Shenzhen Center Power Tech. Co., Ltd. (002733) 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

Shenzhen Center Power Tech. Co., Ltd.

Why is Shenzhen Center Power Tech. Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 2.75%

The company has been able to generate a Return on Capital Employed (avg) of 2.75% 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 5.82% and Operating profit at 31.06% over the last 5 years

Flat results in Mar 26

ROCE(HY) Lowest at 2.94%
INTEREST(Q) At CNY 6 MM has Grown at 25.95%
CASH AND EQV(HY) Lowest at CNY 2,561.6 MM

With ROE of 4.41%, it has a expensive valuation with a 4.51 Price to Book Value

Over the past year, while the stock has generated a return of 124.94%, its profits have risen by 18.2% ; the PEG ratio of the company is 5.6
At the current price, the company has a high dividend yield of 0.6

Market Beating performance in long term as well as near term

Along with generating 124.94% returns in the last 1 year, the stock has outperformed 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 Shenzhen Center Power Tech. Co., Ltd. should be less than 10%
Overall Portfolio exposure to Electronics & Appliances should be less than 30%

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

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

Is Shenzhen Center Power Tech. Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Shenzhen Center Power Tech. Co., Ltd.

108.45%

3.57

61.85%

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)

5.82%

EBIT Growth (5y)

31.06%

EBIT to Interest (avg)

0.47

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.04

Sales to Capital Employed (avg)

0.85

Tax Ratio

27.89%

Dividend Payout Ratio

47.39%

Pledged Shares

Institutional Holding

ROCE (avg)

2.75%

ROE (avg)

2.79%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

102

Industry P/E

Price to Book Value

4.51

EV to EBIT

89.45

EV to EBITDA

48.72

EV to Capital Employed

4.70

EV to Sales

3.37

PEG Ratio

5.62

Dividend Yield

0.63%

ROCE (Latest)

5.25%

ROE (Latest)

4.41%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bearish

Bollinger Bands

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bullish

OBV

Mildly Bullish

No Trend

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

NET PROFIT(HY)

At CNY 24.2 MM has Grown at 1,752.45%

OPERATING CASH FLOW(Y)

Highest at CNY 419.97 MM

NET SALES(HY)

At CNY 1,884.92 MM has Grown at 19.48%

RAW MATERIAL COST(Y)

Fallen by -9.34% (YoY

DEBT-EQUITY RATIO (HY)

Lowest at -2.47 %

-6What is not working for the Company

ROCE(HY)

Lowest at 2.94%

INTEREST(Q)

At CNY 6 MM has Grown at 25.95%

CASH AND EQV(HY)

Lowest at CNY 2,561.6 MM

OPERATING PROFIT(Q)

Lowest at CNY 41.4 MM

Here's what is working for Shenzhen Center Power Tech. Co., Ltd.

Net Profit

At CNY 24.2 MM has Grown at 1,752.45%

Year on Year (YoY)

MOJO Watch

Net Profit trend is very positive

Net Profit (CNY MM)

Operating Cash Flow

Highest at CNY 419.97 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 Sales

At CNY 1,884.92 MM has Grown at 19.48%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Debt-Equity Ratio

Lowest at -2.47 %

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 -9.34% (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 Shenzhen Center Power Tech. Co., Ltd.

Interest

At CNY 6 MM has Grown at 25.95%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Operating Profit

Lowest at CNY 41.4 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Cash and Eqv

Lowest at CNY 2,561.6 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents