Shengyuan Environmental Protection Co., Ltd. (300867) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

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Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Shengyuan Environmental Protection Co., Ltd.

Why is Shengyuan Environmental Protection Co., Ltd. ?

The company is Net-Debt Free

Poor long term growth as Net Sales has grown by an annual rate of 7.83% and Operating profit at 0.96% over the last 5 years
The company is Net-Debt Free
The company has been able to generate a Return on Equity (avg) of 7.23% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 7.83% and Operating profit at 0.96% over the last 5 years

The company has declared Positive results for the last 3 consecutive quarters

OPERATING CASH FLOW(Y) Highest at CNY 873.66 MM
NET PROFIT(HY) At CNY 120.45 MM has Grown at 67.18%
ROCE(HY) Highest at 7.64%

With ROE of 6.49%, it has a attractive valuation with a 0.79 Price to Book Value

Over the past year, while the stock has generated a return of -3.04%, its profits have risen by 44.2% ; the PEG ratio of the company is 0.3
At the current price, the company has a high dividend yield of 1.4

Below par performance in long term as well as near term

Along with generating -3.04% returns in the last 1 year, the stock has also underperformed China Shanghai Composite in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Shengyuan Environmental Protection Co., Ltd. should be less than 10%
Overall Portfolio exposure to Transport Services should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Transport Services)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Shengyuan Environmental Protection Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Shengyuan Environmental Protection Co., Ltd.

-8.13%

1.53

44.93%

China Shanghai Composite

23.91%

1.73

13.79%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

7.83%

EBIT Growth (5y)

0.96%

EBIT to Interest (avg)

2.41

Debt to EBITDA (avg)

5.24

Net Debt to Equity (avg)

0.98

Sales to Capital Employed (avg)

0.22

Tax Ratio

23.84%

Dividend Payout Ratio

10.07%

Pledged Shares

Institutional Holding

ROCE (avg)

6.25%

ROE (avg)

7.23%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

0.79

EV to EBIT

14.54

EV to EBITDA

9.47

EV to Capital Employed

0.89

EV to Sales

4.24

PEG Ratio

0.27

Dividend Yield

1.37%

ROCE (Latest)

6.10%

ROE (Latest)

6.49%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bearish

OBV

Mildly Bearish

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

15What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 873.66 MM

NET PROFIT(HY)

At CNY 120.45 MM has Grown at 67.18%

ROCE(HY)

Highest at 7.64%

DEBT-EQUITY RATIO (HY)

Lowest at 95.57 %

RAW MATERIAL COST(Y)

Fallen by -21.79% (YoY

EPS(Q)

Highest at CNY 0.41

-5What is not working for the Company

INTEREST COVERAGE RATIO(Q)

Lowest at 364.67

INVENTORY TURNOVER RATIO(HY)

Lowest at 15.82 times

OPERATING PROFIT(Q)

Lowest at CNY 127.79 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 31.98 %

Here's what is working for Shengyuan Environmental Protection Co., Ltd.

Operating Cash Flow

Highest at CNY 873.66 MM and Grown

In each year 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 120.45 MM has Grown at 67.18%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

Debt-Equity Ratio

Lowest at 95.57 % 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

EPS

Highest at CNY 0.41

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Raw Material Cost

Fallen by -21.79% (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 Shengyuan Environmental Protection Co., Ltd.

Interest Coverage Ratio

Lowest at 364.67

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Operating Profit

Lowest at CNY 127.79 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 31.98 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Inventory Turnover Ratio

Lowest at 15.82 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio