Topsec Technologies Group, Inc. (002212) 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

Topsec Technologies Group, Inc.

Why is Topsec Technologies Group, Inc. ?

Poor Management Efficiency with a low ROCE of 1.14%

The company has been able to generate a Return on Capital Employed (avg) of 1.14% signifying low profitability per unit of total capital (equity and debt)

Poor long term growth as Net Sales has grown by an annual rate of -18.02% and Operating profit at -194.24% over the last 5 years

With a fall in Net Sales of -46.96%, the company declared Very Negative results in Sep 25

OPERATING CASH FLOW(Y) Lowest at CNY 117.56 MM
NET SALES(Q) At CNY 376.2 MM has Fallen at -46.96%
INTEREST(Q) At CNY 1.32 MM has Grown at 18.38%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -13.34% 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 Electronics & Appliances)

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

Is Topsec Technologies Group, Inc. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Topsec Technologies Group, Inc.

-10.86%

1.02

44.92%

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)

-18.02%

EBIT Growth (5y)

-194.24%

EBIT to Interest (avg)

-1.91

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.03

Sales to Capital Employed (avg)

0.32

Tax Ratio

Tax Ratio is Negative%

Dividend Payout Ratio

51.84%

Pledged Shares

Institutional Holding

ROCE (avg)

1.14%

ROE (avg)

1.96%

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

1.23

EV to EBIT

209.52

EV to EBITDA

29.54

EV to Capital Employed

1.23

EV to Sales

4.21

PEG Ratio

0.35

Dividend Yield

0.39%

ROCE (Latest)

0.59%

ROE (Latest)

2.28%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Bullish

Dow Theory

Mildly Bearish

OBV

No Trend

Mildly Bearish

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

0What is working for the Company

NO KEY POSITIVE TRIGGERS

-38What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at CNY 117.56 MM

NET SALES(Q)

At CNY 376.2 MM has Fallen at -46.96%

INTEREST(Q)

At CNY 1.32 MM has Grown at 18.38%

CASH AND EQV(HY)

Lowest at CNY 449.83 MM

DEBT-EQUITY RATIO (HY)

Highest at 1.15 %

INVENTORY TURNOVER RATIO(HY)

Lowest at 2.42 times

DEBTORS TURNOVER RATIO(HY)

Lowest at 0.81 times

OPERATING PROFIT(Q)

Lowest at CNY -223.68 MM

OPERATING PROFIT MARGIN(Q)

Lowest at -59.46 %

PRE-TAX PROFIT(Q)

Lowest at CNY -210.57 MM

NET PROFIT(Q)

Lowest at CNY -170.77 MM

EPS(Q)

Lowest at CNY -0.15

Here's what is not working for Topsec Technologies Group, Inc.

Net Sales

At CNY 376.2 MM has Fallen at -46.96%

Year on Year (YoY)

MOJO Watch

Near term sales trend is extremely negative

Net Sales (CNY MM)

Pre-Tax Profit

At CNY -210.57 MM has Fallen at -2,164.81%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Net Profit

At CNY -170.77 MM has Fallen at -568%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Operating Cash Flow

Lowest at CNY 117.56 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CNY MM)

Interest

At CNY 1.32 MM has Grown at 18.38%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Operating Profit

Lowest at CNY -223.68 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at -59.46 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at CNY -210.57 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (CNY MM)

Net Profit

Lowest at CNY -170.77 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CNY MM)

EPS

Lowest at CNY -0.15

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (CNY)

Cash and Eqv

Lowest at CNY 449.83 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debt-Equity Ratio

Highest at 1.15 %

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

Inventory Turnover Ratio

Lowest at 2.42 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 0.81 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio