Super-Dragon Engineering Plastic 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

Super-Dragon Engineering Plastic Co., Ltd.

Why is Super-Dragon Engineering Plastic Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 4.38%

The company has been able to generate a Return on Capital Employed (avg) of 4.38% signifying low profitability per unit of total capital (equity and debt)

The company is Net-Debt Free

Poor long term growth as Net Sales has grown by an annual rate of 4.62% and Operating profit at -9.33% over the last 5 years
The company is Net-Debt Free
The company has been able to generate a Return on Equity (avg) of 4.60% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 4.62% and Operating profit at -9.33% over the last 5 years

Negative results in Mar 26

ROCE(HY) Lowest at 2.62%
INTEREST COVERAGE RATIO(Q) Lowest at 309.62
NET PROFIT(Q) At CNY 9.26 MM has Fallen at -41.38%

With ROE of 2.57%, it has a expensive valuation with a 0.38 Price to Book Value

Over the past year, while the stock has generated a return of -24.97%, its profits have risen by 7% ; the PEG ratio of the company is 2.1
At the current price, the company has a high dividend yield of 1.7

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 Specialty Chemicals)

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

Is Super-Dragon Engineering Plastic Co., Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Super-Dragon Engineering Plastic Co., Ltd.

-25.98%

-0.21

34.12%

China Shanghai Composite

19.22%

1.40

13.75%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

4.62%

EBIT Growth (5y)

-9.33%

EBIT to Interest (avg)

2.60

Debt to EBITDA (avg)

6.28

Net Debt to Equity (avg)

0.79

Sales to Capital Employed (avg)

0.96

Tax Ratio

14.89%

Dividend Payout Ratio

55.49%

Pledged Shares

Institutional Holding

ROCE (avg)

4.38%

ROE (avg)

4.60%

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

0.38

EV to EBIT

19.49

EV to EBITDA

11.95

EV to Capital Employed

0.59

EV to Sales

0.60

PEG Ratio

2.13

Dividend Yield

1.71%

ROCE (Latest)

3.02%

ROE (Latest)

2.57%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly Bearish

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

4What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 69.28 MM

DEBT-EQUITY RATIO (HY)

Lowest at 49.32 %

-21What is not working for the Company

ROCE(HY)

Lowest at 2.62%

INTEREST COVERAGE RATIO(Q)

Lowest at 309.62

NET PROFIT(Q)

At CNY 9.26 MM has Fallen at -41.38%

INVENTORY TURNOVER RATIO(HY)

Lowest at 4.7 times

DEBTORS TURNOVER RATIO(HY)

Lowest at 2 times

OPERATING PROFIT(Q)

Lowest at CNY 12.58 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 3.45 %

PRE-TAX PROFIT(Q)

Fallen at -32.68%

Here's what is working for Super-Dragon Engineering Plastic Co., Ltd.

Operating Cash Flow

Highest at CNY 69.28 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)

Debt-Equity Ratio

Lowest at 49.32 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Here's what is not working for Super-Dragon Engineering Plastic Co., Ltd.

Interest Coverage Ratio

Lowest at 309.62

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Net Profit

At CNY 9.26 MM has Fallen at -41.38%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Operating Profit

Lowest at CNY 12.58 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 3.45 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Fallen at -32.68%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (CNY MM)

Inventory Turnover Ratio

Lowest at 4.7 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Debtors Turnover Ratio

Lowest at 2 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio