ShenZhen HuiJie Group Co., Ltd. (002763) 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 HuiJie Group Co., Ltd.

Why is ShenZhen HuiJie Group Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of 2.77% and Operating profit at -19.09% over the last 5 years

Flat results in Mar 26

INTEREST(HY) At CNY 4.12 MM has Grown at 38.73%
NET PROFIT(HY) At CNY 24.53 MM has Grown at -26.26%

With ROE of 5.17%, it has a expensive valuation with a 0.75 Price to Book Value

Over the past year, while the stock has generated a return of 5.19%, its profits have risen by 17.8% ; the PEG ratio of the company is 0.8
At the current price, the company has a high dividend yield of 31.8

Underperformed the market in the last 1 year

The stock has generated a return of 5.19% in the last 1 year, much lower than market (China Shanghai Composite) returns of 16.83%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to ShenZhen HuiJie Group Co., Ltd. should be less than 10%
Overall Portfolio exposure to Footwear should be less than 30%

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

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

Is ShenZhen HuiJie Group Co., Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

ShenZhen HuiJie Group Co., Ltd.

2.95%

0.11

39.07%

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)

2.77%

EBIT Growth (5y)

-19.09%

EBIT to Interest (avg)

75.36

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.46

Sales to Capital Employed (avg)

1.47

Tax Ratio

43.69%

Dividend Payout Ratio

822.74%

Pledged Shares

Institutional Holding

ROCE (avg)

22.44%

ROE (avg)

10.58%

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

1.51

EV to EBIT

12.65

EV to EBITDA

7.21

EV to Capital Employed

2.13

EV to Sales

0.61

PEG Ratio

1.64

Dividend Yield

15.83%

ROCE (Latest)

16.82%

ROE (Latest)

5.17%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Sideways

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bullish

Bullish

Dow Theory

No Trend

Mildly Bullish

OBV

Mildly Bearish

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

9What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 477.48 MM

NET PROFIT(Q)

At CNY 45.91 MM has Grown at 164.24%

RAW MATERIAL COST(Y)

Fallen by 0.46% (YoY

INVENTORY TURNOVER RATIO(HY)

Highest at 1.48 times

PRE-TAX PROFIT(Q)

At CNY 74.98 MM has Grown at 72.79%

-3What is not working for the Company

INTEREST(9M)

At CNY 4.95 MM has Grown at 18.86%

Here's what is working for ShenZhen HuiJie Group Co., Ltd.

Net Profit

At CNY 45.91 MM has Grown at 164.24%

over average net sales of the previous four periods of CNY 17.37 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (CNY MM)

Operating Cash Flow

Highest at CNY 477.48 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Pre-Tax Profit

At CNY 74.98 MM has Grown at 72.79%

over average net sales of the previous four periods of CNY 43.39 MM

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Inventory Turnover Ratio

Highest at 1.48 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 0.46% (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 HuiJie Group Co., Ltd.

Interest

At CNY 4.95 MM has Grown at 18.86%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)