ScoreComparison
Company
Score
Quality
Valuation
Financial
Technical
Why is Solomon Systech (International) Ltd. ?
1
High Management Efficiency with a high ROE of 18.71%
2
Company has very low debt and has enough cash to service the debt requirements
3
High Debt company with Weak Long Term Fundamental Strength
4
Negative results in Dec 24
- INTEREST(HY) At HKD 0.76 MM has Grown at 116.88%
- ROCE(HY) Lowest at 7.7%
- INTEREST COVERAGE RATIO(Q) Lowest at 774.49
5
With ROE of 7.43%, it has a Fair valuation with a 1.20 Price to Book Value
- Over the past year, while the stock has generated a return of -10.20%, its profits have fallen by -48.1%
6
Below par performance in long term as well as near term
- Along with generating -10.20% returns in the last 1 year, the stock has also underperformed Hang Seng Hong Kong in the last 3 years, 1 year and 3 months
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Solomon Systech (International) Ltd. should be less than 10%
- Overall Portfolio exposure to Other Electrical Equipment should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Other Electrical Equipment)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Solomon Systech (International) Ltd. for you?
High Risk, Medium Return
Absolute
Risk Adjusted
Volatility
Solomon Systech (International) Ltd.
-9.28%
0.39
57.44%
Hang Seng Hong Kong
27.36%
1.03
25.88%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
-2.45%
EBIT Growth (5y)
15.97%
EBIT to Interest (avg)
100.00
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.78
Sales to Capital Employed (avg)
1.42
Tax Ratio
Tax Ratio is Negative%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
37.14%
ROE (avg)
18.71%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
16
Industry P/E
Price to Book Value
1.20
EV to EBIT
13.35
EV to EBITDA
7.84
EV to Capital Employed
1.88
EV to Sales
0.51
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
14.06%
ROE (Latest)
7.43%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Mildly Bearish
Dow Theory
No Trend
No Trend
OBV
Mildly Bullish
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend
Not enough Data to analyse Financial Trend
Not enough Data to analyse Financial Trend
Here's what is working for Solomon Systech (International) Ltd.
Debt-Equity Ratio
Lowest at -76.2 % and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Operating Cash Flow
Highest at HKD 503.63 MM
in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (HKD MM)
Cash and Eqv
Highest at HKD 836.93 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Inventory Turnover Ratio
Highest at 3.7%
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Raw Material Cost
Fallen by -25.94% (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 Solomon Systech (International) Ltd.
Interest
At HKD 0.76 MM has Grown at 116.88%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (HKD MM)
Interest Coverage Ratio
Lowest at 774.49
in the last five periodsMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Net Sales
Lowest at HKD 401.23 MM
in the last five periodsMOJO Watch
Near term sales trend is negative
Net Sales (HKD MM)
Operating Profit
Lowest at HKD 5.91 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is negative
Operating Profit (HKD MM)
Operating Profit Margin
Lowest at 1.47 %
in the last five periodsMOJO Watch
Company's profit margin has deteriorated
Operating Profit to Sales
Pre-Tax Profit
Lowest at HKD 19.14 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is negative
Pre-Tax Profit (HKD MM)
Pre-Tax Profit
Fallen at -60.97%
Year on Year (YoY)MOJO Watch
Near term Pre-Tax Profit trend is negative
Pre-Tax Profit (HKD MM)
Net Profit
Lowest at HKD 20.71 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is negative
Net Profit (HKD MM)
Net Profit
Fallen at -57.89%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is negative
Net Profit (HKD MM)
EPS
Lowest at HKD 0.01
in the last five periodsMOJO Watch
Declining profitability; company has created lower earnings for shareholders
EPS (HKD)
Debtors Turnover Ratio
Lowest at 6.12%
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio
Non Operating Income
Highest at HKD 1.36 MM
in the last five periodsMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating income
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