Shenzhen Sunnypol Optoelectronics Co., Ltd. (002876) 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 Sunnypol Optoelectronics Co., Ltd.

Why is Shenzhen Sunnypol Optoelectronics 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 14.33% and Operating profit at -3.91% 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 7.46% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 14.33% and Operating profit at -3.91% over the last 5 years

Negative results in Sep 25

INTEREST(HY) At CNY 30.33 MM has Grown at 99.94%
OPERATING CASH FLOW(Y) Lowest at CNY 8.49 MM
PRE-TAX PROFIT(Q) At CNY 0.71 MM has Fallen at -90.23%

With ROE of 2.05%, it has a expensive valuation with a 1.79 Price to Book Value

Over the past year, while the stock has generated a return of -8.82%, its profits have fallen by -36.1%
At the current price, the company has a high dividend yield of 0.6

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -8.82% 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 Sunnypol Optoelectronics Co., Ltd. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Shenzhen Sunnypol Optoelectronics Co., Ltd.

-4.79%

0.08

31.89%

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)

14.33%

EBIT Growth (5y)

-3.91%

EBIT to Interest (avg)

4.90

Debt to EBITDA (avg)

3.52

Net Debt to Equity (avg)

0.83

Sales to Capital Employed (avg)

0.59

Tax Ratio

Tax Ratio is Negative%

Dividend Payout Ratio

38.23%

Pledged Shares

Institutional Holding

ROCE (avg)

6.50%

ROE (avg)

7.46%

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

1.79

EV to EBIT

63.84

EV to EBITDA

21.14

EV to Capital Employed

1.40

EV to Sales

2.14

PEG Ratio

Dividend Yield

0.61%

ROCE (Latest)

2.20%

ROE (Latest)

2.05%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bearish

Sideways

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Mildly Bullish

Dow Theory

Mildly Bearish

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

13What is working for the Company

DEBTORS TURNOVER RATIO(HY)

Highest at 3.24 times

NET SALES(Q)

Highest at CNY 963.48 MM

INVENTORY TURNOVER RATIO(HY)

Highest at 2.99 times

-33What is not working for the Company

INTEREST(HY)

At CNY 30.33 MM has Grown at 99.94%

OPERATING CASH FLOW(Y)

Lowest at CNY 8.49 MM

PRE-TAX PROFIT(Q)

At CNY 0.71 MM has Fallen at -90.23%

NET PROFIT(Q)

At CNY 4.36 MM has Fallen at -64.33%

ROCE(HY)

Lowest at 2.04%

DEBT-EQUITY RATIO (HY)

Highest at 104.86 %

INTEREST COVERAGE RATIO(Q)

Lowest at 100.35

RAW MATERIAL COST(Y)

Grown by 16.25% (YoY

OPERATING PROFIT(Q)

Lowest at CNY 15.3 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 1.59 %

Here's what is working for Shenzhen Sunnypol Optoelectronics Co., Ltd.

Net Sales

Highest at CNY 963.48 MM and Grown

In each period in the last five periods

MOJO Watch

Near term sales trend is very positive

Net Sales (CNY MM)

Debtors Turnover Ratio

Highest at 3.24 times and Grown

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

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Net Sales

At CNY 963.48 MM has Grown at 24.87%

over average net sales of the previous four periods of CNY 771.56 MM

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Inventory Turnover Ratio

Highest at 2.99 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Here's what is not working for Shenzhen Sunnypol Optoelectronics Co., Ltd.

Interest

At CNY 30.33 MM has Grown at 99.94%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Pre-Tax Profit

At CNY 0.71 MM has Fallen at -90.23%

over average net sales of the previous four periods of CNY 7.27 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 4.36 MM has Fallen at -64.33%

over average net sales of the previous four periods of CNY 12.23 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Operating Cash Flow

Lowest at CNY 8.49 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)

Interest Coverage Ratio

Lowest at 100.35

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Debt-Equity Ratio

Highest at 104.86 % and Grown

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

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Operating Profit

Lowest at CNY 15.3 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 1.59 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Raw Material Cost

Grown by 16.25% (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