Wedge Industrial Co., Ltd. (000534) 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

Wedge Industrial Co., Ltd.

Why is Wedge Industrial Co., Ltd. ?

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 14.50% and Operating profit at 36.85% over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times
The company has been able to generate a Return on Equity (avg) of 10.39% signifying low profitability per unit of shareholders funds

Flat results in Mar 25

INTEREST(HY) At CNY 20.3 MM has Grown at 28.67%
INVENTORY TURNOVER RATIO(HY) Lowest at 1.08%
DEBTORS TURNOVER RATIO(HY) Lowest at 2.3%

With ROE of 12.88%, it has a expensive valuation with a 5.15 Price to Book Value

Over the past year, while the stock has generated a return of 79.32%, its profits have risen by 9% ; the PEG ratio of the company is 5

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 Realty)

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

Is Wedge Industrial Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Wedge Industrial Co., Ltd.

87.41%

2.44

47.30%

China Shanghai Composite

15.19%

1.01

15.10%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

14.50%

EBIT Growth (5y)

36.85%

EBIT to Interest (avg)

4.62

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

Tax Ratio

17.06%

Dividend Payout Ratio

12.76%

Pledged Shares

Institutional Holding

ROCE (avg)

7.04%

ROE (avg)

10.39%

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

5.15

EV to EBIT

42.09

EV to EBITDA

28.12

EV to Capital Employed

3.01

EV to Sales

8.70

PEG Ratio

4.98

Dividend Yield

0.33%

ROCE (Latest)

7.16%

ROE (Latest)

12.88%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

No Trend

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

8What is working for the Company

INTEREST COVERAGE RATIO(Q)

Highest at 1,142.52

NET SALES(Q)

Highest at CNY 332.03 MM

OPERATING PROFIT(Q)

Highest at CNY 90.67 MM

PRE-TAX PROFIT(Q)

Highest at CNY 86.46 MM

NET PROFIT(Q)

Highest at CNY 72.69 MM

EPS(Q)

Highest at CNY 0.14

-12What is not working for the Company

INTEREST(HY)

At CNY 20.3 MM has Grown at 28.67%

INVENTORY TURNOVER RATIO(HY)

Lowest at 1.08%

DEBTORS TURNOVER RATIO(HY)

Lowest at 2.3%

Here's what is working for Wedge Industrial Co., Ltd.

Interest Coverage Ratio

Highest at 1,142.52

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Net Sales

Highest at CNY 332.03 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Net Sales

At CNY 332.03 MM has Grown at 24.44%

over average net sales of the previous four periods of CNY 266.82 MM

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Operating Profit

Highest at CNY 90.67 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (CNY MM)

Pre-Tax Profit

Highest at CNY 86.46 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 72.69 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY 0.14

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Here's what is not working for Wedge Industrial Co., Ltd.

Interest

At CNY 20.3 MM has Grown at 28.67%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Inventory Turnover Ratio

Lowest at 1.08% and Fallen

In each half year in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Debtors Turnover Ratio

Lowest at 2.3%

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio