Suzhou Good-Ark Electronics Co., Ltd. (002079) 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

Suzhou Good-Ark Electronics Co., Ltd.

Why is Suzhou Good-Ark Electronics Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of 20.55% and Operating profit at -22.91% over the last 5 years

The company has declared Negative results for the last 5 consecutive quarters

ROCE(HY) Lowest at 3.16%
NET SALES(Q) At CNY 1,027.45 MM has Fallen at -15.42%
INVENTORY TURNOVER RATIO(HY) Lowest at 6.53 times

With ROE of 2.46%, it has a expensive valuation with a 2.80 Price to Book Value

Over the past year, while the stock has generated a return of -6.23%, its profits have fallen by -54.2%
At the current price, the company has a high dividend yield of 0.2

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -6.23% returns in the last 1 year, the stock has also underperformed China Shanghai Composite in each of the last 3 annual periods

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 Other Electrical Equipment)

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

Is Suzhou Good-Ark Electronics Co., Ltd. for you?

Medium Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Suzhou Good-Ark Electronics Co., Ltd.

-6.23%

0.30

29.86%

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)

20.55%

EBIT Growth (5y)

-22.91%

EBIT to Interest (avg)

21.70

Debt to EBITDA (avg)

0.11

Net Debt to Equity (avg)

-0.04

Sales to Capital Employed (avg)

1.30

Tax Ratio

4.70%

Dividend Payout Ratio

20.81%

Pledged Shares

Institutional Holding

ROCE (avg)

8.09%

ROE (avg)

6.84%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

114

Industry P/E

Price to Book Value

2.80

EV to EBIT

114.41

EV to EBITDA

45.23

EV to Capital Employed

3.11

EV to Sales

1.67

PEG Ratio

Dividend Yield

0.18%

ROCE (Latest)

2.72%

ROE (Latest)

2.46%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

No Trend

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

5What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 622.88 MM

RAW MATERIAL COST(Y)

Fallen by -30.51% (YoY

CASH AND EQV(HY)

Highest at CNY 1,838.27 MM

DEBT-EQUITY RATIO (HY)

Lowest at -15.33 %

-26What is not working for the Company

ROCE(HY)

Lowest at 3.16%

NET SALES(Q)

At CNY 1,027.45 MM has Fallen at -15.42%

INVENTORY TURNOVER RATIO(HY)

Lowest at 6.53 times

DEBTORS TURNOVER RATIO(HY)

Lowest at 3.55 times

OPERATING PROFIT(Q)

Lowest at CNY -3.05 MM

OPERATING PROFIT MARGIN(Q)

Lowest at -0.3 %

PRE-TAX PROFIT(Q)

At CNY 17.47 MM has Fallen at -36.73%

NET PROFIT(Q)

At CNY 13.56 MM has Fallen at -31.51%

Here's what is working for Suzhou Good-Ark Electronics Co., Ltd.

Operating Cash Flow

Highest at CNY 622.88 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Cash and Eqv

Highest at CNY 1,838.27 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio

Lowest at -15.33 %

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 -30.51% (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 Suzhou Good-Ark Electronics Co., Ltd.

Net Sales

At CNY 1,027.45 MM has Fallen at -15.42%

over average net sales of the previous four periods of CNY 1,214.83 MM

MOJO Watch

Near term sales trend is very negative

Net Sales (CNY MM)

Operating Profit

Lowest at CNY -3.05 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at -0.3 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

At CNY 17.47 MM has Fallen at -36.73%

over average net sales of the previous four periods of CNY 27.61 MM

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 13.56 MM has Fallen at -31.51%

over average net sales of the previous four periods of CNY 19.79 MM

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CNY MM)

Inventory Turnover Ratio

Lowest at 6.53 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 3.55 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio