Swang Chai Chuan 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

WH Group Ltd. (HK)

China Feihe Ltd.

Want Want China Holdings Ltd.

YuanShengTai Dairy Farm Ltd.

Swang Chai Chuan Ltd.

China Shengmu Organic Milk Ltd.

China Mengniu Dairy Co., Ltd.

DaChan Food (Asia) Ltd.

Shenguan Holdings (Group) Ltd.

China Youran Dairy Group Ltd.

Health & Happiness (H&H) International Holdings Ltd.

Why is Swang Chai Chuan Ltd. ?

High Management Efficiency with a high ROE of 1,283.18%

Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 25.19

High Debt company with Weak Long Term Fundamental Strength

Flat results in Jun 25

INTEREST(HY) At HKD 1.84 MM has Grown at 32.4%
DEBTORS TURNOVER RATIO(HY) Lowest at 5.85 times

With ROE of 11.30%, it has a Attractive valuation with a 0.96 Price to Book Value

Over the past year, while the stock has generated a return of 18.60%, its profits have risen by 4.1% ; the PEG ratio of the company is 2.1

Market Beating Performance

The stock has generated a return of 18.60% in the last 1 year, much higher than market (Hang Seng Hong Kong) returns of 8.25%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Swang Chai Chuan Ltd. should be less than 10%
Overall Portfolio exposure to FMCG should be less than 30%

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

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

Is Swang Chai Chuan Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Swang Chai Chuan Ltd.

18.6%

0.84

40.55%

Hang Seng Hong Kong

8.25%

0.41

19.93%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

5.29%

EBIT Growth (5y)

-4.59%

EBIT to Interest (avg)

25.19

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.14

Sales to Capital Employed (avg)

209.37

Tax Ratio

23.31%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

1,817.74%

ROE (avg)

1,283.18%

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

0.96

EV to EBIT

5.83

EV to EBITDA

4.97

EV to Capital Employed

0.96

EV to Sales

0.23

PEG Ratio

2.08

Dividend Yield

ROCE (Latest)

16.40%

ROE (Latest)

11.30%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

No Trend

OBV

Mildly 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

10What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -7% (YoY

CASH AND EQV(HY)

Highest at HKD 217.39 MM

DEBT-EQUITY RATIO (HY)

Lowest at -17.64 %

OPERATING PROFIT(Q)

Highest at HKD 44.82 MM

OPERATING PROFIT MARGIN(Q)

Highest at 5.38 %

PRE-TAX PROFIT(Q)

Highest at HKD 48.66 MM

NET PROFIT(Q)

Highest at HKD 37.03 MM

EPS(Q)

Highest at HKD 0.04

-4What is not working for the Company

INTEREST(HY)

At HKD 1.84 MM has Grown at 32.4%

DEBTORS TURNOVER RATIO(HY)

Lowest at 5.85 times

Here's what is working for Swang Chai Chuan Ltd.

Operating Profit

Highest at HKD 44.82 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (HKD MM)

Operating Profit Margin

Highest at 5.38 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at HKD 48.66 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (HKD MM)

Pre-Tax Profit

At HKD 48.66 MM has Grown at 57.88%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (HKD MM)

Net Profit

Highest at HKD 37.03 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (HKD MM)

Net Profit

At HKD 37.03 MM has Grown at 56.74%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is positive

Net Profit (HKD MM)

EPS

Highest at HKD 0.04

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (HKD)

Cash and Eqv

Highest at HKD 217.39 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio

Lowest at -17.64 %

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 -7% (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

Depreciation

At HKD 5.65 MM has Grown at 18.03%

period on period (QoQ)

MOJO Watch

The expenditure on assets done by the company has gone into productive use which should positively reflect in the future sales

Depreciation (HKD MM)

Here's what is not working for Swang Chai Chuan Ltd.

Interest

At HKD 1.84 MM has Grown at 32.4%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (HKD MM)

Debtors Turnover Ratio

Lowest at 5.85 times and Fallen

In each half year in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio