Shenzhen Weiguang Biological Products Co., Ltd. (002880) 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 Weiguang Biological Products Co., Ltd.

Why is Shenzhen Weiguang Biological Products Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of 8.16% and Operating profit at 6.93% over the last 5 years

Negative results in Mar 26

OPERATING CASH FLOW(Y) Lowest at CNY 139.16 MM
ROCE(HY) Lowest at 9.94%
INTEREST COVERAGE RATIO(Q) Lowest at 937.06

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -22.63% 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 Weiguang Biological Products Co., Ltd. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Shenzhen Weiguang Biological Products Co., Ltd.

-21.45%

-0.92

27.99%

China Shanghai Composite

23.91%

1.73

13.79%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

8.16%

EBIT Growth (5y)

6.93%

EBIT to Interest (avg)

51.08

Debt to EBITDA (avg)

0.63

Net Debt to Equity (avg)

0.16

Sales to Capital Employed (avg)

0.40

Tax Ratio

14.79%

Dividend Payout Ratio

18.41%

Pledged Shares

Institutional Holding

ROCE (avg)

11.71%

ROE (avg)

10.33%

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

2.13

EV to EBIT

21.87

EV to EBITDA

15.04

EV to Capital Employed

1.87

EV to Sales

4.70

PEG Ratio

Dividend Yield

1.74%

ROCE (Latest)

8.57%

ROE (Latest)

9.46%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

Bullish

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

Bearish

OBV

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

3What is working for the Company

NET SALES(HY)

At CNY 697.63 MM has Grown at 21.52%

-19What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at CNY 139.16 MM

ROCE(HY)

Lowest at 9.94%

INTEREST COVERAGE RATIO(Q)

Lowest at 937.06

OPERATING PROFIT MARGIN(Q)

Lowest at 18.14 %

CASH AND EQV(HY)

Lowest at CNY 446.44 MM

DEBT-EQUITY RATIO (HY)

Highest at 30.24 %

DEBTORS TURNOVER RATIO(HY)

Lowest at 3.17 times

NET SALES(Q)

Lowest at CNY 221.87 MM

OPERATING PROFIT(Q)

Lowest at CNY 40.24 MM

PRE-TAX PROFIT(Q)

Lowest at CNY 39.18 MM

NET PROFIT(Q)

Lowest at CNY 30.98 MM

EPS(Q)

Lowest at CNY 0.14

Here's what is not working for Shenzhen Weiguang Biological Products Co., Ltd.

Operating Cash Flow

Lowest at CNY 139.16 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 937.06

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Operating Profit Margin

Lowest at 18.14 % and Fallen

In each period in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Net Sales

Lowest at CNY 221.87 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Operating Profit

Lowest at CNY 40.24 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Pre-Tax Profit

Lowest at CNY 39.18 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (CNY MM)

Pre-Tax Profit

Fallen at -26.12%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (CNY MM)

Net Profit

Lowest at CNY 30.98 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CNY MM)

Net Profit

Fallen at -29.21%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CNY MM)

EPS

Lowest at CNY 0.14

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (CNY)

Cash and Eqv

Lowest at CNY 446.44 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debt-Equity Ratio

Highest at 30.24 %

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

Debtors Turnover Ratio

Lowest at 3.17 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Non Operating Income

Highest at CNY 0.08 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income