ScoreWhy is Southwest Securities Co., Ltd. ?
1
Weak Long Term Fundamental Strength with an average Return on Equity (ROE) of 3.01%
- Poor long term growth as Net Sales has grown by an annual rate of -2.30% and Operating profit at -9.13%
- The company has been able to generate a Return on Equity (avg) of 3.01% signifying low profitability per unit of shareholders funds
2
Poor long term growth as Net Sales has grown by an annual rate of -2.30% and Operating profit at -9.13%
3
Positive results in Jun 25
- OPERATING CASH FLOW(Y) Highest at CNY 7,546.86 MM
- NET SALES(HY) At CNY 1,631.15 MM has Grown at 28.81%
- ROCE(HY) Highest at 3.05%
4
With ROE of 2.72%, it has a attractive valuation with a 1.20 Price to Book Value
- Over the past year, while the stock has generated a return of -10.18%, its profits have risen by 17% ; the PEG ratio of the company is 2.6
- At the current price, the company has a high dividend yield of 1.8
5
Below par performance in long term as well as near term
- Along with generating -10.18% 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 ReportHow much should you hold?
- Overall Portfolio exposure to Southwest Securities Co., Ltd. should be less than 10%
- Overall Portfolio exposure to Capital Markets should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Capital Markets)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Southwest Securities Co., Ltd. for you?
Medium Risk, Medium Return
Absolute
Risk Adjusted
Volatility
Southwest Securities Co., Ltd.
-10.18%
0.72
26.06%
China Shanghai Composite
14.77%
1.01
14.58%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
-2.30%
EBIT Growth (5y)
-9.13%
EBIT to Interest (avg)
1.39
Debt to EBITDA (avg)
Negative Net Debt
Net Debt to Equity (avg)
0
Sales to Capital Employed (avg)
0
Tax Ratio
23.54%
Dividend Payout Ratio
80.80%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
7.59%
ROE (avg)
3.01%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
44
Industry P/E
Price to Book Value
1.20
EV to EBIT
17.57
EV to EBITDA
15.30
EV to Capital Employed
1.25
EV to Sales
6.83
PEG Ratio
2.61
Dividend Yield
1.84%
ROCE (Latest)
7.13%
ROE (Latest)
2.72%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Sideways
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Mildly Bearish
Dow Theory
No Trend
No Trend
OBV
Mildly Bearish
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend14What is working for the Company
OPERATING CASH FLOW(Y)
Highest at CNY 7,546.86 MM
NET SALES(HY)
At CNY 1,631.15 MM has Grown at 28.81%
ROCE(HY)
Highest at 3.05%
RAW MATERIAL COST(Y)
Fallen by -19.73% (YoY
NET PROFIT(9M)
Higher at CNY 639.55 MM
0What is not working for the Company
NO KEY NEGATIVE TRIGGERS
Here's what is working for Southwest Securities Co., Ltd.
Net Sales
At CNY 1,631.15 MM has Grown at 28.81%
Year on Year (YoY)MOJO Watch
Near term sales trend is positive
Net Sales (CNY MM)
Net Profit
At CNY 639.55 MM has Grown at 66.84%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is positive
Net Profit (CNY MM)
Operating Cash Flow
Highest at CNY 7,546.86 MM
in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (CNY MM)
Net Profit
Higher at CNY 639.55 MM
than preceding 12 month period ended Jun 2025MOJO Watch
In the nine month period the company has already crossed sales of the previous twelve months
Net Profit (CNY MM)
Raw Material Cost
Fallen by -19.73% (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
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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