Sichuan Chuanhuan Technology Co., Ltd. (300547) 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

Sichuan Chuanhuan Technology Co., Ltd.

Why is Sichuan Chuanhuan Technology Co., Ltd. ?

Flat results in Sep 25

RAW MATERIAL COST(Y) Grown by 22.78% (YoY)
OPERATING PROFIT(Q) Lowest at CNY 37.59 MM
OPERATING PROFIT MARGIN(Q) Lowest at 10.4 %

With ROE of 16.50%, it has a fair valuation with a 7.09 Price to Book Value

Over the past year, while the stock has generated a return of -24.56%, its profits have risen by 2.7% ; the PEG ratio of the company is 15.7
At the current price, the company has a high dividend yield of 1

Underperformed the market in the last 1 year

Even though the market (China Shanghai Composite) has generated returns of 13.33% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -24.56% returns

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Sichuan Chuanhuan Technology Co., Ltd. should be less than 10%
Overall Portfolio exposure to Auto Components & Equipments should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Auto Components & Equipments)

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

Is Sichuan Chuanhuan Technology Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Sichuan Chuanhuan Technology Co., Ltd.

-21.74%

1.17

58.02%

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)

18.03%

EBIT Growth (5y)

16.25%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.14

Sales to Capital Employed (avg)

1.07

Tax Ratio

10.68%

Dividend Payout Ratio

44.48%

Pledged Shares

Institutional Holding

ROCE (avg)

15.70%

ROE (avg)

13.78%

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

7.09

EV to EBIT

44.08

EV to EBITDA

37.44

EV to Capital Employed

7.50

EV to Sales

6.21

PEG Ratio

15.67

Dividend Yield

1.03%

ROCE (Latest)

17.03%

ROE (Latest)

16.50%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly Bearish

OBV

No Trend

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

2What is working for the Company

INVENTORY TURNOVER RATIO(HY)

Highest at 3.88 times

NET SALES(Q)

At CNY 361.38 MM has Grown at 21.61%

-6What is not working for the Company

RAW MATERIAL COST(Y)

Grown by 22.78% (YoY

OPERATING PROFIT(Q)

Lowest at CNY 37.59 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 10.4 %

PRE-TAX PROFIT(Q)

Lowest at CNY 43.29 MM

NET PROFIT(Q)

Lowest at CNY 38.33 MM

EPS(Q)

Lowest at CNY 0.18

Here's what is working for Sichuan Chuanhuan Technology Co., Ltd.

Net Sales

At CNY 361.38 MM has Grown at 21.61%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Inventory Turnover Ratio

Highest at 3.88 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 Sichuan Chuanhuan Technology Co., Ltd.

Operating Profit

Lowest at CNY 37.59 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 10.4 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at CNY 43.29 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (CNY MM)

Net Profit

Lowest at CNY 38.33 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CNY MM)

EPS

Lowest at CNY 0.18

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (CNY)

Raw Material Cost

Grown by 22.78% (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