Tianshui Huatian Technology Co., Ltd. (002185) 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

Tianshui Huatian Technology Co., Ltd.

Why is Tianshui Huatian Technology Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 3.61%

The company has been able to generate a Return on Capital Employed (avg) of 3.61% signifying low profitability per unit of total capital (equity and debt)

The company is Net-Debt Free

Poor long term growth as Net Sales has grown by an annual rate of 14.71% and Operating profit at -21.82% over the last 5 years
The company is Net-Debt Free
The company has been able to generate a Return on Equity (avg) of 6.11% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 14.71% and Operating profit at -21.82% over the last 5 years

Flat results in Mar 26

INTEREST(HY) At CNY 165.64 MM has Grown at 16.97%
DEBT-EQUITY RATIO (HY) Highest at 52.84 %
INTEREST COVERAGE RATIO(Q) Lowest at 5.09

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 Other Electrical Equipment)

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

Is Tianshui Huatian Technology Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Tianshui Huatian Technology Co., Ltd.

119.3%

2.95

50.76%

China Shanghai Composite

21.43%

1.73

13.79%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

14.71%

EBIT Growth (5y)

-21.82%

EBIT to Interest (avg)

2.73

Debt to EBITDA (avg)

1.51

Net Debt to Equity (avg)

0.39

Sales to Capital Employed (avg)

0.48

Tax Ratio

4.27%

Dividend Payout Ratio

10.00%

Pledged Shares

Institutional Holding

ROCE (avg)

3.61%

ROE (avg)

6.11%

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

3.06

EV to EBIT

226.94

EV to EBITDA

25.16

EV to Capital Employed

2.37

EV to Sales

3.47

PEG Ratio

1.04

Dividend Yield

ROCE (Latest)

1.04%

ROE (Latest)

4.27%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bullish

No Trend

OBV

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

13What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 3,558.14 MM

NET SALES(HY)

At CNY 9,633.66 MM has Grown at 28.79%

NET PROFIT(HY)

At CNY 295.39 MM has Grown at 80.63%

RAW MATERIAL COST(Y)

Fallen by -66.45% (YoY

DEBTORS TURNOVER RATIO(HY)

Highest at 6.31 times

-13What is not working for the Company

INTEREST(HY)

At CNY 165.64 MM has Grown at 16.97%

DEBT-EQUITY RATIO (HY)

Highest at 52.84 %

INTEREST COVERAGE RATIO(Q)

Lowest at 5.09

OPERATING PROFIT(Q)

Lowest at CNY 4.2 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 0.09 %

PRE-TAX PROFIT(Q)

At CNY 129.91 MM has Fallen at -29.58%

NET PROFIT(Q)

At CNY 95.29 MM has Fallen at -33.58%

Here's what is working for Tianshui Huatian Technology Co., Ltd.

Operating Cash Flow

Highest at CNY 3,558.14 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)

Net Sales

At CNY 9,633.66 MM has Grown at 28.79%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

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

Raw Material Cost

Fallen by -66.45% (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 Tianshui Huatian Technology Co., Ltd.

Interest

At CNY 165.64 MM has Grown at 16.97%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Interest Coverage Ratio

Lowest at 5.09

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Debt-Equity Ratio

Highest at 52.84 % and Grown

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

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Operating Profit

Lowest at CNY 4.2 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 0.09 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

At CNY 129.91 MM has Fallen at -29.58%

over average net sales of the previous four periods of CNY 184.47 MM

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 95.29 MM has Fallen at -33.58%

over average net sales of the previous four periods of CNY 143.47 MM

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CNY MM)

Non Operating Income

Highest at CNY 1.78 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income