Sales to Capital Employed (avg)

0.61

Tax Ratio

11.71%

Dividend Payout Ratio

58.64%

Pledged Shares

Institutional Holding

ROCE (avg)

10.73%

ROE (avg)

10.39%

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

2.39

EV to EBIT

34.64

EV to EBITDA

22.89

EV to Capital Employed

3.37

EV to Sales

2.59

PEG Ratio

Dividend Yield

1.85%

ROCE (Latest)

9.72%

ROE (Latest)

8.45%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bearish

Bullish

Dow Theory

Mildly Bearish

OBV

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

0What is working for the Company

NO KEY POSITIVE TRIGGERS

-19What is not working for the Company

INTEREST COVERAGE RATIO(Q)

Lowest at 541.72

NET PROFIT(9M)

At CNY 130.31 MM has Grown at -20.25%

NET SALES(HY)

At CNY 818.94 MM has Grown at -13.93%

RAW MATERIAL COST(Y)

Grown by 9.84% (YoY

DEBTORS TURNOVER RATIO(HY)

Lowest at 7.65%

INTEREST(Q)

Highest at CNY 7.36 MM

Here's what is not working for Shanghai Rongtai Health Technology Corp., Ltd.

Interest Coverage Ratio

Lowest at 541.72 and Fallen

In each period in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Interest

At CNY 7.36 MM has Grown at 218.57%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Net Sales

At CNY 818.94 MM has Grown at -13.93%

Year on Year (YoY)

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Net Profit

At CNY 130.31 MM has Grown at -20.25%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CNY MM)

Interest

Highest at CNY 7.36 MM

in the last five periods and Increased by 218.57% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Debtors Turnover Ratio

Lowest at 7.65%

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Raw Material Cost

Grown by 9.84% (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