Wave Cyber (Shanghai) 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

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Wave Cyber (Shanghai) Co., Ltd.

Why is Wave Cyber (Shanghai) Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 7.01%

The company has been able to generate a Return on Capital Employed (avg) of 7.01% 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 0.20% and Operating profit at -21.49% over the last 5 years

Flat results in Sep 25

ROCE(HY) Lowest at 4.65%
INVENTORY TURNOVER RATIO(HY) Lowest at 2.74 times
OPERATING PROFIT(Q) Lowest at CNY 9.68 MM

With ROE of 4.33%, it has a expensive valuation with a 3.32 Price to Book Value

Over the past year, while the stock has generated a return of 35.77%, its profits have fallen by -14.8%

Market Beating Performance

The stock has generated a return of 35.77% in the last 1 year, much higher than market (China Shanghai Composite) returns of 22.49%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Wave Cyber (Shanghai) Co., Ltd. should be less than 10%
Overall Portfolio exposure to Industrial Manufacturing should be less than 30%

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

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

Is Wave Cyber (Shanghai) Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Wave Cyber (Shanghai) Co., Ltd.

31.72%

1.81

38.95%

China Shanghai Composite

16.01%

1.58

14.20%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

0.20%

EBIT Growth (5y)

-21.49%

EBIT to Interest (avg)

33.21

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.06

Sales to Capital Employed (avg)

0.48

Tax Ratio

2.44%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

7.01%

ROE (avg)

6.83%

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

3.32

EV to EBIT

97.95

EV to EBITDA

35.28

EV to Capital Employed

3.63

EV to Sales

6.81

PEG Ratio

Dividend Yield

ROCE (Latest)

3.71%

ROE (Latest)

4.33%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

Mildly Bearish

Mildly 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

8What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 60.66 MM

RAW MATERIAL COST(Y)

Fallen by -18.06% (YoY

DEBT-EQUITY RATIO (HY)

Lowest at -14.72 %

PRE-TAX PROFIT(Q)

Highest at CNY 12.29 MM

NET PROFIT(Q)

Highest at CNY 11.96 MM

EPS(Q)

Highest at CNY 0.07

-5What is not working for the Company

ROCE(HY)

Lowest at 4.65%

INVENTORY TURNOVER RATIO(HY)

Lowest at 2.74 times

OPERATING PROFIT(Q)

Lowest at CNY 9.68 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 10.11 %

Here's what is working for Wave Cyber (Shanghai) Co., Ltd.

Operating Cash Flow

Highest at CNY 60.66 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 (CNY MM)

Pre-Tax Profit

Highest at CNY 12.29 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

Highest at CNY 11.96 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY 0.07

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Debt-Equity Ratio

Lowest at -14.72 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Raw Material Cost

Fallen by -18.06% (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 Wave Cyber (Shanghai) Co., Ltd.

Operating Profit

Lowest at CNY 9.68 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 10.11 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Inventory Turnover Ratio

Lowest at 2.74 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio