Shenzhen Chengtian Weiye Technology Co., Ltd. (300689) 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 Chengtian Weiye Technology Co., Ltd.

Why is Shenzhen Chengtian Weiye Technology Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 4.02%

The company has been able to generate a Return on Capital Employed (avg) of 4.02% 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 2.50% and Operating profit at -14.53% over the last 5 years

Flat results in Sep 25

INTEREST(HY) At CNY 0.22 MM has Grown at 117.49%
PRE-TAX PROFIT(Q) At CNY 1.77 MM has Fallen at -71.27%
NET PROFIT(Q) At CNY 1.57 MM has Fallen at -69.76%

With ROE of 3.06%, it has a very expensive valuation with a 8.67 Price to Book Value

Over the past year, while the stock has generated a return of 28.27%, its profits have risen by 516.6% ; the PEG ratio of the company is 0.6

Market Beating performance in long term as well as near term

Along with generating 28.27% 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 Chengtian Weiye Technology Co., Ltd. should be less than 10%
Overall Portfolio exposure to IT - Hardware should be less than 30%

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

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

Is Shenzhen Chengtian Weiye Technology Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Shenzhen Chengtian Weiye Technology Co., Ltd.

39.42%

3.68

67.13%

China Shanghai Composite

13.33%

0.90

14.74%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

2.50%

EBIT Growth (5y)

-14.53%

EBIT to Interest (avg)

14.64

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.41

Sales to Capital Employed (avg)

0.57

Tax Ratio

14.66%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

4.02%

ROE (avg)

3.30%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

284

Industry P/E

Price to Book Value

8.67

EV to EBIT

614.46

EV to EBITDA

118.32

EV to Capital Employed

14.07

EV to Sales

13.94

PEG Ratio

0.55

Dividend Yield

ROCE (Latest)

2.29%

ROE (Latest)

3.06%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

No Trend

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

18What is working for the Company

NET PROFIT(HY)

At CNY 7.03 MM has Grown at 495.34%

NET SALES(HY)

At CNY 216.37 MM has Grown at 20.67%

ROCE(HY)

Highest at 3.48%

RAW MATERIAL COST(Y)

Fallen by -25.13% (YoY

CASH AND EQV(HY)

Highest at CNY 608.52 MM

INVENTORY TURNOVER RATIO(HY)

Highest at 8.52 times

-16What is not working for the Company

INTEREST(HY)

At CNY 0.22 MM has Grown at 117.49%

PRE-TAX PROFIT(Q)

At CNY 1.77 MM has Fallen at -71.27%

NET PROFIT(Q)

At CNY 1.57 MM has Fallen at -69.76%

OPERATING PROFIT(Q)

Lowest at CNY -0.32 MM

OPERATING PROFIT MARGIN(Q)

Lowest at -0.32 %

Here's what is working for Shenzhen Chengtian Weiye Technology Co., Ltd.

Net Sales

At CNY 216.37 MM has Grown at 20.67%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Cash and Eqv

Highest at CNY 608.52 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Inventory Turnover Ratio

Highest at 8.52 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Raw Material Cost

Fallen by -25.13% (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 Chengtian Weiye Technology Co., Ltd.

Interest

At CNY 0.22 MM has Grown at 117.49%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Pre-Tax Profit

At CNY 1.77 MM has Fallen at -71.27%

over average net sales of the previous four periods of CNY 6.16 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 1.57 MM has Fallen at -69.76%

over average net sales of the previous four periods of CNY 5.2 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Operating Profit

Lowest at CNY -0.32 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at -0.32 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Non Operating Income

Highest at CNY 1.27 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income