South China Holdings Co. Ltd. (413) 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

Prosperous Industrial (Holdings) Ltd.

Ferretti SpA

VTech Holdings Ltd.

Dream International Ltd.

Playmates Holdings Ltd.

South China Holdings Co. Ltd.

Honma Golf Ltd.

Kidztech Holdings Ltd.

Matrix Holdings Ltd.

Perfectech International Holdings Ltd.

Kader Holdings Co. Ltd.

Why is South China Holdings Co. Ltd. ?

Poor Management Efficiency with a low ROCE of 0.98%

The company has been able to generate a Return on Capital Employed (avg) of 0.98% signifying low profitability per unit of total capital (equity and debt)

High Debt Company with a Debt to Equity ratio (avg) at times

Poor long term growth as Net Sales has grown by an annual rate of -7.22% over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times
The company has been able to generate a Return on Equity (avg) of 0.56% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of -7.22% over the last 5 years

Negative results in Jun 25

RAW MATERIAL COST(Y) Grown by 39.62% (YoY)
CASH AND EQV(HY) Lowest at HKD 396.7 MM
NET SALES(Q) Lowest at HKD 891.68 MM

With ROE of 1.22%, it has a Expensive valuation with a 0.08 Price to Book Value

Over the past year, while the stock has generated a return of -16.67%, its profits have risen by 665% ; the PEG ratio of the company is 0

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 Media & Entertainment)

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

Is South China Holdings Co. Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

South China Holdings Co. Ltd.

-16.67%

-0.65

68.58%

Hang Seng Hong Kong

8.25%

0.41

19.93%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-7.22%

EBIT Growth (5y)

-35.03%

EBIT to Interest (avg)

0.43

Debt to EBITDA (avg)

19.73

Net Debt to Equity (avg)

0.53

Sales to Capital Employed (avg)

0.35

Tax Ratio

75.68%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

0.98%

ROE (avg)

0.56%

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

0.08

EV to EBIT

29.28

EV to EBITDA

16.07

EV to Capital Employed

0.40

EV to Sales

1.10

PEG Ratio

0.01

Dividend Yield

ROCE (Latest)

1.36%

ROE (Latest)

1.22%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bullish

RSI

Bullish

Bollinger Bands

Sideways

Mildly Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Bearish

Mildly Bullish

Dow Theory

No Trend

OBV

No Trend

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

3What is working for the Company

OPERATING CASH FLOW(Y)

Highest at HKD 361.94 MM

-11What is not working for the Company

RAW MATERIAL COST(Y)

Grown by 39.62% (YoY

CASH AND EQV(HY)

Lowest at HKD 396.7 MM

NET SALES(Q)

Lowest at HKD 891.68 MM

OPERATING PROFIT(Q)

Lowest at HKD -81.7 MM

OPERATING PROFIT MARGIN(Q)

Lowest at -9.16 %

PRE-TAX PROFIT(Q)

Lowest at HKD -138.49 MM

NET PROFIT(Q)

Lowest at HKD -164.61 MM

EPS(Q)

Lowest at HKD -0.01

Here's what is working for South China Holdings Co. Ltd.

Operating Cash Flow

Highest at HKD 361.94 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 (HKD MM)

Here's what is not working for South China Holdings Co. Ltd.

Net Profit

At HKD -164.61 MM has Fallen at -108.19%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (HKD MM)

Net Sales

Lowest at HKD 891.68 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (HKD MM)

Operating Profit

Lowest at HKD -81.7 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (HKD MM)

Operating Profit Margin

Lowest at -9.16 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at HKD -138.49 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (HKD MM)

Pre-Tax Profit

Fallen at -74.29%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (HKD MM)

Net Profit

Lowest at HKD -164.61 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (HKD MM)

EPS

Lowest at HKD -0.01

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (HKD)

Cash and Eqv

Lowest at HKD 396.7 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Raw Material Cost

Grown by 39.62% (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