Suncha Technology Co., Ltd. () 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

Suncha Technology Co., Ltd.

Why is Suncha Technology Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 4.34%

The company has been able to generate a Return on Capital Employed (avg) of 4.34% 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 17.16% and Operating profit at -29.97% 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 4.09% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 17.16% and Operating profit at -29.97% over the last 5 years

DEBT-EQUITY RATIO (HY) Highest at 66.92 %
INTEREST(Q) At CNY 6.03 MM has Grown at 21.08%
RAW MATERIAL COST(Y) Grown by 8.16% (YoY)

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 Paper, Forest & Jute Products)

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

No Data Found

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

17.16%

EBIT Growth (5y)

-29.97%

EBIT to Interest (avg)

2.41

Debt to EBITDA (avg)

5.72

Net Debt to Equity (avg)

0.59

Sales to Capital Employed (avg)

0.87

Tax Ratio

Tax Ratio is Negative%

Dividend Payout Ratio

52.77%

Pledged Shares

Institutional Holding

ROCE (avg)

4.34%

ROE (avg)

4.09%

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

2.13

EV to EBIT

166.12

EV to EBITDA

32.99

EV to Capital Employed

1.69

EV to Sales

1.68

PEG Ratio

0.96

Dividend Yield

0.44%

ROCE (Latest)

1.02%

ROE (Latest)

2.89%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

Mildly Bearish

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

6What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 128.79 MM

DEBTORS TURNOVER RATIO(HY)

Highest at 5.91 times

NET SALES(Q)

At CNY 393.26 MM has Grown at 23.09%

-32What is not working for the Company

DEBT-EQUITY RATIO (HY)

Highest at 66.92 %

INTEREST(Q)

At CNY 6.03 MM has Grown at 21.08%

RAW MATERIAL COST(Y)

Grown by 8.16% (YoY

OPERATING PROFIT(Q)

Lowest at CNY -0.22 MM

OPERATING PROFIT MARGIN(Q)

Lowest at -0.06 %

PRE-TAX PROFIT(Q)

Lowest at CNY -6.79 MM

NET PROFIT(Q)

Lowest at CNY -1.91 MM

EPS(Q)

Lowest at CNY -0.03

Here's what is working for Suncha Technology Co., Ltd.

Operating Cash Flow

Highest at CNY 128.79 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Net Sales

At CNY 393.26 MM has Grown at 23.09%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Debtors Turnover Ratio

Highest at 5.91 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Here's what is not working for Suncha Technology Co., Ltd.

Pre-Tax Profit

At CNY -6.79 MM has Fallen at -285.8%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Net Profit

At CNY -1.91 MM has Fallen at -336.94%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Interest

At CNY 6.03 MM has Grown at 21.08%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Debt-Equity Ratio

Highest at 66.92 % and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Operating Profit

Lowest at CNY -0.22 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at -0.06 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at CNY -6.79 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 -1.91 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CNY MM)

EPS

Lowest at CNY -0.03

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (CNY)

Raw Material Cost

Grown by 8.16% (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