Why is Spring Airlines Co., Ltd. ?
1
With ROE of 11.87%, it has a very attractive valuation with a 2.99 Price to Book Value
- Over the past year, while the stock has generated a return of -2.93%, its profits have fallen by -24.3%
- At the current price, the company has a high dividend yield of 1.5
How much should you buy?
- Overall Portfolio exposure to Spring Airlines Co., Ltd. should be less than 10%
- Overall Portfolio exposure to Airline should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Airline)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Spring Airlines Co., Ltd. for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
Spring Airlines Co., Ltd.
-14.4%
-0.46
24.10%
China Shanghai Composite
13.33%
1.58
14.20%
Quality key factors
Factor
Value
Sales Growth (5y)
15.62%
EBIT Growth (5y)
26.68%
EBIT to Interest (avg)
-0.74
Debt to EBITDA (avg)
5.32
Net Debt to Equity (avg)
0.57
Sales to Capital Employed (avg)
0.51
Tax Ratio
19.49%
Dividend Payout Ratio
35.24%
Pledged Shares
0
Institutional Holding
0.05%
ROCE (avg)
2.97%
ROE (avg)
5.70%
Valuation Key Factors 
Factor
Value
P/E Ratio
25
Industry P/E
Price to Book Value
2.99
EV to EBIT
34.38
EV to EBITDA
12.87
EV to Capital Employed
2.31
EV to Sales
3.00
PEG Ratio
NA
Dividend Yield
1.53%
ROCE (Latest)
6.73%
ROE (Latest)
11.87%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Mildly Bullish (Daily)
KST
Bearish
Bearish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
No Trend
Mildly Bearish
Technical Movement
7What is working for the Company
PRE-TAX PROFIT(Q)
At CNY 1,538.06 MM has Grown at 128.61%
NET PROFIT(Q)
At CNY 1,166.8 MM has Grown at 124.31%
NET SALES(Q)
Highest at CNY 6,468.5 MM
-6What is not working for the Company
OPERATING CASH FLOW(Y)
Lowest at CNY 6,174.84 MM
RAW MATERIAL COST(Y)
Grown by 7.74% (YoY
INVENTORY TURNOVER RATIO(HY)
Lowest at 52.41 times
Here's what is working for Spring Airlines Co., Ltd.
Pre-Tax Profit
At CNY 1,538.06 MM has Grown at 128.61%
over average net sales of the previous four periods of CNY 672.78 MMMOJO Watch
Near term Pre-Tax Profit trend is very positive
Pre-Tax Profit (CNY MM)
Net Profit
At CNY 1,166.8 MM has Grown at 124.31%
over average net sales of the previous four periods of CNY 520.16 MMMOJO Watch
Near term Net Profit trend is very positive
Net Profit (CNY MM)
Net Sales
Highest at CNY 6,468.5 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (CNY MM)
Net Sales
At CNY 6,468.5 MM has Grown at 26.65%
over average net sales of the previous four periods of CNY 5,107.32 MMMOJO Watch
Near term sales trend is positive
Net Sales (CNY MM)
Here's what is not working for Spring Airlines Co., Ltd.
Operating Cash Flow
Lowest at CNY 6,174.84 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)
Inventory Turnover Ratio
Lowest at 52.41 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling inventory has slowed
Inventory Turnover Ratio
Raw Material Cost
Grown by 7.74% (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






