Shanghai Shen Lian Biomedical Corp. (688098) 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 Shen Lian Biomedical Corp.

Why is Shanghai Shen Lian Biomedical Corp. ?

Poor Management Efficiency with a low ROCE of 5.34%

The company has been able to generate a Return on Capital Employed (avg) of 5.34% signifying low profitability per unit of total capital (equity and debt)

The company is Net-Debt Free

Poor long term growth as Net Sales has grown by an annual rate of -3.27% and Operating profit at -176.76% over the last 5 years
The company is Net-Debt Free
The company has been able to generate a Return on Equity (avg) of 3.66% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of -3.27% and Operating profit at -176.76% over the last 5 years

The company has declared negative results for the last 2 consecutive quarters

INTEREST(HY) At CNY 0.25 MM has Grown at 80.94%
PRE-TAX PROFIT(Q) At CNY -20.24 MM has Fallen at -58.13%
NET PROFIT(Q) At CNY -17.36 MM has Fallen at -56.83%

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 -19.63%, its profits have risen by 52.4%
At the current price, the company has a high dividend yield of 0

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 Pharmaceuticals & Biotechnology)

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

Is Shanghai Shen Lian Biomedical Corp. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Shanghai Shen Lian Biomedical Corp.

-18.93%

2.00

45.78%

China Shanghai Composite

3.23%

0.23

14.72%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-3.27%

EBIT Growth (5y)

-176.76%

EBIT to Interest (avg)

15.69

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.09

Sales to Capital Employed (avg)

0.21

Tax Ratio

8.07%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

3.02%

ROE (avg)

3.66%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

2.55

EV to EBIT

-122.75

EV to EBITDA

120.48

EV to Capital Employed

2.63

EV to Sales

12.75

PEG Ratio

Dividend Yield

ROCE (Latest)

-2.15%

ROE (Latest)

-1.77%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bullish

Mildly Bearish

Dow Theory

Mildly Bullish

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

2What is working for the Company

NET PROFIT(HY)

Higher at CNY -18.8 MM

-24What is not working for the Company

INTEREST(HY)

At CNY 0.25 MM has Grown at 80.94%

PRE-TAX PROFIT(Q)

At CNY -20.24 MM has Fallen at -58.13%

NET PROFIT(Q)

At CNY -17.36 MM has Fallen at -56.83%

OPERATING CASH FLOW(Y)

Lowest at CNY 10.81 MM

DEBTORS TURNOVER RATIO(HY)

Lowest at 0.91 times

RAW MATERIAL COST(Y)

Grown by 19.47% (YoY

CASH AND EQV(HY)

Lowest at CNY 148.88 MM

DEBT-EQUITY RATIO (HY)

Highest at -0.88 %

Here's what is not working for Shanghai Shen Lian Biomedical Corp.

Interest

At CNY 0.25 MM has Grown at 80.94%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Pre-Tax Profit

At CNY -20.24 MM has Fallen at -58.13%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Net Profit

At CNY -17.36 MM has Fallen at -56.83%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Debtors Turnover Ratio

Lowest at 0.91 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

Operating Cash Flow

Lowest at CNY 10.81 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CNY MM)

Cash and Eqv

Lowest at CNY 148.88 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debt-Equity Ratio

Highest at -0.88 %

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

Raw Material Cost

Grown by 19.47% (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