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 2.42% and Operating profit at -39.23% over the last 5 years

Flat results in Mar 26

NET SALES(9M) At CNY 1,912.13 MM has Grown at -8.72%
INTEREST COVERAGE RATIO(Q) Lowest at 164.32
OPERATING PROFIT(Q) Lowest at CNY 48.47 MM

With ROE of 0.75%, it has a fair valuation with a 1.03 Price to Book Value

Over the past year, while the stock has generated a return of -22.51%, its profits have fallen by -57.3%
At the current price, the company has a high dividend yield of 0

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -22.51% 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 hold?

Overall Portfolio exposure to Shenzhen Kangtai Biological Products Co., Ltd. should be less than 10%
Overall Portfolio exposure to Pharmaceuticals & Biotechnology should be less than 30%

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

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

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

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Shenzhen Kangtai Biological Products Co., Ltd.

-22.83%

-0.87

36.86%

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)

2.42%

EBIT Growth (5y)

-39.23%

EBIT to Interest (avg)

4.33

Debt to EBITDA (avg)

1.52

Net Debt to Equity (avg)

0.19

Sales to Capital Employed (avg)

0.24

Tax Ratio

Tax Ratio is Negative%

Dividend Payout Ratio

55.56%

Pledged Shares

Institutional Holding

ROCE (avg)

4.71%

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

169

Industry P/E

Price to Book Value

1.27

EV to EBIT

220.83

EV to EBITDA

33.27

EV to Capital Employed

1.27

EV to Sales

4.64

PEG Ratio

Dividend Yield

0.32%

ROCE (Latest)

0.57%

ROE (Latest)

0.75%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bullish

Mildly Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bullish

Bearish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

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

DEBT-EQUITY RATIO (HY)

Lowest at -7.73 %

INVENTORY TURNOVER RATIO(HY)

Highest at 1.41 times

DIVIDEND PAYOUT RATIO(Y)

Highest at 176.47%

NET PROFIT(9M)

Higher at CNY 55.69 MM

-8What is not working for the Company

PRE-TAX PROFIT(Q)

At CNY -5.85 MM has Fallen at -151.38%

RAW MATERIAL COST(Y)

Grown by 12.02% (YoY

DEBTORS TURNOVER RATIO(HY)

Lowest at 0.89 times

NET PROFIT(Q)

Lowest at CNY 9.83 MM

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

Debt-Equity Ratio

Lowest at -7.73 % 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

Inventory Turnover Ratio

Highest at 1.41 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

Dividend Payout Ratio

Highest at 176.47%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

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

Pre-Tax Profit

At CNY -5.85 MM has Fallen at -151.38%

over average net sales of the previous four periods of CNY 11.39 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 9.83 MM has Fallen at -45.51%

over average net sales of the previous four periods of CNY 18.04 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Net Profit

Lowest at CNY 9.83 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CNY MM)

Debtors Turnover Ratio

Lowest at 0.89 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 12.02% (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