Sungrow Power Supply Co., Ltd. (300274) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Sungrow Power Supply Co., Ltd.

Why is Sungrow Power Supply Co., Ltd. ?

With a growth in Operating Profit of 38.04%, the company declared Very Positive results in Mar 25

The company has declared positive results for the last 2 consecutive quarters
OPERATING CASH FLOW(Y) Highest at CNY 14,843.87 MM
NET SALES(Q) At CNY 18,920.43 MM has Grown at 50.99%
RAW MATERIAL COST(Y) Fallen by -4.78% (YoY)

With ROE of 32.81%, it has a very attractive valuation with a 5.36 Price to Book Value

Over the past year, while the stock has generated a return of 113.68%, its profits have risen by 36.7%
At the current price, the company has a high dividend yield of 0.7

Majority shareholders : FIIs

Market Beating performance in long term as well as near term

Along with generating 113.68% returns in the last 1 year, the stock has outperformed China Shanghai Composite in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Sungrow Power Supply Co., 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 Sungrow Power Supply Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Sungrow Power Supply Co., Ltd.

113.63%

3.14

56.74%

China Shanghai Composite

14.77%

1.01

15.10%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

42.25%

EBIT Growth (5y)

73.33%

EBIT to Interest (avg)

23.96

Debt to EBITDA (avg)

0.95

Net Debt to Equity (avg)

0.07

Sales to Capital Employed (avg)

1.26

Tax Ratio

17.07%

Dividend Payout Ratio

20.29%

Pledged Shares

Institutional Holding

0.02%

ROCE (avg)

22.37%

ROE (avg)

24.03%

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

5.36

EV to EBIT

14.42

EV to EBITDA

13.55

EV to Capital Employed

5.30

EV to Sales

2.55

PEG Ratio

Dividend Yield

0.70%

ROCE (Latest)

36.77%

ROE (Latest)

32.81%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bearish

Bollinger Bands

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

No Trend

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

18What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 14,843.87 MM

NET SALES(Q)

At CNY 18,920.43 MM has Grown at 50.99%

RAW MATERIAL COST(Y)

Fallen by -4.78% (YoY

CASH AND EQV(HY)

Highest at CNY 60,982.26 MM

DEBT-EQUITY RATIO (HY)

Lowest at 8.18 %

OPERATING PROFIT MARGIN(Q)

Highest at 22.31 %

PRE-TAX PROFIT(Q)

Highest at CNY 4,522.83 MM

NET PROFIT(Q)

At CNY 3,795.54 MM has Grown at 81.15%

EPS(Q)

Highest at CNY 1.85

-1What is not working for the Company

DEBTORS TURNOVER RATIO(HY)

Lowest at 2.76%

Here's what is working for Sungrow Power Supply Co., Ltd.

Operating Cash Flow

Highest at CNY 14,843.87 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 (CNY MM)

Net Sales

At CNY 18,920.43 MM has Grown at 50.99%

Year on Year (YoY)

MOJO Watch

Near term sales trend is very positive

Net Sales (CNY MM)

Operating Profit Margin

Highest at 22.31 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at CNY 4,522.83 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Pre-Tax Profit

At CNY 4,522.83 MM has Grown at 81.39%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

Highest at CNY 3,795.54 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

Net Profit

At CNY 3,795.54 MM has Grown at 81.15%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY 1.85

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Cash and Eqv

Highest at CNY 60,982.26 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio

Lowest at 8.18 %

in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Raw Material Cost

Fallen by -4.78% (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 Sungrow Power Supply Co., Ltd.

Debtors Turnover Ratio

Lowest at 2.76%

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio