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 -9.28% and Operating profit at 14.81% over the last 5 years
3
The company has declared Negative results for the last 4 consecutive quarters
- NET PROFIT(9M) At CNY 7.81 MM has Grown at -41.91%
- OPERATING CASH FLOW(Y) Lowest at CNY -8.09 MM
- NET SALES(9M) At CNY 215.05 MM has Grown at -13.08%
4
With ROE of 1.74%, it has a very expensive valuation with a 5.44 Price to Book Value
- Over the past year, while the stock has generated a return of 38.49%, 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.
52.57%
1.54
52.15%
China Shanghai Composite
14.77%
1.01
15.10%
Quality key factors
Factor
Value
Sales Growth (5y)
-9.28%
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)
0.54
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
314
Industry P/E
Price to Book Value
5.44
EV to EBIT
-314.32
EV to EBITDA
252.59
EV to Capital Employed
-21.87
EV to Sales
9.47
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
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
Mildly Bullish
Mildly Bullish
OBV
Bullish
Bullish
Technical Movement
6What is working for the Company
ROCE(HY)
Highest at 2.62%
INVENTORY TURNOVER RATIO(HY)
Highest at 30,530.29%
PRE-TAX PROFIT(Q)
At CNY 8.62 MM has Grown at 100.15%
NET PROFIT(Q)
At CNY 6.83 MM has Grown at 68.97%
-18What is not working for the Company
NET PROFIT(9M)
At CNY 7.81 MM has Grown at -41.91%
OPERATING CASH FLOW(Y)
Lowest at CNY -8.09 MM
NET SALES(9M)
At CNY 215.05 MM has Grown at -13.08%
RAW MATERIAL COST(Y)
Grown by 5% (YoY
DEBT-EQUITY RATIO
(HY)
Highest at -116.19 %
Here's what is working for Sichuan Xun You Network Technology Co., Ltd.
Pre-Tax Profit
At CNY 8.62 MM has Grown at 100.15%
over average net sales of the previous four periods of CNY 4.31 MMMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (CNY MM)
Net Profit
At CNY 6.83 MM has Grown at 68.97%
over average net sales of the previous four periods of CNY 4.04 MMMOJO Watch
Near term Net Profit trend is positive
Net Profit (CNY MM)
Inventory Turnover Ratio
Highest at 30,530.29%
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Here's what is not working for Sichuan Xun You Network Technology Co., Ltd.
Operating Cash Flow
Lowest at CNY -8.09 MM and Fallen
In each year in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (CNY MM)
Net Sales
At CNY 141.87 MM has Grown at -11.58%
Year on Year (YoY)MOJO Watch
Near term sales trend is negative
Net Sales (CNY MM)
Debt-Equity Ratio
Highest at -116.19 %
in the last five Semi-Annual periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
Raw Material Cost
Grown by 5% (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






