Shenzhen Vital New Material 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 Vital New Material Co. Ltd.

Why is Shenzhen Vital New Material Co. Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of 16.61% and Operating profit at -1.65% over the last 5 years

Negative results in Mar 26

INTEREST(HY) At CNY 0.87 MM has Grown at 129.66%
OPERATING CASH FLOW(Y) Lowest at CNY -54.53 MM
ROCE(HY) Lowest at 7.28%

With ROE of 7.08%, it has a expensive valuation with a 6.56 Price to Book Value

Over the past year, while the stock has generated a return of 640.52%, its profits have fallen by -4.9%
At the current price, the company has a high dividend yield of 0.2

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 Industrial Manufacturing)

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

Is Shenzhen Vital New Material Co. Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Shenzhen Vital New Material Co. Ltd.

451.27%

7.70

87.90%

China Shanghai Composite

9.12%

1.20

14.07%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

16.61%

EBIT Growth (5y)

-1.65%

EBIT to Interest (avg)

56.28

Debt to EBITDA (avg)

0.20

Net Debt to Equity (avg)

-0.40

Sales to Capital Employed (avg)

0.98

Tax Ratio

15.07%

Dividend Payout Ratio

54.17%

Pledged Shares

Institutional Holding

ROCE (avg)

14.25%

ROE (avg)

2,114.71%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

401

Industry P/E

Price to Book Value

28.37

EV to EBIT

386.91

EV to EBITDA

354.49

EV to Capital Employed

35.57

EV to Sales

21.56

PEG Ratio

Dividend Yield

0.06%

ROCE (Latest)

9.19%

ROE (Latest)

7.08%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

No Trend

OBV

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

9What is working for the Company

NET SALES(Q)

Highest at CNY 539.96 MM

-21What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at CNY -168.4 MM

DEBT-EQUITY RATIO (HY)

Highest at -2.4 %

RAW MATERIAL COST(Y)

Grown by 25.97% (YoY

INVENTORY TURNOVER RATIO(HY)

Lowest at 8.02 times

INTEREST(Q)

Highest at CNY 1 MM

Here's what is working for Shenzhen Vital New Material Co. Ltd.

Net Sales

At CNY 539.96 MM has Grown at 52.11%

Year on Year (YoY)

MOJO Watch

Near term sales trend is very positive

Net Sales (CNY MM)

Net Sales

Highest at CNY 539.96 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Here's what is not working for Shenzhen Vital New Material Co. Ltd.

Operating Cash Flow

Lowest at CNY -168.4 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

At CNY 1 MM has Grown at 137.72%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Debt-Equity Ratio

Highest at -2.4 % 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

Interest

Highest at CNY 1 MM

in the last five periods and Increased by 137.72% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Inventory Turnover Ratio

Lowest at 8.02 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Raw Material Cost

Grown by 25.97% (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