Shenzhen Kangtai Biological Products Co., Ltd. (300601) 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 Kangtai Biological Products Co., Ltd.

Why is Shenzhen Kangtai Biological Products Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of 6.51% and Operating profit at -179.36% over the last 5 years

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

PRE-TAX PROFIT(Q) At CNY -0.06 MM has Fallen at -101.89%
NET SALES(HY) At CNY 1,418.24 MM has Grown at -9.47%
ROCE(HY) Lowest at -1.04%

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 -16.38%, its profits have fallen by -85.8%
At the current price, the company has a high dividend yield of 0.5

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -16.38% returns in the last 1 year, the stock has also underperformed China Shanghai Composite in each of the last 3 annual periods

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 Pharmaceuticals & Biotechnology)

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

Is Shenzhen Kangtai Biological Products Co., Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Shenzhen Kangtai Biological Products Co., Ltd.

-13.27%

-0.66

37.24%

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)

6.51%

EBIT Growth (5y)

-179.36%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

1.71

Net Debt to Equity (avg)

0.19

Sales to Capital Employed (avg)

0.25

Tax Ratio

Tax Ratio is Negative%

Dividend Payout Ratio

49.86%

Pledged Shares

Institutional Holding

ROCE (avg)

7.16%

ROE (avg)

6.62%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

250

Industry P/E

Price to Book Value

1.91

EV to EBIT

1760.14

EV to EBITDA

43.28

EV to Capital Employed

1.95

EV to Sales

6.38

PEG Ratio

Dividend Yield

0.55%

ROCE (Latest)

0.11%

ROE (Latest)

0.76%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bullish

Dow Theory

Mildly Bearish

OBV

No Trend

Mildly Bearish

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

3What is working for the Company

INVENTORY TURNOVER RATIO(HY)

Highest at 1.16 times

DEBT-EQUITY RATIO (HY)

Lowest at 3.9 %

-18What is not working for the Company

PRE-TAX PROFIT(Q)

At CNY -0.06 MM has Fallen at -101.89%

NET SALES(HY)

At CNY 1,418.24 MM has Grown at -9.47%

ROCE(HY)

Lowest at -1.04%

RAW MATERIAL COST(Y)

Grown by 8.62% (YoY

DEBTORS TURNOVER RATIO(HY)

Lowest at 0.94 times

NET PROFIT(Q)

At CNY 11.24 MM has Fallen at -38.63%

Here's what is working for Shenzhen Kangtai Biological Products Co., Ltd.

Inventory Turnover Ratio

Highest at 1.16 times and Grown

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

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Debt-Equity Ratio

Lowest at 3.9 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Here's what is not working for Shenzhen Kangtai Biological Products Co., Ltd.

Pre-Tax Profit

At CNY -0.06 MM has Fallen at -101.89%

over average net sales of the previous four periods of CNY 3.14 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Net Sales

At CNY 1,418.24 MM has Grown at -9.47%

Year on Year (YoY)

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Net Profit

At CNY 11.24 MM has Fallen at -38.63%

over average net sales of the previous four periods of CNY 18.32 MM

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CNY MM)

Debtors Turnover Ratio

Lowest at 0.94 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Raw Material Cost

Grown by 8.62% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales

Non Operating Income

Highest at CNY 69.95 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income