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

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 -3.84% and Operating profit at 4.79% over the last 5 years

Flat results in Sep 25

INTEREST(HY) At CNY 2.76 MM has Grown at 9.77%
NET SALES(Q) Lowest at CNY 279.43 MM
DEBTORS TURNOVER RATIO(HY) Lowest at 3.13 times

With ROE of 3.99%, it has a expensive valuation with a 4.21 Price to Book Value

Over the past year, while the stock has generated a return of 424.07%, its profits have risen by 3.3% ; the PEG ratio of the company is 31.8
At the current price, the company has a high dividend yield of 0.6

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.

421.91%

8.19

71.75%

China Shanghai Composite

13.33%

0.90

14.74%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-3.84%

EBIT Growth (5y)

4.79%

EBIT to Interest (avg)

3.76

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.27

Sales to Capital Employed (avg)

0.64

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

106

Industry P/E

Price to Book Value

4.21

EV to EBIT

96.84

EV to EBITDA

46.08

EV to Capital Employed

5.47

EV to Sales

4.95

PEG Ratio

31.82

Dividend Yield

0.56%

ROCE (Latest)

5.65%

ROE (Latest)

3.99%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bearish

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

No Trend

Mildly Bullish

OBV

No Trend

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

11What is working for the Company

ROCE(HY)

Highest at 3%

DEBT-EQUITY RATIO (HY)

Lowest at -26.51 %

RAW MATERIAL COST(Y)

Fallen by -14.75% (YoY

CASH AND EQV(HY)

Highest at CNY 1,746.38 MM

NET PROFIT(Q)

At CNY 19.42 MM has Grown at 61.9%

EPS(Q)

Highest at CNY 0.03

-18What is not working for the Company

INTEREST(HY)

At CNY 2.76 MM has Grown at 9.77%

NET SALES(Q)

Lowest at CNY 279.43 MM

DEBTORS TURNOVER RATIO(HY)

Lowest at 3.13 times

OPERATING PROFIT(Q)

Lowest at CNY -4.12 MM

OPERATING PROFIT MARGIN(Q)

Lowest at -1.48 %

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

Debt-Equity Ratio

Lowest at -26.51 % 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

Net Profit

At CNY 19.42 MM has Grown at 61.9%

over average net sales of the previous four periods of CNY 12 MM

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY 0.03

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Cash and Eqv

Highest at CNY 1,746.38 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Raw Material Cost

Fallen by -14.75% (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 Shunho New Materials Technology Co., Ltd.

Net Sales

At CNY 279.43 MM has Fallen at -21.96%

over average net sales of the previous four periods of CNY 358.07 MM

MOJO Watch

Near term sales trend is extremely negative

Net Sales (CNY MM)

Net Sales

Lowest at CNY 279.43 MM and Fallen

In each period in the last five periods

MOJO Watch

Near term sales trend is very negative

Net Sales (CNY MM)

Interest

At CNY 2.76 MM has Grown at 9.77%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Operating Profit

Lowest at CNY -4.12 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at -1.48 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Debtors Turnover Ratio

Lowest at 3.13 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio