Shenzhen Sosen Electronics Co., Ltd. () 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 Sosen Electronics Co., Ltd.

Why is Shenzhen Sosen Electronics Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of -3.31% and Operating profit at -171.53% over the last 5 years

With a growth in Operating Profit of 81.93%, the company declared Outstanding results in Mar 26

The company has declared positive results for the last 2 consecutive quarters
RAW MATERIAL COST(Y) Fallen by -28.8% (YoY)
DEBT-EQUITY RATIO (HY) Lowest at 0.39 %
NET SALES(Q) Highest at CNY 274.88 MM

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 179.16%, its profits have fallen by -555.5%

Market Beating performance in long term as well as near term

Along with generating 179.16% returns in the last 1 year, the stock has outperformed China Shanghai Composite in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Shenzhen Sosen Electronics Co., Ltd. should be less than 10%
Overall Portfolio exposure to Other Electrical Equipment should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Other Electrical Equipment)

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

Is Shenzhen Sosen Electronics Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Shenzhen Sosen Electronics Co., Ltd.

179.16%

4.40

66.90%

China Shanghai Composite

22.72%

1.70

13.38%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-3.31%

EBIT Growth (5y)

-171.53%

EBIT to Interest (avg)

32.33

Debt to EBITDA (avg)

2.14

Net Debt to Equity (avg)

0.42

Sales to Capital Employed (avg)

0.72

Tax Ratio

3.56%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

11.60%

ROE (avg)

11.64%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

6.59

EV to EBIT

-141.86

EV to EBITDA

-479.09

EV to Capital Employed

5.37

EV to Sales

6.15

PEG Ratio

Dividend Yield

ROCE (Latest)

-3.78%

ROE (Latest)

-5.57%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bullish

OBV

No Trend

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

26What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -28.8% (YoY

DEBT-EQUITY RATIO (HY)

Lowest at 0.39 %

NET SALES(Q)

Highest at CNY 274.88 MM

PRE-TAX PROFIT(Q)

Highest at CNY 15.85 MM

NET PROFIT(Q)

Highest at CNY 15.29 MM

EPS(Q)

Highest at CNY 0.12

-3What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at CNY -12.34 MM

Here's what is working for Shenzhen Sosen Electronics Co., Ltd.

Pre-Tax Profit

At CNY 15.85 MM has Grown at 436.36%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 15.29 MM has Grown at 42,653.27%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (CNY MM)

Net Sales

Highest at CNY 274.88 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Net Sales

At CNY 274.88 MM has Grown at 36.39%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Pre-Tax Profit

Highest at CNY 15.85 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

Highest at CNY 15.29 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY 0.12

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Debt-Equity Ratio

Lowest at 0.39 %

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 -28.8% (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 Sosen Electronics Co., Ltd.

Operating Cash Flow

Lowest at CNY -12.34 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)