Shenzhen Cheng Chung Design Co., Ltd. (002811) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Shenzhen Cheng Chung Design Co., Ltd.

Why is Shenzhen Cheng Chung Design Co., Ltd. ?

The company has declared Positive results for the last 5 consecutive quarters

NET PROFIT(HY) At CNY 24.91 MM has Grown at 208.86%
NET SALES(HY) At CNY 627.98 MM has Grown at 29.51%
ROCE(HY) Highest at 6.48%

With ROE of 8.69%, it has a very attractive valuation with a 2.01 Price to Book Value

Over the past year, while the stock has generated a return of 37.35%, its profits have risen by 1551.8% ; the PEG ratio of the company is 0
At the current price, the company has a high dividend yield of 1.9

Market Beating Performance

The stock has generated a return of 37.35% in the last 1 year, much higher than market (China Shanghai Composite) returns of 15.18%

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Shenzhen Cheng Chung Design Co., Ltd. should be less than 10%
Overall Portfolio exposure to Construction should be less than 30%

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

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

Is Shenzhen Cheng Chung Design Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Shenzhen Cheng Chung Design Co., Ltd.

50.74%

1.58

54.85%

China Shanghai Composite

14.77%

1.01

15.10%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-10.89%

EBIT Growth (5y)

2.68%

EBIT to Interest (avg)

0.39

Debt to EBITDA (avg)

0.15

Net Debt to Equity (avg)

-0.16

Sales to Capital Employed (avg)

0.69

Tax Ratio

23.26%

Dividend Payout Ratio

111.36%

Pledged Shares

Institutional Holding

ROCE (avg)

4.04%

ROE (avg)

1.70%

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

2.01

EV to EBIT

11.53

EV to EBITDA

8.80

EV to Capital Employed

3.84

EV to Sales

1.51

PEG Ratio

0.01

Dividend Yield

1.88%

ROCE (Latest)

33.35%

ROE (Latest)

8.69%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bullish

No Trend

OBV

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

20What is working for the Company

NET PROFIT(HY)

At CNY 24.91 MM has Grown at 208.86%

NET SALES(HY)

At CNY 627.98 MM has Grown at 29.51%

ROCE(HY)

Highest at 6.48%

DEBTORS TURNOVER RATIO(HY)

Highest at 1.67%

RAW MATERIAL COST(Y)

Fallen by -14.18% (YoY

CASH AND EQV(HY)

Highest at CNY 1,770.73 MM

DEBT-EQUITY RATIO (HY)

Lowest at -9.16 %

-9What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at CNY 172.92 MM

INTEREST(HY)

At CNY 20.84 MM has Grown at 6.83%

INVENTORY TURNOVER RATIO(HY)

Lowest at 9.54%

NET SALES(Q)

At CNY 268.45 MM has Fallen at -9.01%

Here's what is working for Shenzhen Cheng Chung Design Co., Ltd.

Net Profit

At CNY 24.91 MM has Grown at 208.86%

Year on Year (YoY)

MOJO Watch

Net Profit trend is very positive

Net Profit (CNY MM)

Debtors Turnover Ratio

Highest at 1.67% and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Cash and Eqv

Highest at CNY 1,770.73 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio

Lowest at -9.16 %

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 -14.18% (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 Cheng Chung Design Co., Ltd.

Interest

At CNY 20.84 MM has Grown at 6.83%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Operating Cash Flow

Lowest at CNY 172.92 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

At CNY 268.45 MM has Fallen at -9.01%

over average net sales of the previous four periods of CNY 295.03 MM

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Inventory Turnover Ratio

Lowest at 9.54%

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio