Tecnon Electronics Co. Ltd. (300650) 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

Tecnon Electronics Co. Ltd.

Why is Tecnon Electronics Co. Ltd. ?

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 45.54% and Operating profit at 31.41% 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 6.63% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 45.54% and Operating profit at 31.41% over the last 5 years

With a growth in Net Profit of 69.33%, the company declared Very Positive results in Sep 25

ROCE(HY) Highest at 4.39%
INTEREST COVERAGE RATIO(Q) Highest at 641.99
CASH AND EQV(HY) Highest at CNY 785.97 MM

With ROE of 3.97%, it has a expensive valuation with a 3.57 Price to Book Value

Over the past year, while the stock has generated a return of 11.40%, its profits have fallen by -2.3%
At the current price, the company has a high dividend yield of 0.1

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Tecnon Electronics Co. Ltd. should be less than 10%
Overall Portfolio exposure to Electronics & Appliances should be less than 30%

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

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

Is Tecnon Electronics Co. Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Tecnon Electronics Co. Ltd.

11.4%

0.74

57.78%

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)

45.54%

EBIT Growth (5y)

31.41%

EBIT to Interest (avg)

4.16

Debt to EBITDA (avg)

2.13

Net Debt to Equity (avg)

-0.01

Sales to Capital Employed (avg)

1.53

Tax Ratio

7.31%

Dividend Payout Ratio

21.33%

Pledged Shares

Institutional Holding

ROCE (avg)

7.10%

ROE (avg)

6.63%

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

3.57

EV to EBIT

77.82

EV to EBITDA

49.34

EV to Capital Employed

3.67

EV to Sales

1.72

PEG Ratio

Dividend Yield

0.15%

ROCE (Latest)

4.72%

ROE (Latest)

3.97%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Sideways

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bearish

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

16What is working for the Company

ROCE(HY)

Highest at 4.39%

INTEREST COVERAGE RATIO(Q)

Highest at 641.99

CASH AND EQV(HY)

Highest at CNY 785.97 MM

DEBTORS TURNOVER RATIO(HY)

Highest at 6.31 times

NET SALES(Q)

Highest at CNY 751.28 MM

PRE-TAX PROFIT(Q)

Highest at CNY 24.94 MM

NET PROFIT(Q)

Highest at CNY 20.08 MM

EPS(Q)

Highest at CNY 0.09

-2What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at CNY -18.55 MM

Here's what is working for Tecnon Electronics Co. Ltd.

Interest Coverage Ratio

Highest at 641.99

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Net Sales

Highest at CNY 751.28 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Net Sales

At CNY 751.28 MM has Grown at 16.09%

over average net sales of the previous four periods of CNY 647.16 MM

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Pre-Tax Profit

Highest at CNY 24.94 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Pre-Tax Profit

At CNY 24.94 MM has Grown at 83.8%

over average net sales of the previous four periods of CNY 13.57 MM

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

Highest at CNY 20.08 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

Net Profit

At CNY 20.08 MM has Grown at 70.15%

over average net sales of the previous four periods of CNY 11.8 MM

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)

Cash and Eqv

Highest at CNY 785.97 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debtors Turnover Ratio

Highest at 6.31 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 Tecnon Electronics Co. Ltd.

Operating Cash Flow

Lowest at CNY -18.55 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CNY MM)