Tangshan Jidong Equipment & Engineering Co., Ltd. (000856) 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

Tangshan Jidong Equipment & Engineering Co., Ltd.

Why is Tangshan Jidong Equipment & Engineering Co., Ltd. ?

The company is Net-Debt Free

Poor long term growth as Net Sales has grown by an annual rate of -1.23% and Operating profit at 48.82% over the last 5 years
The company is Net-Debt Free
The company has been able to generate a Return on Equity (avg) of 4.69% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of -1.23% and Operating profit at 48.82% over the last 5 years

With a fall in Net Sales of -14.21%, the company declared Very Negative results in Mar 26

ROCE(HY) Lowest at 2.92%
DEBT-EQUITY RATIO (HY) Highest at 94.96 %
RAW MATERIAL COST(Y) Grown by 12.98% (YoY)

With ROE of 3.66%, it has a very expensive valuation with a 4.63 Price to Book Value

Over the past year, while the stock has generated a return of -30.94%, its profits have fallen by -16.9%

Below par performance in long term as well as near term

Along with generating -30.94% returns in the last 1 year, the stock has also underperformed China Shanghai Composite in the last 3 years, 1 year and 3 months

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 Industrial Manufacturing)

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

Is Tangshan Jidong Equipment & Engineering Co., Ltd. for you?

High Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Tangshan Jidong Equipment & Engineering Co., Ltd.

-18.42%

0.60

41.37%

China Shanghai Composite

3.23%

1.20

14.07%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-1.23%

EBIT Growth (5y)

48.82%

EBIT to Interest (avg)

3.23

Debt to EBITDA (avg)

5.05

Net Debt to Equity (avg)

0.70

Sales to Capital Employed (avg)

3.15

Tax Ratio

28.12%

Dividend Payout Ratio

34.78%

Pledged Shares

Institutional Holding

ROCE (avg)

4.65%

ROE (avg)

4.69%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

106

Industry P/E

Price to Book Value

3.89

EV to EBIT

307.38

EV to EBITDA

69.45

EV to Capital Employed

2.48

EV to Sales

0.75

PEG Ratio

Dividend Yield

0.56%

ROCE (Latest)

0.81%

ROE (Latest)

3.66%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bearish

RSI

No Signal

Bollinger Bands

Bullish

Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bullish

Mildly Bearish

Dow Theory

No Trend

Mildly Bullish

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

7What is working for the Company

PRE-TAX PROFIT(Q)

At CNY 24.48 MM has Grown at 121.96%

RAW MATERIAL COST(Y)

Fallen by -34.11% (YoY

NET PROFIT(Q)

Highest at CNY 20.15 MM

EPS(Q)

Highest at CNY 0.09

-13What is not working for the Company

INTEREST(HY)

At CNY 2.95 MM has Grown at 23.75%

NET PROFIT(HY)

At CNY 6.39 MM has Grown at -42.27%

INVENTORY TURNOVER RATIO(HY)

Lowest at 8.38 times

DEBTORS TURNOVER RATIO(HY)

Lowest at 1.8 times

NET SALES(Q)

Fallen at -11.83%

Here's what is working for Tangshan Jidong Equipment & Engineering Co., Ltd.

Pre-Tax Profit

At CNY 24.48 MM has Grown at 121.96%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (CNY MM)

Net Profit

Highest at CNY 20.15 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

Net Profit

At CNY 20.15 MM has Grown at 84.11%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY 0.09

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Raw Material Cost

Fallen by -34.11% (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 Tangshan Jidong Equipment & Engineering Co., Ltd.

Interest

At CNY 2.95 MM has Grown at 23.75%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Net Sales

Fallen at -11.83%

Year on Year (YoY)

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Inventory Turnover Ratio

Lowest at 8.38 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 1.8 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio