Shimao Services Holdings Ltd. (873) 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

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Shimao Services Holdings Ltd.

Why is Shimao Services Holdings Ltd. ?

High Debt company with Weak Long Term Fundamental Strength

Poor long term growth as Operating profit has grown by an annual rate -17.27% of over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times

Flat results in Jun 25

NET SALES(Q) Lowest at HKD 3,888.23 MM
RAW MATERIAL COST(Y) Grown by 5.38% (YoY)
INVENTORY TURNOVER RATIO(HY) Lowest at 20.46 times

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 -32.14%, its profits have fallen by -141.2%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -32.14% returns in the last 1 year, the stock has also underperformed Hang Seng Hong Kong 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 Miscellaneous)

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

Is Shimao Services Holdings Ltd. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Shimao Services Holdings Ltd.

-100.0%

-1.02

35.99%

Hang Seng Hong Kong

8.25%

0.41

19.93%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

17.84%

EBIT Growth (5y)

-17.27%

EBIT to Interest (avg)

22.33

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.51

Sales to Capital Employed (avg)

0.94

Tax Ratio

47.76%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

39.05%

ROE (avg)

5.99%

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

0.23

EV to EBIT

-4.80

EV to EBITDA

-2.77

EV to Capital Employed

-0.58

EV to Sales

-0.27

PEG Ratio

Dividend Yield

ROCE (Latest)

Negative Capital Employed

ROE (Latest)

-2.49%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bullish

RSI

Bearish

No Signal

Bollinger Bands

Bearish

Mildly Bearish

Moving Averages

Bearish (Daily)

KST

Mildly Bullish

Bearish

Dow Theory

Mildly Bearish

No Trend

OBV

Mildly Bearish

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

5What is working for the Company

OPERATING CASH FLOW(Y)

Highest at HKD 2,255.66 MM

NET PROFIT(HY)

Higher at HKD 39.37 MM

DEBT-EQUITY RATIO (HY)

Lowest at -63.15 %

-9What is not working for the Company

NET SALES(Q)

Lowest at HKD 3,888.23 MM

RAW MATERIAL COST(Y)

Grown by 5.38% (YoY

INVENTORY TURNOVER RATIO(HY)

Lowest at 20.46 times

DEBTORS TURNOVER RATIO(HY)

Lowest at 1.54 times

OPERATING PROFIT(Q)

Lowest at HKD 239.56 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 6.16 %

PRE-TAX PROFIT(Q)

Fallen at -71.67%

NET PROFIT(Q)

Fallen at -80.25%

Here's what is working for Shimao Services Holdings Ltd.

Operating Cash Flow

Highest at HKD 2,255.66 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (HKD MM)

Debt-Equity Ratio

Lowest at -63.15 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Here's what is not working for Shimao Services Holdings Ltd.

Net Sales

Lowest at HKD 3,888.23 MM and Fallen

In each period in the last five periods

MOJO Watch

Near term sales trend is very negative

Net Sales (HKD MM)

Operating Profit

Lowest at HKD 239.56 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (HKD MM)

Operating Profit Margin

Lowest at 6.16 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Fallen at -71.67%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (HKD MM)

Net Profit

Fallen at -80.25%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is negative

Net Profit (HKD MM)

Inventory Turnover Ratio

Lowest at 20.46 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Debtors Turnover Ratio

Lowest at 1.54 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Raw Material Cost

Grown by 5.38% (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