Shenzhen Mingdiao Decoration Co., Ltd. (002830) 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 Mingdiao Decoration Co., Ltd.

Why is Shenzhen Mingdiao Decoration Co., Ltd. ?

High Debt Company with a Debt to Equity ratio (avg) at times

Poor long term growth as Net Sales has grown by an annual rate of -5.84% and Operating profit at 50.39% over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times
The company has been able to generate a Return on Equity (avg) of 5.38% signifying low profitability per unit of shareholders funds

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

INVENTORY TURNOVER RATIO(HY) Lowest at 25.47 times
OPERATING PROFIT MARGIN(Q) Lowest at 6.8 %

With ROE of 4.68%, it has a very expensive valuation with a 3.46 Price to Book Value

Over the past year, while the stock has generated a return of 47.21%, its profits have fallen by -18.8%
At the current price, the company has a high dividend yield of 1.5

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 Construction)

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

Is Shenzhen Mingdiao Decoration Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Shenzhen Mingdiao Decoration Co., Ltd.

54.7%

1.87

53.71%

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)

-5.84%

EBIT Growth (5y)

50.39%

EBIT to Interest (avg)

28.25

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-1.33

Sales to Capital Employed (avg)

1.07

Tax Ratio

18.10%

Dividend Payout Ratio

80.75%

Pledged Shares

Institutional Holding

ROCE (avg)

37.64%

ROE (avg)

5.38%

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

3.46

EV to EBIT

40.76

EV to EBITDA

17.40

EV to Capital Employed

-4.08

EV to Sales

1.98

PEG Ratio

Dividend Yield

1.49%

ROCE (Latest)

Negative Capital Employed

ROE (Latest)

4.68%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

Mildly Bullish

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

6What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 126.35 MM

RAW MATERIAL COST(Y)

Fallen by -27.43% (YoY

CASH AND EQV(HY)

Highest at CNY 1,988.09 MM

DEBT-EQUITY RATIO (HY)

Lowest at -150.59 %

-4What is not working for the Company

INVENTORY TURNOVER RATIO(HY)

Lowest at 25.47 times

OPERATING PROFIT MARGIN(Q)

Lowest at 6.8 %

Here's what is working for Shenzhen Mingdiao Decoration Co., Ltd.

Operating Cash Flow

Highest at CNY 126.35 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Cash and Eqv

Highest at CNY 1,988.09 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio

Lowest at -150.59 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Raw Material Cost

Fallen by -27.43% (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 Mingdiao Decoration Co., Ltd.

Inventory Turnover Ratio

Lowest at 25.47 times and Fallen

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

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Operating Profit Margin

Lowest at 6.8 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales