Valiant Co., Ltd. (002643) 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

Valiant Co., Ltd.

Why is Valiant Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of 4.91% and Operating profit at -10.48% over the last 5 years

Flat results in Mar 26

INTEREST COVERAGE RATIO(Q) Lowest at 2,146.95
DEBTORS TURNOVER RATIO(HY) Lowest at 5.26 times
INTEREST(Q) Highest at CNY 6.07 MM

With ROE of 5.48%, it has a attractive valuation with a 1.72 Price to Book Value

Over the past year, while the stock has generated a return of 63.10%, its profits have risen by 9.4% ; the PEG ratio of the company is 2.8
At the current price, the company has a high dividend yield of 0

Market Beating Performance

The stock has generated a return of 63.10% in the last 1 year, much higher than market (China Shanghai Composite) returns of 23.91%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Valiant Co., Ltd. should be less than 10%
Overall Portfolio exposure to Chemicals & Petrochemicals should be less than 30%

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

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

Is Valiant Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Valiant Co., Ltd.

60.4%

1.55

40.62%

China Shanghai Composite

23.91%

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)

4.91%

EBIT Growth (5y)

-10.48%

EBIT to Interest (avg)

30.09

Debt to EBITDA (avg)

0.22

Net Debt to Equity (avg)

0.09

Sales to Capital Employed (avg)

0.44

Tax Ratio

5.91%

Dividend Payout Ratio

40.32%

Pledged Shares

Institutional Holding

ROCE (avg)

12.08%

ROE (avg)

10.52%

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

1.72

EV to EBIT

33.01

EV to EBITDA

17.34

EV to Capital Employed

1.66

EV to Sales

3.33

PEG Ratio

2.80

Dividend Yield

ROCE (Latest)

5.04%

ROE (Latest)

5.48%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bullish

Mildly Bearish

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

6What is working for the Company

NET PROFIT(HY)

At CNY 66.57 MM has Grown at 120.97%

RAW MATERIAL COST(Y)

Fallen by -8.01% (YoY

INVENTORY TURNOVER RATIO(HY)

Highest at 1.41 times

NET SALES(Q)

Highest at CNY 1,015.27 MM

-6What is not working for the Company

INTEREST COVERAGE RATIO(Q)

Lowest at 2,146.95

DEBTORS TURNOVER RATIO(HY)

Lowest at 5.26 times

INTEREST(Q)

Highest at CNY 6.07 MM

Here's what is working for Valiant Co., Ltd.

Net Profit

At CNY 66.57 MM has Grown at 120.97%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (CNY MM)

Net Sales

Highest at CNY 1,015.27 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Inventory Turnover Ratio

Highest at 1.41 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Raw Material Cost

Fallen by -8.01% (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 Valiant Co., Ltd.

Interest

At CNY 6.07 MM has Grown at 28.83%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Interest Coverage Ratio

Lowest at 2,146.95

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Interest

Highest at CNY 6.07 MM

in the last five periods and Increased by 28.83% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Debtors Turnover Ratio

Lowest at 5.26 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio