Wafangdian Bearing Co., Ltd. (200706) 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

Wafangdian Bearing Co., Ltd.

Why is Wafangdian Bearing Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 0%

The company has reported losses and also has negative networth. This is not a good sign for the investors. Either company will have to raise fresh capital or report profits to sustain going forward

High Debt Company with a Debt to Equity ratio (avg) at times

Poor long term growth as Net Sales has grown by an annual rate of 3.47% and Operating profit at -6.59% over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times
The company has reported losses. Due to this company has reported negative ROE

Poor long term growth as Net Sales has grown by an annual rate of 3.47% and Operating profit at -6.59% over the last 5 years

Flat results in Sep 25

PRE-TAX PROFIT(Q) At HKD -9.41 MM has Fallen at -273.12%
NET PROFIT(Q) At HKD -9.41 MM has Fallen at -273.12%
ROCE(HY) Lowest at -32.33%

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of -7.28%, its profits have risen by 22.8%

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 Industrial Manufacturing)

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

Is Wafangdian Bearing Co., Ltd. for you?

Low Risk, High Return

Absolute

Risk Adjusted

Volatility

Wafangdian Bearing Co., Ltd.

-7.28%

3.89

23.26%

China Shanghai Composite

15.17%

1.13

14.17%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

3.47%

EBIT Growth (5y)

-6.59%

EBIT to Interest (avg)

-5.39

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

3.24

Sales to Capital Employed (avg)

1.92

Tax Ratio

0.05%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

ROE (avg)

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

4.47

EV to EBIT

-14.25

EV to EBITDA

-40.74

EV to Capital Employed

2.20

EV to Sales

0.69

PEG Ratio

Dividend Yield

ROCE (Latest)

-15.44%

ROE (Latest)

-34.90%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Sideways

Bullish

Moving Averages

Bullish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

No Trend

Mildly Bearish

OBV

Mildly Bullish

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

7What is working for the Company

OPERATING CASH FLOW(Y)

Highest at HKD 331.09 MM

NET PROFIT(HY)

Higher at HKD -23.6 MM

DEBT-EQUITY RATIO (HY)

Lowest at 105.02 %

-10What is not working for the Company

PRE-TAX PROFIT(Q)

At HKD -9.41 MM has Fallen at -273.12%

NET PROFIT(Q)

At HKD -9.41 MM has Fallen at -273.12%

ROCE(HY)

Lowest at -32.33%

RAW MATERIAL COST(Y)

Grown by 9.44% (YoY

CASH AND EQV(HY)

Lowest at HKD 188.5 MM

Here's what is working for Wafangdian Bearing Co., Ltd.

Operating Cash Flow

Highest at HKD 331.09 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 (HKD MM)

Debt-Equity Ratio

Lowest at 105.02 %

in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Here's what is not working for Wafangdian Bearing Co., Ltd.

Pre-Tax Profit

At HKD -9.41 MM has Fallen at -273.12%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (HKD MM)

Net Profit

At HKD -9.41 MM has Fallen at -273.12%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (HKD MM)

Cash and Eqv

Lowest at HKD 188.5 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Raw Material Cost

Grown by 9.44% (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