Wanxiang Doneed Co., Ltd. (600371) 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

Wanxiang Doneed Co., Ltd.

Why is Wanxiang Doneed Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of 2.44% and Operating profit at -12.38% over the last 5 years

With a fall in Net Sales of -40.15%, the company declared Very Negative results in Mar 25

The company has declared negative results for the last 2 consecutive quarters
NET PROFIT(HY) At CNY 23.55 MM has Grown at -51.51%
OPERATING CASH FLOW(Y) Lowest at CNY -26.29 MM
ROCE(HY) Lowest at 6.73%

With ROE of 7.31%, it has a very expensive valuation with a 4.67 Price to Book Value

Over the past year, while the stock has generated a return of -3.77%, its profits have fallen by -42%
At the current price, the company has a high dividend yield of 1.7

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -3.77% 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 Other Agricultural Products)

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

Is Wanxiang Doneed Co., Ltd. for you?

High Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Wanxiang Doneed Co., Ltd.

0.55%

0.57

37.53%

China Shanghai Composite

15.19%

1.01

14.58%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

2.44%

EBIT Growth (5y)

-12.38%

EBIT to Interest (avg)

34.20

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

-0.57

Sales to Capital Employed (avg)

0.54

Tax Ratio

Dividend Payout Ratio

83.38%

Pledged Shares

Institutional Holding

ROCE (avg)

21.82%

ROE (avg)

11.11%

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

4.67

EV to EBIT

114.46

EV to EBITDA

86.86

EV to Capital Employed

8.57

EV to Sales

7.58

PEG Ratio

Dividend Yield

1.69%

ROCE (Latest)

7.49%

ROE (Latest)

7.31%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Sideways

Mildly Bullish

Moving Averages

Bearish (Daily)

KST

Mildly Bullish

Bullish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

No Trend

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

4What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -5.5% (YoY

DEBTORS TURNOVER RATIO(HY)

Highest at 68,808.57%

PRE-TAX PROFIT(Q)

At CNY 25.04 MM has Grown at 65.46%

NET PROFIT(Q)

At CNY 22.68 MM has Grown at 72.37%

-21What is not working for the Company

NET PROFIT(HY)

At CNY 23.55 MM has Grown at -51.51%

OPERATING CASH FLOW(Y)

Lowest at CNY -26.29 MM

ROCE(HY)

Lowest at 6.73%

NET SALES(Q)

At CNY 72.94 MM has Fallen at -14.56%

CASH AND EQV(HY)

Lowest at CNY 683.87 MM

DEBT-EQUITY RATIO (HY)

Highest at -56.52 %

Here's what is working for Wanxiang Doneed Co., Ltd.

Pre-Tax Profit

At CNY 25.04 MM has Grown at 65.46%

over average net sales of the previous four periods of CNY 15.13 MM

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 22.68 MM has Grown at 72.37%

over average net sales of the previous four periods of CNY 13.16 MM

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

Debtors Turnover Ratio

Highest at 68,808.57%

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by -5.5% (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 Wanxiang Doneed Co., Ltd.

Operating Cash Flow

Lowest at CNY -26.29 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)

Net Sales

At CNY 72.94 MM has Fallen at -14.56%

over average net sales of the previous four periods of CNY 85.38 MM

MOJO Watch

Near term sales trend is very negative

Net Sales (CNY MM)

Cash and Eqv

Lowest at CNY 683.87 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debt-Equity Ratio

Highest at -56.52 %

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