Sinocare, Inc. (300298) 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

Sinocare, Inc.

Why is Sinocare, Inc. ?

Poor long term growth as Net Sales has grown by an annual rate of 18.08% and Operating profit at -10.25% over the last 5 years

Flat results in Sep 25

INTEREST(Q) At CNY 10.64 MM has Grown at 21.5%
RAW MATERIAL COST(Y) Grown by 18.04% (YoY)
OPERATING PROFIT(Q) Lowest at CNY -22.18 MM

Below par performance in long term as well as near term

Along with generating -35.15% 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 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 Pharmaceuticals & Biotechnology)

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

Is Sinocare, Inc. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Sinocare, Inc.

-34.48%

-1.32

31.79%

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)

18.08%

EBIT Growth (5y)

-10.25%

EBIT to Interest (avg)

9.23

Debt to EBITDA (avg)

0.13

Net Debt to Equity (avg)

-0.08

Sales to Capital Employed (avg)

1.01

Tax Ratio

11.49%

Dividend Payout Ratio

37.35%

Pledged Shares

Institutional Holding

ROCE (avg)

9.38%

ROE (avg)

8.26%

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

3.50

EV to EBIT

37.12

EV to EBITDA

23.12

EV to Capital Employed

3.46

EV to Sales

2.50

PEG Ratio

1.47

Dividend Yield

1.10%

ROCE (Latest)

9.31%

ROE (Latest)

10.03%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Mildly Bullish

Bearish

Dow Theory

Mildly Bearish

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

4What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 766.91 MM

CASH AND EQV(HY)

Highest at CNY 1,909.01 MM

-14What is not working for the Company

INTEREST(Q)

At CNY 10.64 MM has Grown at 21.5%

RAW MATERIAL COST(Y)

Grown by 18.04% (YoY

OPERATING PROFIT(Q)

Lowest at CNY -22.18 MM

OPERATING PROFIT MARGIN(Q)

Lowest at -1.86 %

PRE-TAX PROFIT(Q)

Lowest at CNY -16.83 MM

NET PROFIT(Q)

Lowest at CNY 29.79 MM

EPS(Q)

Lowest at CNY 0.06

Here's what is working for Sinocare, Inc.

Operating Cash Flow

Highest at CNY 766.91 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)

Cash and Eqv

Highest at CNY 1,909.01 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Here's what is not working for Sinocare, Inc.

Pre-Tax Profit

At CNY -16.83 MM has Fallen at -119.24%

over average net sales of the previous four periods of CNY 87.44 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 29.79 MM has Fallen at -61.49%

over average net sales of the previous four periods of CNY 77.37 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Interest

At CNY 10.64 MM has Grown at 21.5%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Operating Profit

Lowest at CNY -22.18 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at -1.86 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at CNY -16.83 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 29.79 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CNY MM)

EPS

Lowest at CNY 0.06

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (CNY)

Raw Material Cost

Grown by 18.04% (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