Wuxi Chemical Equipment 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

Wuxi Chemical Equipment Co., Ltd.

Why is Wuxi Chemical Equipment Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of 3.32% and Operating profit at 11.51% over the last 5 years

Flat results in Mar 26

OPERATING CASH FLOW(Y) Lowest at CNY 236.73 MM
NET SALES(9M) At CNY 911.82 MM has Grown at -14.02%
INVENTORY TURNOVER RATIO(HY) Lowest at 1.21 times

With ROE of 10.19%, it has a attractive valuation with a 1.12 Price to Book Value

Over the past year, while the stock has generated a return of 58.23%, its profits have risen by 3.3% ; the PEG ratio of the company is 3.4

Market Beating performance in long term as well as near term

Along with generating 58.23% returns in the last 1 year, the stock has outperformed China Shanghai Composite in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Wuxi Chemical Equipment 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 Wuxi Chemical Equipment Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Wuxi Chemical Equipment Co., Ltd.

58.23%

1.06

61.36%

China Shanghai Composite

16.78%

1.20

13.96%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

3.32%

EBIT Growth (5y)

11.51%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.55

Sales to Capital Employed (avg)

0.54

Tax Ratio

13.10%

Dividend Payout Ratio

27.74%

Pledged Shares

Institutional Holding

ROCE (avg)

17.32%

ROE (avg)

9.05%

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

1.12

EV to EBIT

5.23

EV to EBITDA

4.70

EV to Capital Employed

1.25

EV to Sales

1.14

PEG Ratio

3.36

Dividend Yield

ROCE (Latest)

23.98%

ROE (Latest)

10.19%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

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

11What is working for the Company

NET SALES(Q)

At CNY 353.62 MM has Grown at 83.43%

RAW MATERIAL COST(Y)

Fallen by -15.99% (YoY

OPERATING PROFIT(Q)

Highest at CNY 113.68 MM

OPERATING PROFIT MARGIN(Q)

Highest at 32.15 %

PRE-TAX PROFIT(Q)

Highest at CNY 106.45 MM

NET PROFIT(Q)

Highest at CNY 90.49 MM

EPS(Q)

Highest at CNY 0.59

-7What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at CNY 236.73 MM

NET SALES(9M)

At CNY 911.82 MM has Grown at -14.02%

INVENTORY TURNOVER RATIO(HY)

Lowest at 1.21 times

Here's what is working for Wuxi Chemical Equipment Co., Ltd.

Net Sales

At CNY 353.62 MM has Grown at 83.43%

Year on Year (YoY)

MOJO Watch

Near term sales trend is extremely positive

Net Sales (CNY MM)

Operating Profit

Highest at CNY 113.68 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (CNY MM)

Operating Profit Margin

Highest at 32.15 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at CNY 106.45 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Pre-Tax Profit

At CNY 106.45 MM has Grown at 96.27%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

Highest at CNY 90.49 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

Net Profit

At CNY 90.49 MM has Grown at 96.27%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY 0.59

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Raw Material Cost

Fallen by -15.99% (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 Wuxi Chemical Equipment Co., Ltd.

Operating Cash Flow

Lowest at CNY 236.73 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CNY MM)

Inventory Turnover Ratio

Lowest at 1.21 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio