Shenzhen Laibao Hi-Tech Co., Ltd. (002106) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Shenzhen Laibao Hi-Tech Co., Ltd.

Why is Shenzhen Laibao Hi-Tech Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of 2.51% and Operating profit at -5.43% over the last 5 years

The company has declared negative results for the last 4 consecutive quarters

INTEREST(9M) At CNY 59.96 MM has Grown at 416.32%
OPERATING CASH FLOW(Y) Lowest at CNY 296.31 MM
INTEREST COVERAGE RATIO(Q) Lowest at 228.45

Underperformed the market in the last 1 year

The stock has generated a return of 0.98% in the last 1 year, much lower than market (China Shanghai Composite) returns of 15.18%

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 Electronics & Appliances)

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

Is Shenzhen Laibao Hi-Tech Co., Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Shenzhen Laibao Hi-Tech Co., Ltd.

-2.69%

0.24

40.25%

China Shanghai Composite

14.77%

1.01

15.10%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

2.51%

EBIT Growth (5y)

-5.43%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.69

Sales to Capital Employed (avg)

1.07

Tax Ratio

2.68%

Dividend Payout Ratio

18.85%

Pledged Shares

Institutional Holding

ROCE (avg)

20.19%

ROE (avg)

8.27%

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

1.54

EV to EBIT

19.30

EV to EBITDA

11.01

EV to Capital Employed

2.53

EV to Sales

0.82

PEG Ratio

Dividend Yield

0.82%

ROCE (Latest)

13.13%

ROE (Latest)

6.16%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Dow Theory

Mildly Bearish

No Trend

OBV

Mildly Bearish

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

3What is working for the Company

INVENTORY TURNOVER RATIO(HY)

Highest at 9.8%

CASH AND EQV(HY)

Highest at CNY 8,180.76 MM

-23What is not working for the Company

INTEREST(9M)

At CNY 59.96 MM has Grown at 416.32%

OPERATING CASH FLOW(Y)

Lowest at CNY 296.31 MM

INTEREST COVERAGE RATIO(Q)

Lowest at 228.45

NET PROFIT(HY)

At CNY 140.45 MM has Grown at -26.28%

ROCE(HY)

Lowest at 6.14%

OPERATING PROFIT(Q)

Lowest at CNY 45.63 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 3.11 %

RAW MATERIAL COST(Y)

Grown by 9.51% (YoY

Here's what is working for Shenzhen Laibao Hi-Tech Co., Ltd.

Inventory Turnover Ratio

Highest at 9.8% 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

Cash and Eqv

Highest at CNY 8,180.76 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Here's what is not working for Shenzhen Laibao Hi-Tech Co., Ltd.

Interest

At CNY 39.96 MM has Grown at 255.79%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Interest Coverage Ratio

Lowest at 228.45 and Fallen

In each period in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Operating Cash Flow

Lowest at CNY 296.31 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 45.63 MM and Fallen

In each period in the last five periods

MOJO Watch

Near term Operating Profit trend is quite negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 3.11 % and Fallen

In each period in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Net Profit

At CNY 140.45 MM has Grown at -26.28%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CNY MM)

Raw Material Cost

Grown by 9.51% (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