Shenzhen Changhong Technology Co., Ltd. (300151) 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 Changhong Technology Co., Ltd.

Why is Shenzhen Changhong Technology Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of -4.06% and Operating profit at -25.36% over the last 5 years

The company has declared Negative results for the last 4 consecutive quarters

NET PROFIT(9M) At CNY 48.86 MM has Grown at -37.85%
INTEREST(Q) At CNY 8.28 MM has Grown at 60.41%
INTEREST COVERAGE RATIO(Q) Lowest at 192

With ROE of 2.70%, it has a very expensive valuation with a 4.37 Price to Book Value

Over the past year, while the stock has generated a return of 117.59%, its profits have fallen by -38.4%
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 Shenzhen Changhong Technology Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Shenzhen Changhong Technology Co., Ltd.

63.2%

1.29

50.42%

China Shanghai Composite

3.23%

1.20

14.07%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-4.06%

EBIT Growth (5y)

-25.36%

EBIT to Interest (avg)

3.03

Debt to EBITDA (avg)

0.42

Net Debt to Equity (avg)

0.05

Sales to Capital Employed (avg)

0.42

Tax Ratio

30.14%

Dividend Payout Ratio

65.95%

Pledged Shares

Institutional Holding

ROCE (avg)

5.99%

ROE (avg)

8.50%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

290

Industry P/E

Price to Book Value

7.84

EV to EBIT

237.62

EV to EBITDA

111.96

EV to Capital Employed

7.26

EV to Sales

13.35

PEG Ratio

Dividend Yield

0.31%

ROCE (Latest)

3.05%

ROE (Latest)

2.70%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bullish

Bollinger Bands

Bullish

Moving Averages

Mildly Bearish (Daily)

KST

Bearish

Bullish

Dow Theory

Mildly Bullish

Mildly Bearish

OBV

Mildly Bullish

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

0What is working for the Company

NO KEY POSITIVE TRIGGERS

-26What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at CNY 164.89 MM

INTEREST(HY)

At CNY 16.7 MM has Grown at 8.76%

INTEREST COVERAGE RATIO(Q)

Lowest at 361.71

RAW MATERIAL COST(Y)

Grown by 10.92% (YoY

INVENTORY TURNOVER RATIO(HY)

Lowest at 4.05 times

NET SALES(Q)

Lowest at CNY 220.43 MM

OPERATING PROFIT(Q)

Lowest at CNY 30.45 MM

PRE-TAX PROFIT(Q)

Lowest at CNY 1.84 MM

NET PROFIT(Q)

Lowest at CNY 2.94 MM

EPS(Q)

Lowest at CNY 0.01

Here's what is not working for Shenzhen Changhong Technology Co., Ltd.

Pre-Tax Profit

At CNY 1.84 MM has Fallen at -88.71%

over average net sales of the previous four periods of CNY 16.28 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 2.94 MM has Fallen at -80.71%

over average net sales of the previous four periods of CNY 15.25 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Interest Coverage Ratio

Lowest at 361.71

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Interest

At CNY 16.7 MM has Grown at 8.76%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Operating Cash Flow

Lowest at CNY 164.89 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CNY MM)

Net Sales

Lowest at CNY 220.43 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Net Sales

At CNY 220.43 MM has Fallen at -10.41%

over average net sales of the previous four periods of CNY 246.05 MM

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Operating Profit

Lowest at CNY 30.45 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Pre-Tax Profit

Lowest at CNY 1.84 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (CNY MM)

Net Profit

Lowest at CNY 2.94 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CNY MM)

EPS

Lowest at CNY 0.01

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (CNY)

Inventory Turnover Ratio

Lowest at 4.05 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Raw Material Cost

Grown by 10.92% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales

Non Operating Income

Highest at CNY 3.89 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income