Sunwoda Electronic Co., Ltd. (300207) 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

Sunwoda Electronic Co., Ltd.

Why is Sunwoda Electronic Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 3.32%

The company has been able to generate a Return on Capital Employed (avg) of 3.32% 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 16.99% and Operating profit at -0.73% 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 4.87% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 16.99% and Operating profit at -0.73% over the last 5 years

Flat results in Sep 25

NET PROFIT(HY) At CNY 678.78 MM has Grown at -29.42%
DEBT-EQUITY RATIO (HY) Highest at 66.18 %
INTEREST(Q) At CNY 215.04 MM has Grown at 43.99%

With ROE of 1.40%, it has a fair valuation with a 2.76 Price to Book Value

Over the past year, while the stock has generated a return of 23.73%, its profits have fallen by -48.1%
At the current price, the company has a high dividend yield of 0.4

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Sunwoda Electronic Co., Ltd. should be less than 10%
Overall Portfolio exposure to Electronics & Appliances should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Electronics & Appliances)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Sunwoda Electronic Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Sunwoda Electronic Co., Ltd.

22.58%

1.85

49.56%

China Shanghai Composite

13.33%

0.90

14.74%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

16.99%

EBIT Growth (5y)

-0.73%

EBIT to Interest (avg)

1.36

Debt to EBITDA (avg)

2.96

Net Debt to Equity (avg)

0.41

Sales to Capital Employed (avg)

1.05

Tax Ratio

38.36%

Dividend Payout Ratio

19.01%

Pledged Shares

Institutional Holding

ROCE (avg)

3.32%

ROE (avg)

4.87%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

197

Industry P/E

Price to Book Value

2.76

EV to EBIT

166.97

EV to EBITDA

21.96

EV to Capital Employed

2.10

EV to Sales

1.39

PEG Ratio

Dividend Yield

0.39%

ROCE (Latest)

1.26%

ROE (Latest)

1.40%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Mildly Bearish (Daily)

KST

Bearish

Bullish

Dow Theory

Mildly Bullish

OBV

No Trend

Mildly Bearish

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

RAW MATERIAL COST(Y)

Fallen by -35.03% (YoY

PRE-TAX PROFIT(Q)

Highest at CNY 428.74 MM

NET PROFIT(Q)

Highest at CNY 427.28 MM

EPS(Q)

Highest at CNY 0.3

-11What is not working for the Company

NET PROFIT(HY)

At CNY 678.78 MM has Grown at -29.42%

DEBT-EQUITY RATIO (HY)

Highest at 66.18 %

INTEREST(Q)

At CNY 215.04 MM has Grown at 43.99%

INTEREST COVERAGE RATIO(Q)

Lowest at 287.25

DEBTORS TURNOVER RATIO(HY)

Lowest at 3.63 times

OPERATING PROFIT(Q)

Lowest at CNY 617.71 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 3.73 %

Here's what is working for Sunwoda Electronic Co., Ltd.

Pre-Tax Profit

At CNY 428.74 MM has Grown at 134.43%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (CNY MM)

Pre-Tax Profit

Highest at CNY 428.74 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

Highest at CNY 427.28 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY 0.3

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Raw Material Cost

Fallen by -35.03% (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 Sunwoda Electronic Co., Ltd.

Interest

At CNY 215.04 MM has Grown at 43.99%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Interest Coverage Ratio

Lowest at 287.25

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Debt-Equity Ratio

Highest at 66.18 % 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 617.71 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 3.73 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Debtors Turnover Ratio

Lowest at 3.63 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio