Shenzhen Lifotronic Technology Co., Ltd. (688389) 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 Lifotronic Technology Co., Ltd.

Why is Shenzhen Lifotronic Technology Co., Ltd. ?

With a fall in Net Sales of -4.06%, the company declared Very Negative results in Sep 25

The company has declared negative results for the last 2 consecutive quarters
OPERATING CASH FLOW(Y) Lowest at CNY 285.02 MM
NET SALES(9M) At CNY 762.86 MM has Grown at -10.64%
ROCE(HY) Lowest at 12.39%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -17.47% 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 Lifotronic Technology Co., Ltd. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Shenzhen Lifotronic Technology Co., Ltd.

-20.82%

-1.13

25.38%

China Shanghai Composite

8.25%

1.58

14.20%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

12.72%

EBIT Growth (5y)

2.49%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.52

Sales to Capital Employed (avg)

0.47

Tax Ratio

1.87%

Dividend Payout Ratio

65.60%

Pledged Shares

Institutional Holding

ROCE (avg)

27.57%

ROE (avg)

15.82%

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

1.91

EV to EBIT

20.94

EV to EBITDA

17.33

EV to Capital Employed

2.90

EV to Sales

2.76

PEG Ratio

Dividend Yield

2.92%

ROCE (Latest)

13.82%

ROE (Latest)

7.86%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Bearish

Dow Theory

Mildly Bearish

No Trend

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

6What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 309.12 MM

INTEREST COVERAGE RATIO(Q)

Highest at 32,872.64

RAW MATERIAL COST(Y)

Fallen by 1.64% (YoY

NET SALES(Q)

At CNY 259.96 MM has Grown at 20.94%

-14What is not working for the Company

ROCE(HY)

Lowest at 7.66%

NET PROFIT(Q)

At CNY 32.48 MM has Fallen at -38.96%

INVENTORY TURNOVER RATIO(HY)

Lowest at 2.15 times

PRE-TAX PROFIT(Q)

Fallen at -32.35%

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

Interest Coverage Ratio

Highest at 32,872.64

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Operating Cash Flow

Highest at CNY 309.12 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Net Sales

At CNY 259.96 MM has Grown at 20.94%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Raw Material Cost

Fallen by 1.64% (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 Lifotronic Technology Co., Ltd.

Net Profit

At CNY 32.48 MM has Fallen at -38.96%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Pre-Tax Profit

Fallen at -32.35%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (CNY MM)

Inventory Turnover Ratio

Lowest at 2.15 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio