Wutong Holding Group Co., Ltd. (300292) 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

Wutong Holding Group Co., Ltd.

Why is Wutong Holding Group Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 5.59%

The company has been able to generate a Return on Capital Employed (avg) of 5.59% signifying low profitability per unit of total capital (equity and debt)

With ROE of 8.91%, it has a fair valuation with a 4.50 Price to Book Value

Over the past year, while the stock has generated a return of -8.46%, its profits have risen by 94.3% ; the PEG ratio of the company is 0.5

Underperformed the market in the last 1 year

Even though the market (China Shanghai Composite) has generated returns of 15.17% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -8.46% returns

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 Software Products)

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

Is Wutong Holding Group Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Wutong Holding Group Co., Ltd.

-3.39%

1.15

35.72%

China Shanghai Composite

15.17%

1.02

14.86%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

5.46%

EBIT Growth (5y)

23.18%

EBIT to Interest (avg)

4.42

Debt to EBITDA (avg)

1.42

Net Debt to Equity (avg)

0.02

Sales to Capital Employed (avg)

2.25

Tax Ratio

13.97%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

5.59%

ROE (avg)

5.17%

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

4.50

EV to EBIT

43.20

EV to EBITDA

34.39

EV to Capital Employed

4.53

EV to Sales

1.46

PEG Ratio

0.54

Dividend Yield

ROCE (Latest)

10.49%

ROE (Latest)

8.91%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Sideways

Bearish

Moving Averages

Bearish (Daily)

KST

Bullish

Mildly Bearish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

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

5What is working for the Company

ROCE(HY)

Highest at 7.54%

INVENTORY TURNOVER RATIO(HY)

Highest at 23.31 times

DEBT-EQUITY RATIO (HY)

Lowest at -11.72 %

-5What is not working for the Company

RAW MATERIAL COST(Y)

Grown by 15.51% (YoY

CASH AND EQV(HY)

Lowest at CNY 750.93 MM

NET SALES(Q)

Lowest at CNY 1,066.65 MM

OPERATING PROFIT(Q)

Lowest at CNY 24.82 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 2.33 %

Here's what is working for Wutong Holding Group Co., Ltd.

Inventory Turnover Ratio

Highest at 23.31 times and Grown

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

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Debt-Equity Ratio

Lowest at -11.72 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Here's what is not working for Wutong Holding Group Co., Ltd.

Net Sales

Lowest at CNY 1,066.65 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Operating Profit

Lowest at CNY 24.82 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 2.33 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Cash and Eqv

Lowest at CNY 750.93 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Raw Material Cost

Grown by 15.51% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales