Sichuan Hezong Medicine Easy-to-buy Pharmaceutical 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

Sichuan Hezong Medicine Easy-to-buy Pharmaceutical Co., Ltd.

Why is Sichuan Hezong Medicine Easy-to-buy Pharmaceutical Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of 10.27% and Operating profit at -25.12% over the last 5 years

The company has declared Negative results for the last 7 consecutive quarters

NET PROFIT(Q) At CNY -0.74 MM has Fallen at -140.42%
OPERATING CASH FLOW(Y) Lowest at CNY -24.19 MM
ROCE(HY) Lowest at -0.71%

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 9.95%, its profits have fallen by -118.2%
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 Computers - Software & Consulting)

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

Is Sichuan Hezong Medicine Easy-to-buy Pharmaceutical Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Sichuan Hezong Medicine Easy-to-buy Pharmaceutical Co., Ltd.

9.95%

0.74

50.54%

China Shanghai Composite

16.01%

1.07

14.97%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

10.27%

EBIT Growth (5y)

-25.12%

EBIT to Interest (avg)

13.92

Debt to EBITDA (avg)

1.65

Net Debt to Equity (avg)

0.14

Sales to Capital Employed (avg)

3.54

Tax Ratio

20.93%

Dividend Payout Ratio

58.48%

Pledged Shares

Institutional Holding

ROCE (avg)

4.56%

ROE (avg)

3.98%

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

3.06

EV to EBIT

138.86

EV to EBITDA

42.06

EV to Capital Employed

2.87

EV to Sales

0.61

PEG Ratio

Dividend Yield

0.16%

ROCE (Latest)

2.07%

ROE (Latest)

-0.44%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bearish

OBV

Mildly Bearish

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

RAW MATERIAL COST(Y)

Fallen by -40.46% (YoY

CASH AND EQV(HY)

Highest at CNY 698.64 MM

-21What is not working for the Company

NET PROFIT(Q)

At CNY -0.74 MM has Fallen at -140.42%

OPERATING CASH FLOW(Y)

Lowest at CNY -24.19 MM

ROCE(HY)

Lowest at -0.71%

INTEREST COVERAGE RATIO(Q)

Lowest at 174.6

DEBTORS TURNOVER RATIO(HY)

Lowest at 8.37 times

OPERATING PROFIT(Q)

Lowest at CNY 3.01 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 0.28 %

PRE-TAX PROFIT(Q)

Fallen at -32.16%

Here's what is working for Sichuan Hezong Medicine Easy-to-buy Pharmaceutical Co., Ltd.

Cash and Eqv

Highest at CNY 698.64 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Raw Material Cost

Fallen by -40.46% (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 Hezong Medicine Easy-to-buy Pharmaceutical Co., Ltd.

Net Profit

At CNY -0.74 MM has Fallen at -140.42%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Interest Coverage Ratio

Lowest at 174.6

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Operating Cash Flow

Lowest at CNY -24.19 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CNY MM)

Operating Profit

Lowest at CNY 3.01 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 0.28 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Fallen at -32.16%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (CNY MM)

Debtors Turnover Ratio

Lowest at 8.37 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio