Suzhou Harmontronics Automation Technology Co., Ltd. (688022) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

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Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Suzhou Harmontronics Automation Technology Co., Ltd.

Why is Suzhou Harmontronics Automation Technology Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 0.61%

The company has been able to generate a Return on Capital Employed (avg) of 0.61% 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 1.33% and Operating profit at -287.12% 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 1.74% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 1.33% and Operating profit at -287.12% over the last 5 years

With a growth in Net Sales of 283.45%, the company declared Very Positive results in Sep 25

The company has declared positive results in Jan 70 after 7 consecutive negative quarters
OPERATING CASH FLOW(Y) Highest at CNY -51.82 MM
NET SALES(Q) At CNY 178.45 MM has Grown at 283.45%
RAW MATERIAL COST(Y) Fallen by -274.34% (YoY)

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Suzhou Harmontronics Automation Technology Co., Ltd. should be less than 10%
Overall Portfolio exposure to Industrial Manufacturing should be less than 30%

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

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

Is Suzhou Harmontronics Automation Technology Co., Ltd. for you?

High Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Suzhou Harmontronics Automation Technology Co., Ltd.

-36.39%

0.51

44.84%

China Shanghai Composite

21.43%

1.58

14.20%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

1.04%

EBIT Growth (5y)

16.33%

EBIT to Interest (avg)

-5.88

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

1.51

Sales to Capital Employed (avg)

0.33

Tax Ratio

0.98%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

0.61%

ROE (avg)

1.74%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

214

Industry P/E

Price to Book Value

2.02

EV to EBIT

83.41

EV to EBITDA

38.49

EV to Capital Employed

1.44

EV to Sales

3.06

PEG Ratio

2.12

Dividend Yield

ROCE (Latest)

1.73%

ROE (Latest)

0.95%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

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

24What is working for the Company

NET SALES(HY)

At CNY 350.19 MM has Grown at 77.22%

OPERATING CASH FLOW(Y)

Highest at CNY 22.48 MM

NET PROFIT(HY)

Higher at CNY -24.14 MM

ROCE(HY)

Highest at 3.04%

DEBTORS TURNOVER RATIO(HY)

Highest at 1.89 times

-15What is not working for the Company

INTEREST(HY)

At CNY 17.19 MM has Grown at 10.7%

PRE-TAX PROFIT(Q)

At CNY -2.88 MM has Fallen at -118.89%

NET PROFIT(Q)

At CNY -1.35 MM has Fallen at -112.49%

RAW MATERIAL COST(Y)

Grown by 26.13% (YoY

CASH AND EQV(HY)

Lowest at CNY 244.33 MM

NET SALES(Q)

Lowest at CNY 149.11 MM

Here's what is working for Suzhou Harmontronics Automation Technology Co., Ltd.

Operating Cash Flow

Highest at CNY 22.48 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)

Debtors Turnover Ratio

Highest at 1.89 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 Suzhou Harmontronics Automation Technology Co., Ltd.

Net Sales

At CNY 149.11 MM has Fallen at -21.97%

Year on Year (YoY)

MOJO Watch

Near term sales trend is extremely negative

Net Sales (CNY MM)

Pre-Tax Profit

At CNY -2.88 MM has Fallen at -118.89%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Net Profit

At CNY -1.35 MM has Fallen at -112.49%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Interest

At CNY 17.19 MM has Grown at 10.7%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Net Sales

Lowest at CNY 149.11 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Cash and Eqv

Lowest at CNY 244.33 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Raw Material Cost

Grown by 26.13% (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