Taiyuan Heavy Industry Co., Ltd. (600169) 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

Taiyuan Heavy Industry Co., Ltd.

Why is Taiyuan Heavy Industry Co., Ltd. ?

Weak Long Term Fundamental Strength with an average Return on Capital Employed (ROCE) of 5.38%

Poor long term growth as Net Sales has grown by an annual rate of 4.52% and Operating profit at 2.65% over the last 5 years
The company is Net-Debt Free

Flat results in Jun 26

NET PROFIT(Q) At CNY 26.18 MM has Fallen at -57.67%
INTEREST(Q) At CNY 96.55 MM has Grown at 12.69%
NET SALES(Q) At CNY 2,383.38 MM has Fallen at -10.06%

With ROE of 6.75%, it has a fair valuation with a 1.22 Price to Book Value

Over the past year, while the stock has generated a return of -14.57%, its profits have risen by 80.9% ; the PEG ratio of the company is 0.5

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -14.57% 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 Automobiles)

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

Is Taiyuan Heavy Industry Co., Ltd. for you?

Medium Risk, High Return

Absolute

Risk Adjusted

Volatility

Taiyuan Heavy Industry Co., Ltd.

-14.29%

0.49

27.94%

China Shanghai Composite

3.23%

0.23

14.72%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

4.52%

EBIT Growth (5y)

2.65%

EBIT to Interest (avg)

3.06

Debt to EBITDA (avg)

12.34

Net Debt to Equity (avg)

2.98

Sales to Capital Employed (avg)

0.40

Tax Ratio

17.58%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

5.49%

ROE (avg)

3.85%

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

1.22

EV to EBIT

29.50

EV to EBITDA

17.65

EV to Capital Employed

1.06

EV to Sales

1.99

PEG Ratio

0.46

Dividend Yield

ROCE (Latest)

3.59%

ROE (Latest)

6.75%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bearish

RSI

No Signal

Bollinger Bands

Bullish

Mildly Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bullish

Bearish

Dow Theory

No Trend

Mildly Bullish

OBV

Mildly Bearish

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

8What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 3,143.7 MM

ROCE(HY)

Highest at 4.64%

DEBT-EQUITY RATIO (HY)

Lowest at 258.37 %

INVENTORY TURNOVER RATIO(HY)

Highest at 1.25 times

-12What is not working for the Company

NET PROFIT(Q)

At CNY 26.18 MM has Fallen at -57.67%

INTEREST(Q)

At CNY 96.55 MM has Grown at 12.69%

NET SALES(Q)

At CNY 2,383.38 MM has Fallen at -10.06%

OPERATING PROFIT(Q)

Lowest at CNY 286.33 MM

PRE-TAX PROFIT(Q)

Lowest at CNY 62.9 MM

Here's what is working for Taiyuan Heavy Industry Co., Ltd.

Operating Cash Flow

Highest at CNY 3,143.7 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 258.37 % and Grown

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

MOJO Watch

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

Debt-Equity Ratio

Inventory Turnover Ratio

Highest at 1.25 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Here's what is not working for Taiyuan Heavy Industry Co., Ltd.

Net Profit

At CNY 26.18 MM has Fallen at -57.67%

over average net sales of the previous four periods of CNY 61.85 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Interest

At CNY 96.55 MM has Grown at 12.69%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Pre-Tax Profit

At CNY 62.9 MM has Fallen at -42.8%

over average net sales of the previous four periods of CNY 109.98 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Net Sales

At CNY 2,383.38 MM has Fallen at -10.06%

over average net sales of the previous four periods of CNY 2,650.01 MM

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Operating Profit

Lowest at CNY 286.33 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Pre-Tax Profit

Lowest at CNY 62.9 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (CNY MM)

Pre-Tax Profit

At CNY 62.9 MM has Fallen at -40.83%

over average net sales of the previous four periods of CNY 106.32 MM

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (CNY MM)

Non Operating Income

Highest at CNY 0.74 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income