Shanghai Shunho New Materials Technology Co., Ltd. (002565) 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 Shunho New Materials Technology Co., Ltd.

Why is Shanghai Shunho New Materials Technology Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 2.12%

The company has been able to generate a Return on Capital Employed (avg) of 2.12% 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 -1.66% and Operating profit at 17.82% over the last 5 years

Negative results in Jun 25

NET PROFIT(9M) At CNY 20.99 MM has Grown at -21.52%
NET SALES(Q) Lowest at CNY 291.61 MM
INTEREST(Q) Highest at CNY 1.47 MM

With ROE of 3.99%, it has a fair valuation with a 4.30 Price to Book Value

Over the past year, while the stock has generated a return of 89.47%, its profits have risen by 3.3% ; the PEG ratio of the company is 32.5
At the current price, the company has a high dividend yield of 0.5

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 Packaging)

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

Is Shanghai Shunho New Materials Technology Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Shanghai Shunho New Materials Technology Co., Ltd.

201.39%

4.02

51.29%

China Shanghai Composite

14.77%

1.01

15.10%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-1.66%

EBIT Growth (5y)

17.82%

EBIT to Interest (avg)

3.76

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.27

Sales to Capital Employed (avg)

0.63

Tax Ratio

22.11%

Dividend Payout Ratio

93.46%

Pledged Shares

Institutional Holding

ROCE (avg)

2.12%

ROE (avg)

1.90%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

108

Industry P/E

Price to Book Value

4.30

EV to EBIT

98.96

EV to EBITDA

47.09

EV to Capital Employed

5.59

EV to Sales

5.05

PEG Ratio

32.47

Dividend Yield

0.55%

ROCE (Latest)

5.65%

ROE (Latest)

3.99%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bearish

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bullish

OBV

Bullish

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

10What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 311.74 MM

ROCE(HY)

Highest at 2.81%

INVENTORY TURNOVER RATIO(HY)

Highest at 3.45%

RAW MATERIAL COST(Y)

Fallen by -12.28% (YoY

CASH AND EQV(HY)

Highest at CNY 1,824.82 MM

DEBT-EQUITY RATIO (HY)

Lowest at -27.26 %

NET PROFIT(Q)

At CNY 17.39 MM has Grown at 94.35%

-13What is not working for the Company

NET PROFIT(9M)

At CNY 20.99 MM has Grown at -21.52%

NET SALES(Q)

Lowest at CNY 291.61 MM

INTEREST(Q)

Highest at CNY 1.47 MM

Here's what is working for Shanghai Shunho New Materials Technology Co., Ltd.

Inventory Turnover Ratio

Highest at 3.45% 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

Operating Cash Flow

Highest at CNY 311.74 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Net Profit

At CNY 17.39 MM has Grown at 94.35%

over average net sales of the previous four periods of CNY 8.95 MM

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

Cash and Eqv

Highest at CNY 1,824.82 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio

Lowest at -27.26 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Raw Material Cost

Fallen by -12.28% (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

Depreciation

At CNY 16.21 MM has Grown at inf%

period on period (QoQ)

MOJO Watch

The expenditure on assets done by the company has gone into productive use which should positively reflect in the future sales

Depreciation (CNY MM)

Here's what is not working for Shanghai Shunho New Materials Technology Co., Ltd.

Net Sales

At CNY 291.61 MM has Fallen at -20.39%

over average net sales of the previous four periods of CNY 366.28 MM

MOJO Watch

Near term sales trend is extremely negative

Net Sales (CNY MM)

Interest

At CNY 1.47 MM has Grown at 41.46%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Net Sales

Lowest at CNY 291.61 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Interest

Highest at CNY 1.47 MM

in the last five periods and Increased by 41.46% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)