Sichuan Kexin Mechanical & Electrical Equipment Co., Ltd. (300092) 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 Kexin Mechanical & Electrical Equipment Co., Ltd.

Why is Sichuan Kexin Mechanical & Electrical Equipment Co., Ltd. ?

Negative results in Mar 26

NET PROFIT(HY) At CNY 34.39 MM has Grown at -53.82%
ROCE(HY) Lowest at 2.47%
RAW MATERIAL COST(Y) Grown by 28.13% (YoY)

With ROE of 2.49%, it has a fair valuation with a 1.31 Price to Book Value

Over the past year, while the stock has generated a return of -5.18%, its profits have fallen by -75.7%
At the current price, the company has a high dividend yield of 0.8

Below par performance in long term as well as near term

Along with generating -5.18% returns in the last 1 year, the stock has also underperformed China Shanghai Composite in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Sichuan Kexin Mechanical & Electrical Equipment Co., Ltd. should be less than 10%
Overall Portfolio exposure to Industrial Manufacturing should be less than 30%

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

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

Is Sichuan Kexin Mechanical & Electrical Equipment Co., Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Sichuan Kexin Mechanical & Electrical Equipment Co., Ltd.

-7.41%

0.27

55.39%

China Shanghai Composite

21.43%

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)

4.56%

EBIT Growth (5y)

-16.80%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.32

Sales to Capital Employed (avg)

0.75

Tax Ratio

12.49%

Dividend Payout Ratio

42.79%

Pledged Shares

Institutional Holding

ROCE (avg)

15.89%

ROE (avg)

11.03%

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

1.31

EV to EBIT

41.65

EV to EBITDA

28.59

EV to Capital Employed

1.44

EV to Sales

1.54

PEG Ratio

Dividend Yield

0.77%

ROCE (Latest)

3.45%

ROE (Latest)

2.49%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Bullish

Dow Theory

Mildly Bearish

OBV

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

6What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 136.27 MM

INVENTORY TURNOVER RATIO(HY)

Highest at 2.18 times

PRE-TAX PROFIT(Q)

At CNY 29.5 MM has Grown at 56.09%

NET PROFIT(Q)

At CNY 25.56 MM has Grown at 59.7%

-11What is not working for the Company

NET PROFIT(HY)

At CNY 34.39 MM has Grown at -53.82%

ROCE(HY)

Lowest at 2.47%

RAW MATERIAL COST(Y)

Grown by 28.13% (YoY

Here's what is working for Sichuan Kexin Mechanical & Electrical Equipment Co., Ltd.

Operating Cash Flow

Highest at CNY 136.27 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Pre-Tax Profit

At CNY 29.5 MM has Grown at 56.09%

over average net sales of the previous four periods of CNY 18.9 MM

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 25.56 MM has Grown at 59.7%

over average net sales of the previous four periods of CNY 16 MM

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

Inventory Turnover Ratio

Highest at 2.18 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 Kexin Mechanical & Electrical Equipment Co., Ltd.

Raw Material Cost

Grown by 28.13% (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