Shenzhen Heungkong Holding Co., Ltd. (600162) 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 Heungkong Holding Co., Ltd.

Why is Shenzhen Heungkong Holding Co., Ltd. ?

High Debt Company with a Debt to Equity ratio (avg) at times

Poor long term growth as Net Sales has grown by an annual rate of -2.70% and Operating profit at -21.73% over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times
The company has been able to generate a Return on Equity (avg) of 1.39% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of -2.70% and Operating profit at -21.73% over the last 5 years

With a fall in Net Sales of -68.74%, the company declared Very Negative results in Sep 25

OPERATING CASH FLOW(Y) Lowest at CNY 92.31 MM
NET SALES(Q) At CNY 410.6 MM has Fallen at -68.74%
ROCE(HY) Lowest at -1%

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of 1.68%, its profits have fallen by -11%

Underperformed the market in the last 1 year

The stock has generated a return of 1.68% in the last 1 year, much lower than market (China Shanghai Composite) returns of 22.49%

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 Realty)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Shenzhen Heungkong Holding Co., Ltd. for you?

High Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Shenzhen Heungkong Holding Co., Ltd.

-1.11%

0.56

43.92%

China Shanghai Composite

13.33%

1.58

14.20%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-2.70%

EBIT Growth (5y)

-21.73%

EBIT to Interest (avg)

1.59

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

Tax Ratio

100.00%

Dividend Payout Ratio

58.20%

Pledged Shares

Institutional Holding

ROCE (avg)

6.83%

ROE (avg)

1.39%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

109

Industry P/E

Price to Book Value

1.16

EV to EBIT

28.27

EV to EBITDA

14.72

EV to Capital Employed

1.11

EV to Sales

2.49

PEG Ratio

Dividend Yield

0.53%

ROCE (Latest)

3.94%

ROE (Latest)

1.06%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Bullish

Dow Theory

Mildly Bearish

OBV

No Trend

Mildly 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

1What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -19.41% (YoY

-37What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at CNY 92.31 MM

NET SALES(Q)

At CNY 410.6 MM has Fallen at -68.74%

ROCE(HY)

Lowest at -1%

CASH AND EQV(HY)

Lowest at CNY 1,564.06 MM

INVENTORY TURNOVER RATIO(HY)

Lowest at 0.1 times

OPERATING PROFIT(Q)

Lowest at CNY -104.01 MM

OPERATING PROFIT MARGIN(Q)

Lowest at -25.33 %

PRE-TAX PROFIT(Q)

Lowest at CNY -68 MM

NET PROFIT(Q)

Lowest at CNY -32.38 MM

EPS(Q)

Lowest at CNY -0.01

Here's what is working for Shenzhen Heungkong Holding Co., Ltd.

Raw Material Cost

Fallen by -19.41% (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 Heungkong Holding Co., Ltd.

Net Sales

At CNY 410.6 MM has Fallen at -68.74%

Year on Year (YoY)

MOJO Watch

Near term sales trend is extremely negative

Net Sales (CNY MM)

Pre-Tax Profit

At CNY -68 MM has Fallen at -202.76%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Net Profit

At CNY -32.38 MM has Fallen at -222.92%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Operating Cash Flow

Lowest at CNY 92.31 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CNY MM)

Operating Profit

Lowest at CNY -104.01 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at -25.33 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at CNY -68 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 -32.38 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)

Cash and Eqv

Lowest at CNY 1,564.06 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Inventory Turnover Ratio

Lowest at 0.1 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio