Why is Sichuan Xun You Network Technology Co., Ltd. ?
1
Poor Management Efficiency with a low ROCE of 32.65%
- The company has been able to generate a Return on Capital Employed (avg) of 32.65% signifying low profitability per unit of total capital (equity and debt)
2
Poor long term growth as Net Sales has grown by an annual rate of -9.34% and Operating profit at 14.81% over the last 5 years
3
The company has declared Negative results for the last 4 consecutive quarters
4
With ROE of 1.74%, it has a very expensive valuation with a 10.14 Price to Book Value
- Over the past year, while the stock has generated a return of 32.91%, its profits have fallen by -69.1%
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 Software Products)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Sichuan Xun You Network Technology Co., Ltd. for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Sichuan Xun You Network Technology Co., Ltd.
37.32%
1.98
50.78%
China Shanghai Composite
13.33%
0.90
14.74%
Quality key factors
Factor
Value
Sales Growth (5y)
-9.34%
EBIT Growth (5y)
14.81%
EBIT to Interest (avg)
21.86
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-1.16
Sales to Capital Employed (avg)
0.52
Tax Ratio
Tax Ratio is Negative%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
32.65%
ROE (avg)
6.75%
Valuation Key Factors 
Factor
Value
P/E Ratio
584
Industry P/E
Price to Book Value
10.14
EV to EBIT
-661.45
EV to EBITDA
531.55
EV to Capital Employed
-46.03
EV to Sales
19.93
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
Negative Capital Employed
ROE (Latest)
1.74%
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Mildly Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
Mildly Bearish
Mildly Bullish
OBV
No Trend
Bullish
Technical Movement
6What is working for the Company
PRE-TAX PROFIT(Q)
At CNY 6.02 MM has Grown at 155.84%
RAW MATERIAL COST(Y)
Fallen by -4.35% (YoY
NET PROFIT(Q)
At CNY 5.35 MM has Grown at 78.3%
0What is not working for the Company
NO KEY NEGATIVE TRIGGERS
Here's what is working for Sichuan Xun You Network Technology Co., Ltd.
Pre-Tax Profit
At CNY 6.02 MM has Grown at 155.84%
over average net sales of the previous four periods of CNY 2.35 MMMOJO Watch
Near term Pre-Tax Profit trend is very positive
Pre-Tax Profit (CNY MM)
Net Profit
At CNY 5.35 MM has Grown at 78.3%
over average net sales of the previous four periods of CNY 3 MMMOJO Watch
Near term Net Profit trend is positive
Net Profit (CNY MM)
Raw Material Cost
Fallen by -4.35% (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






