Shanghai Taihe Water Technology Development Co., Ltd. () 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 Taihe Water Technology Development Co., Ltd.

Why is Shanghai Taihe Water Technology Development Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 4.59%

The company has been able to generate a Return on Capital Employed (avg) of 4.59% 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 -30.18% and Operating profit at -215.57% over the last 5 years

Negative results in Sep 25

INTEREST(9M) At CNY 0.7 MM has Grown at inf%
NET SALES(9M) At CNY 81.39 MM has Grown at -14.33%
PRE-TAX PROFIT(Q) At CNY -25.24 MM has Fallen at -59.05%

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 1.85%, its profits have fallen by -21.3%

Underperformed the market in the last 1 year

The stock has generated a return of 1.85% in the last 1 year, much lower than market (China Shanghai Composite) returns of 22.49%

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 Miscellaneous)

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

Is Shanghai Taihe Water Technology Development Co., Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Shanghai Taihe Water Technology Development Co., Ltd.

-25.5%

-0.13

43.61%

China Shanghai Composite

15.45%

1.58

14.20%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-30.18%

EBIT Growth (5y)

-215.57%

EBIT to Interest (avg)

-109.01

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

-0.08

Sales to Capital Employed (avg)

0.11

Tax Ratio

0.11%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

4.59%

ROE (avg)

2.37%

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

1.56

EV to EBIT

-3.97

EV to EBITDA

-4.44

EV to Capital Employed

1.61

EV to Sales

23.22

PEG Ratio

Dividend Yield

ROCE (Latest)

-40.40%

ROE (Latest)

-38.11%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Mildly Bullish

Dow Theory

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

8What is working for the Company

NET PROFIT(HY)

Higher at CNY -73.88 MM

RAW MATERIAL COST(Y)

Fallen by -202.83% (YoY

NET SALES(Q)

Highest at CNY 48.34 MM

-25What is not working for the Company

INTEREST(9M)

At CNY 0.7 MM has Grown at inf%

NET SALES(9M)

At CNY 81.39 MM has Grown at -14.33%

PRE-TAX PROFIT(Q)

At CNY -25.24 MM has Fallen at -59.05%

NET PROFIT(Q)

At CNY -25.38 MM has Fallen at -58.51%

ROCE(HY)

Lowest at -35.2%

INVENTORY TURNOVER RATIO(HY)

Lowest at 1.5 times

Here's what is working for Shanghai Taihe Water Technology Development Co., Ltd.

Net Sales

At CNY 48.34 MM has Grown at 143.45%

Year on Year (YoY)

MOJO Watch

Near term sales trend is extremely positive

Net Sales (CNY MM)

Net Sales

Highest at CNY 48.34 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Raw Material Cost

Fallen by -202.83% (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 Taihe Water Technology Development Co., Ltd.

Interest

At CNY 0.7 MM has Grown at inf%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Pre-Tax Profit

At CNY -25.24 MM has Fallen at -59.05%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Net Profit

At CNY -25.38 MM has Fallen at -58.51%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Inventory Turnover Ratio

Lowest at 1.5 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio