Vanchip (Tianjin) Technology Co., Ltd. () Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Vanchip (Tianjin) Technology Co., Ltd.

Why is Vanchip (Tianjin) Technology Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 2.50%

The company has been able to generate a Return on Capital Employed (avg) of 2.50% 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 -13.59% and Operating profit at -298.07% over the last 5 years

The company has declared Negative results for the last 3 consecutive quarters

NET SALES(HY) At CNY 1,115.68 MM has Grown at -38.87%
INTEREST(HY) At CNY 4.43 MM has Grown at 69.58%
PRE-TAX PROFIT(Q) At CNY -27.36 MM has Fallen at -276.16%

With ROE of -1.12%, it has a risky valuation with a 1.00 Price to Book Value

Over the past year, while the stock has generated a return of -10.45%, its profits have fallen by -122.8%

Underperformed the market in the last 1 year

Even though the market (China Shanghai Composite) has generated returns of 12.36% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -10.45% returns

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Vanchip (Tianjin) Technology Co., 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 Vanchip (Tianjin) Technology Co., Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Vanchip (Tianjin) Technology Co., Ltd.

-10.45%

-0.08

50.74%

China Shanghai Composite

12.36%

0.86

14.45%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-13.59%

EBIT Growth (5y)

-298.07%

EBIT to Interest (avg)

-6.47

Debt to EBITDA (avg)

0.12

Net Debt to Equity (avg)

-0.66

Sales to Capital Employed (avg)

0.58

Tax Ratio

33.48%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

2.50%

ROE (avg)

1.18%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

1.00

EV to EBIT

-8.37

EV to EBITDA

-47.33

EV to Capital Employed

1.01

EV to Sales

0.65

PEG Ratio

Dividend Yield

ROCE (Latest)

-12.11%

ROE (Latest)

-1.12%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Sideways

Moving Averages

Bullish (Daily)

KST

Mildly Bearish

Bearish

Dow Theory

No Trend

Mildly Bullish

OBV

No Trend

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

0What is working for the Company

NO KEY POSITIVE TRIGGERS

-35What is not working for the Company

NET SALES(HY)

At CNY 1,115.68 MM has Grown at -38.87%

INTEREST(HY)

At CNY 4.43 MM has Grown at 69.58%

PRE-TAX PROFIT(Q)

At CNY -27.36 MM has Fallen at -276.16%

NET PROFIT(Q)

At CNY -18.13 MM has Fallen at -205.84%

OPERATING CASH FLOW(Y)

Lowest at CNY 272.62 MM

RAW MATERIAL COST(Y)

Grown by 11.91% (YoY

DEBTORS TURNOVER RATIO(HY)

Lowest at 5.74%

OPERATING PROFIT(Q)

Lowest at CNY -49.26 MM

OPERATING PROFIT MARGIN(Q)

Lowest at -9.75 %

Here's what is not working for Vanchip (Tianjin) Technology Co., Ltd.

Net Sales

At CNY 1,115.68 MM has Grown at -38.87%

Year on Year (YoY)

MOJO Watch

Near term sales trend is very negative

Net Sales (CNY MM)

Interest

At CNY 4.43 MM has Grown at 69.58%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Pre-Tax Profit

At CNY -27.36 MM has Fallen at -276.16%

over average net sales of the previous four periods of CNY -7.27 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Net Profit

At CNY -18.13 MM has Fallen at -205.84%

over average net sales of the previous four periods of CNY -5.93 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Operating Cash Flow

Lowest at CNY 272.62 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CNY MM)

Operating Profit

Lowest at CNY -49.26 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at -9.75 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Debtors Turnover Ratio

Lowest at 5.74%

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Raw Material Cost

Grown by 11.91% (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