Town Ray Holdings Ltd. (1692) 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

Hisense Home Appliances Group Co., Ltd.

Town Ray Holdings Ltd.

Haier Smart Home Co., Ltd.

Raymond Industrial Ltd.

Cowell e Holdings Inc.

TCL Electronics Holdings Ltd.

JS Global Lifestyle Co. Ltd.

Nimble Holdings Co. Ltd.

Central Wealth Group Holdings Ltd.

Allan International Holdings Ltd.

Fujikon Industrial Holdings Ltd.

Why is Town Ray Holdings Ltd. ?

High Management Efficiency with a high ROE of 33.99%

Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 66.22

High Debt company with Weak Long Term Fundamental Strength

Negative results in Dec 25

ROCE(HY) Lowest at 18.02%
DIVIDEND PAYOUT RATIO(Y) Lowest at 82.78%
RAW MATERIAL COST(Y) Grown by 14.41% (YoY)

With ROE of 27.00%, it has a Attractive valuation with a 1.86 Price to Book Value

Over the past year, while the stock has generated a return of -35.48%, its profits have risen by 6.9% ; the PEG ratio of the company is 1
At the current price, the company has a high dividend yield of 942.1

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -35.48% returns in the last 1 year, the stock has also underperformed Hang Seng Hong Kong in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Town Ray Holdings 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 Town Ray Holdings Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Town Ray Holdings Ltd.

-35.48%

-1.46

27.75%

Hang Seng Hong Kong

8.76%

0.45

19.63%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

9.34%

EBIT Growth (5y)

4.72%

EBIT to Interest (avg)

66.22

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.06

Sales to Capital Employed (avg)

1.85

Tax Ratio

17.49%

Dividend Payout Ratio

83.19%

Pledged Shares

Institutional Holding

ROCE (avg)

58.62%

ROE (avg)

33.99%

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

1.86

EV to EBIT

5.88

EV to EBITDA

4.41

EV to Capital Employed

1.97

EV to Sales

0.79

PEG Ratio

1.00

Dividend Yield

942.11%

ROCE (Latest)

33.51%

ROE (Latest)

27.00%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

Mildly Bullish

No Trend

OBV

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

-6What is not working for the Company

ROCE(HY)

Lowest at 18.02%

DIVIDEND PAYOUT RATIO(Y)

Lowest at 82.78%

RAW MATERIAL COST(Y)

Grown by 14.41% (YoY

DEBTORS TURNOVER RATIO(HY)

Lowest at 5.19 times

DIVIDEND PER SHARE(HY)

Lowest at HKD 5.19

Here's what is working for Town Ray Holdings Ltd.

Depreciation

Highest at HKD 17.58 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (HKD MM)

Depreciation

At HKD 17.58 MM has Grown at 6%

period on period (QoQ)

MOJO Watch

The expenditure on assets done by the company has gone into productive use which should positively reflect in the future sales

Depreciation (HKD MM)

Here's what is not working for Town Ray Holdings Ltd.

Debtors Turnover Ratio

Lowest at 5.19 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Dividend per share

Lowest at HKD 5.19

in the last five years

MOJO Watch

Company is distributing lower dividend than previous years

DPS (HKD)

Dividend Payout Ratio

Lowest at 82.78%

in the last five years

MOJO Watch

Company is distributing lower proportion of profits generated as dividend

DPR (%)

Raw Material Cost

Grown by 14.41% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales