Wuhan KOTEI Informatics 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

MarketsMojo — Loved in India, Now Global

The power of Mojo is now in 29 countries. Explore global equities with the same cutting-edge features you love.Unlock 29 Markets

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Wuhan KOTEI Informatics Co., Ltd.

Why is Wuhan KOTEI Informatics Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 4.35%

The company has been able to generate a Return on Capital Employed (avg) of 4.35% 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 12.98% and Operating profit at -21.16% over the last 5 years

The company has declared Positive results for the last 3 consecutive quarters

OPERATING CASH FLOW(Y) Highest at CNY 137.43 MM
PRE-TAX PROFIT(Q) At CNY 18.44 MM has Grown at 305.83%
NET PROFIT(Q) At CNY 18.88 MM has Grown at 286.51%

With ROE of 4.35%, it has a attractive valuation with a 0.62 Price to Book Value

Over the past year, while the stock has generated a return of 1.56%, its profits have risen by 315.3% ; the PEG ratio of the company is 0.1

Underperformed the market in the last 1 year

The stock has generated a return of 1.56% in the last 1 year, much lower than market (China Shanghai Composite) returns of 15.18%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Wuhan KOTEI Informatics Co., Ltd. should be less than 10%
Overall Portfolio exposure to Software Products should be less than 30%

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

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

Is Wuhan KOTEI Informatics Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Wuhan KOTEI Informatics Co., Ltd.

-15.25%

1.22

47.91%

China Shanghai Composite

12.36%

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)

12.98%

EBIT Growth (5y)

-21.16%

EBIT to Interest (avg)

18.16

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.57

Sales to Capital Employed (avg)

0.30

Tax Ratio

7.49%

Dividend Payout Ratio

62.11%

Pledged Shares

Institutional Holding

ROCE (avg)

4.35%

ROE (avg)

2.04%

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

0.62

EV to EBIT

0.59

EV to EBITDA

0.20

EV to Capital Employed

0.02

EV to Sales

0.02

PEG Ratio

0.05

Dividend Yield

ROCE (Latest)

2.63%

ROE (Latest)

4.35%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Bullish

Dow Theory

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

28What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 137.43 MM

PRE-TAX PROFIT(Q)

At CNY 18.44 MM has Grown at 305.83%

NET PROFIT(Q)

At CNY 18.88 MM has Grown at 286.51%

ROCE(HY)

Highest at 4.34%

NET SALES(Q)

At CNY 140.44 MM has Grown at 47.34%

RAW MATERIAL COST(Y)

Fallen by -25.7% (YoY

DEBT-EQUITY RATIO (HY)

Lowest at -61.76 %

-3What is not working for the Company

OPERATING PROFIT(Q)

Lowest at CNY 0.86 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 0.61 %

Here's what is working for Wuhan KOTEI Informatics Co., Ltd.

Pre-Tax Profit

At CNY 18.44 MM has Grown at 305.83%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 18.88 MM has Grown at 286.51%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (CNY MM)

Operating Cash Flow

Highest at CNY 137.43 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)

Net Sales

At CNY 140.44 MM has Grown at 47.34%

Year on Year (YoY)

MOJO Watch

Near term sales trend is very positive

Net Sales (CNY MM)

Debt-Equity Ratio

Lowest at -61.76 %

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 -25.7% (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 Wuhan KOTEI Informatics Co., Ltd.

Operating Profit

Lowest at CNY 0.86 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 0.61 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales