Why is Tianjin Tianyao Pharmaceuticals Co., Ltd. ?
1
Poor Management Efficiency with a low ROCE of 4.51%
- The company has been able to generate a Return on Capital Employed (avg) of 4.51% signifying low profitability per unit of total capital (equity and debt)
2
Poor long term growth as Net Sales has grown by an annual rate of 0.85% and Operating profit at -8.24% over the last 5 years
3
The company has declared negative results for the last 2 consecutive quarters
- The company has declared negative results in Dec 24 after 2 consecutive negative quarters
- NET SALES(HY) At CNY 1,410.06 MM has Grown at -21.1%
- NET PROFIT(HY) At CNY 4.81 MM has Grown at -79.39%
- OPERATING CASH FLOW(Y) Lowest at CNY 507.33 MM
4
With ROE of 3.83%, it has a expensive valuation with a 1.49 Price to Book Value
- Over the past year, while the stock has generated a return of -6.22%, its profits have fallen by -37.5%
- At the current price, the company has a high dividend yield of 2.4
5
Underperformed the market in the last 1 year
- Even though the market (China Shanghai Composite) has generated returns of 14.77% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -6.22% returns
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 Pharmaceuticals & Biotechnology)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Tianjin Tianyao Pharmaceuticals Co., Ltd. for you?
Low Risk, Medium Return
Absolute
Risk Adjusted
Volatility
Tianjin Tianyao Pharmaceuticals Co., Ltd.
-100.0%
0.74
22.85%
China Shanghai Composite
15.19%
1.01
14.58%
Quality key factors
Factor
Value
Sales Growth (5y)
0.85%
EBIT Growth (5y)
-8.24%
EBIT to Interest (avg)
4.55
Debt to EBITDA (avg)
1.82
Net Debt to Equity (avg)
0.02
Sales to Capital Employed (avg)
0.87
Tax Ratio
6.47%
Dividend Payout Ratio
80.20%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
4.51%
ROE (avg)
3.94%
Valuation Key Factors 
Factor
Value
P/E Ratio
39
Industry P/E
Price to Book Value
1.49
EV to EBIT
24.70
EV to EBITDA
9.43
EV to Capital Employed
1.47
EV to Sales
1.57
PEG Ratio
NA
Dividend Yield
2.39%
ROCE (Latest)
5.95%
ROE (Latest)
3.83%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Mildly Bearish (Daily)
KST
Mildly Bullish
Bullish
Dow Theory
No Trend
No Trend
OBV
Mildly Bullish
No Trend
Technical Movement
5What is working for the Company
DEBT-EQUITY RATIO
(HY)
Lowest at 2.06 %
INVENTORY TURNOVER RATIO(HY)
Highest at 2.58%
NET PROFIT(Q)
At CNY 58.05 MM has Grown at 74%
-15What is not working for the Company
NET SALES(HY)
At CNY 1,410.06 MM has Grown at -21.1%
NET PROFIT(HY)
At CNY 4.81 MM has Grown at -79.39%
OPERATING CASH FLOW(Y)
Lowest at CNY 507.33 MM
DEBTORS TURNOVER RATIO(HY)
Lowest at 4.97%
Here's what is working for Tianjin Tianyao Pharmaceuticals Co., Ltd.
Debt-Equity Ratio
Lowest at 2.06 % and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Inventory Turnover Ratio
Highest at 2.58% and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Net Profit
At CNY 58.05 MM has Grown at 74%
over average net sales of the previous four periods of CNY 33.36 MMMOJO Watch
Near term Net Profit trend is positive
Net Profit (CNY MM)
Here's what is not working for Tianjin Tianyao Pharmaceuticals Co., Ltd.
Net Sales
At CNY 1,410.06 MM has Grown at -21.1%
Year on Year (YoY)MOJO Watch
Near term sales trend is very negative
Net Sales (CNY MM)
Operating Cash Flow
Lowest at CNY 507.33 MM and Fallen
In each year in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (CNY MM)
Debtors Turnover Ratio
Lowest at 4.97%
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio






