Shenzhen Kaizhong Precision Technology Co., Ltd. (002823) 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 Kaizhong Precision Technology Co., Ltd.

Why is Shenzhen Kaizhong Precision Technology Co., Ltd. ?

With a growth in Net Sales of 5.75%, the company declared Very Positive results in Sep 25

The company has declared positive results for the last 7 consecutive quarters
OPERATING CASH FLOW(Y) Highest at CNY 507.02 MM
ROCE(HY) Highest at 11.63%
DEBT-EQUITY RATIO (HY) Lowest at 43.67 %

With ROE of 10.07%, it has a very attractive valuation with a 2.71 Price to Book Value

Over the past year, while the stock has generated a return of -12.63%, its profits have risen by 49.1% ; the PEG ratio of the company is 0.6
At the current price, the company has a high dividend yield of 3.1

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Shenzhen Kaizhong Precision Technology Co., Ltd. should be less than 10%
Overall Portfolio exposure to Auto Components & Equipments should be less than 30%

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

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

Is Shenzhen Kaizhong Precision Technology Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Shenzhen Kaizhong Precision Technology Co., Ltd.

-10.44%

1.07

36.06%

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)

9.74%

EBIT Growth (5y)

24.10%

EBIT to Interest (avg)

2.23

Debt to EBITDA (avg)

4.61

Net Debt to Equity (avg)

0.44

Sales to Capital Employed (avg)

0.97

Tax Ratio

16.57%

Dividend Payout Ratio

67.72%

Pledged Shares

Institutional Holding

ROCE (avg)

4.45%

ROE (avg)

5.66%

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

2.71

EV to EBIT

24.40

EV to EBITDA

12.83

EV to Capital Employed

2.17

EV to Sales

2.20

PEG Ratio

0.55

Dividend Yield

3.13%

ROCE (Latest)

8.88%

ROE (Latest)

10.07%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly Bearish

OBV

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

13What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 507.02 MM

ROCE(HY)

Highest at 11.63%

DEBT-EQUITY RATIO (HY)

Lowest at 43.67 %

RAW MATERIAL COST(Y)

Fallen by -19.26% (YoY

PRE-TAX PROFIT(Q)

Highest at CNY 73.99 MM

NET PROFIT(Q)

Highest at CNY 65.98 MM

EPS(Q)

Highest at CNY 0.2

-2What is not working for the Company

OPERATING PROFIT(Q)

Lowest at CNY 77.68 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 10.42 %

Here's what is working for Shenzhen Kaizhong Precision Technology Co., Ltd.

Debt-Equity Ratio

Lowest at 43.67 % and Grown

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

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Operating Cash Flow

Highest at CNY 507.02 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

Highest at CNY 73.99 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

Highest at CNY 65.98 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY 0.2

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Raw Material Cost

Fallen by -19.26% (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 Kaizhong Precision Technology Co., Ltd.

Operating Profit

Lowest at CNY 77.68 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 10.42 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales