Why is Wintao Communications Co., Ltd. ?
1
Poor long term growth as Net Sales has grown by an annual rate of -18.62% and Operating profit at -29.20% over the last 5 years
2
The company has declared negative results for the last 9 consecutive quarters
- NET SALES(Q) At CNY 306.28 MM has Fallen at -26.77%
- ROCE(HY) Lowest at 1.69%
- DEBT-EQUITY RATIO (HY) Highest at 28.55 %
3
Below par performance in long term as well as near term
- Along with generating -10.35% returns in the last 1 year, the stock has also underperformed China Shanghai Composite in the last 3 years, 1 year and 3 months
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 Computers - Software & Consulting)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Wintao Communications Co., Ltd. for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Wintao Communications Co., Ltd.
-22.58%
0.03
68.39%
China Shanghai Composite
15.19%
1.01
15.10%
Quality key factors
Factor
Value
Sales Growth (5y)
-18.62%
EBIT Growth (5y)
-29.20%
EBIT to Interest (avg)
16.50
Debt to EBITDA (avg)
1.12
Net Debt to Equity (avg)
0.20
Sales to Capital Employed (avg)
0.69
Tax Ratio
Tax Ratio is Negative%
Dividend Payout Ratio
10.05%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
8.14%
ROE (avg)
7.13%
Valuation Key Factors 
Factor
Value
P/E Ratio
24
Industry P/E
Price to Book Value
0.34
EV to EBIT
25.54
EV to EBITDA
9.37
EV to Capital Employed
0.48
EV to Sales
1.10
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
1.86%
ROE (Latest)
1.45%
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Bullish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
Mildly Bearish
Bullish
Technical Movement
1What is working for the Company
RAW MATERIAL COST(Y)
Fallen by -11.18% (YoY
-43What is not working for the Company
NET SALES(Q)
At CNY 306.28 MM has Fallen at -26.77%
ROCE(HY)
Lowest at 1.69%
DEBT-EQUITY RATIO
(HY)
Highest at 28.55 %
INTEREST(Q)
At CNY 8.89 MM has Grown at 78.8%
INTEREST COVERAGE RATIO(Q)
Lowest at 202.16
PRE-TAX PROFIT(Q)
At CNY 12.85 MM has Fallen at -40.78%
NET PROFIT(Q)
At CNY 10.64 MM has Fallen at -47.67%
OPERATING PROFIT MARGIN(Q)
Lowest at 5.86 %
Here's what is working for Wintao Communications Co., Ltd.
Raw Material Cost
Fallen by -11.18% (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 Wintao Communications Co., Ltd.
Net Sales
At CNY 306.28 MM has Fallen at -26.77%
Year on Year (YoY)MOJO Watch
Near term sales trend is extremely negative
Net Sales (CNY MM)
Interest
At CNY 8.89 MM has Grown at 78.8%
period on period (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (CNY MM)
Interest Coverage Ratio
Lowest at 202.16
in the last five periodsMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Pre-Tax Profit
At CNY 12.85 MM has Fallen at -40.78%
Year on Year (YoY)MOJO Watch
Near term Pre-Tax Profit trend is very negative
Pre-Tax Profit (CNY MM)
Net Profit
At CNY 10.64 MM has Fallen at -47.67%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is very negative
Net Profit (CNY MM)
Debt-Equity Ratio
Highest at 28.55 % and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
Interest
Highest at CNY 8.89 MM
in the last five periods and Increased by 78.8% (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (CNY MM)
Operating Profit Margin
Lowest at 5.86 %
in the last five periodsMOJO Watch
Company's profit margin has deteriorated
Operating Profit to Sales






