Sichuan Guoguang Agrochemical Co., Ltd. (002749) 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 Guoguang Agrochemical Co., Ltd.

Why is Sichuan Guoguang Agrochemical Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of 13.81% and Operating profit at 13.17% over the last 5 years

Flat results in Sep 25

OPERATING CASH FLOW(Y) Lowest at CNY 394.34 MM
INTEREST COVERAGE RATIO(Q) Lowest at 20,755.3
OPERATING PROFIT(Q) Lowest at CNY 44.33 MM

With ROE of 19.42%, it has a very attractive valuation with a 3.34 Price to Book Value

Over the past year, while the stock has generated a return of -10.86%, its profits have risen by 8.1% ; the PEG ratio of the company is 2.1
At the current price, the company has a high dividend yield of 6.2

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 -10.86% returns

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Sichuan Guoguang Agrochemical Co., Ltd. should be less than 10%
Overall Portfolio exposure to Chemicals & Petrochemicals should be less than 30%

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

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

Is Sichuan Guoguang Agrochemical Co., Ltd. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Sichuan Guoguang Agrochemical Co., Ltd.

-8.86%

-1.14

28.46%

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)

13.81%

EBIT Growth (5y)

13.17%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.56

Sales to Capital Employed (avg)

0.92

Tax Ratio

13.65%

Dividend Payout Ratio

109.76%

Pledged Shares

Institutional Holding

ROCE (avg)

35.41%

ROE (avg)

15.81%

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

3.34

EV to EBIT

13.02

EV to EBITDA

11.07

EV to Capital Employed

6.68

EV to Sales

2.76

PEG Ratio

2.13

Dividend Yield

6.20%

ROCE (Latest)

51.28%

ROE (Latest)

19.42%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Mildly Bullish

Mildly Bearish

Dow Theory

Mildly Bearish

No Trend

OBV

No Trend

Mildly 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

2What is working for the Company

DIVIDEND PAYOUT RATIO(Y)

Highest at 288.46%

RAW MATERIAL COST(Y)

Fallen by -1.05% (YoY

-10What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at CNY 394.34 MM

INTEREST COVERAGE RATIO(Q)

Lowest at 20,755.3

OPERATING PROFIT(Q)

Lowest at CNY 44.33 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 11 %

PRE-TAX PROFIT(Q)

Lowest at CNY 56.11 MM

NET PROFIT(Q)

Lowest at CNY 47.74 MM

EPS(Q)

Lowest at CNY 0.1

Here's what is working for Sichuan Guoguang Agrochemical Co., Ltd.

Dividend Payout Ratio

Highest at 288.46%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Raw Material Cost

Fallen by -1.05% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Here's what is not working for Sichuan Guoguang Agrochemical Co., Ltd.

Operating Cash Flow

Lowest at CNY 394.34 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 20,755.3

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Operating Profit

Lowest at CNY 44.33 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 11 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at CNY 56.11 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 47.74 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CNY MM)

EPS

Lowest at CNY 0.1

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (CNY)

Non Operating Income

Highest at CNY 0.21 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income