Why is Shanghai Smith Adhesive New Material Co., Ltd. ?
1
Poor Management Efficiency with a low ROCE of 5.14%
- The company has been able to generate a Return on Capital Employed (avg) of 5.14% signifying low profitability per unit of total capital (equity and debt)
2
The company is Net-Debt Free
- Poor long term growth as Net Sales has grown by an annual rate of 13.93% and Operating profit at -1.53% over the last 5 years
- The company is Net-Debt Free
- The company has been able to generate a Return on Equity (avg) of 7.02% signifying low profitability per unit of shareholders funds
3
Poor long term growth as Net Sales has grown by an annual rate of 13.93% and Operating profit at -1.53% over the last 5 years
4
Flat results in Jun 26
- INTEREST(HY) At CNY 12.31 MM has Grown at 40.71%
- DEBT-EQUITY RATIO (HY) Highest at 42.38 %
- INVENTORY TURNOVER RATIO(HY) Lowest at 4.24 times
5
With ROE of 5.45%, it has a fair valuation with a 5.26 Price to Book Value
- Over the past year, while the stock has generated a return of -49.15%, its profits have risen by 32.2% ; the PEG ratio of the company is 3
- At the current price, the company has a high dividend yield of 0.3
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 Other Industrial Products)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Shanghai Smith Adhesive New Material Co., Ltd. for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Shanghai Smith Adhesive New Material Co., Ltd.
-50.42%
2.09
52.46%
China Shanghai Composite
3.23%
0.23
14.72%
Quality key factors
Factor
Value
Sales Growth (5y)
13.93%
EBIT Growth (5y)
-1.53%
EBIT to Interest (avg)
3.48
Debt to EBITDA (avg)
2.91
Net Debt to Equity (avg)
0.45
Sales to Capital Employed (avg)
0.88
Tax Ratio
Tax Ratio is Negative%
Dividend Payout Ratio
30.30%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
4.29%
ROE (avg)
7.02%
Valuation Key Factors 
Factor
Value
P/E Ratio
96
Industry P/E
Price to Book Value
5.26
EV to EBIT
112.29
EV to EBITDA
57.34
EV to Capital Employed
4.06
EV to Sales
4.22
PEG Ratio
2.99
Dividend Yield
0.26%
ROCE (Latest)
3.62%
ROE (Latest)
5.45%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bearish
RSI
Bullish
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Mildly Bearish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
Mildly Bullish
Mildly Bearish
Technical Movement
10What is working for the Company
OPERATING CASH FLOW(Y)
Highest at CNY 256.74 MM
NET SALES(9M)
At CNY 1,776.16 MM has Grown at 20.8%
RAW MATERIAL COST(Y)
Fallen by -19.36% (YoY
NET PROFIT(9M)
Higher at CNY 75.93 MM
-10What is not working for the Company
INTEREST(HY)
At CNY 12.31 MM has Grown at 40.71%
DEBT-EQUITY RATIO
(HY)
Highest at 42.38 %
INVENTORY TURNOVER RATIO(HY)
Lowest at 4.24 times
Here's what is working for Shanghai Smith Adhesive New Material Co., Ltd.
Net Profit
At CNY 75.93 MM has Grown at 89.4%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is very positive
Net Profit (CNY MM)
Operating Cash Flow
Highest at CNY 256.74 MM and Grown
In each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (CNY MM)
Net Sales
At CNY 1,776.16 MM has Grown at 20.8%
Year on Year (YoY)MOJO Watch
Near term sales trend is positive
Net Sales (CNY MM)
Net Profit
Higher at CNY 75.93 MM
than preceding 12 month period ended Jun 2026MOJO Watch
In the nine month period the company has already crossed sales of the previous twelve months
Net Profit (CNY MM)
Raw Material Cost
Fallen by -19.36% (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 Smith Adhesive New Material Co., Ltd.
Interest
At CNY 12.31 MM has Grown at 40.71%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (CNY MM)
Debt-Equity Ratio
Highest at 42.38 %
in the last five Semi-Annual periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
Inventory Turnover Ratio
Lowest at 4.24 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling inventory has slowed
Inventory Turnover Ratio
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