Wuxi Delinhai Environmental Technology Co., Ltd. (688069) 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

Wuxi Delinhai Environmental Technology Co., Ltd.

Why is Wuxi Delinhai Environmental Technology Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 11.42%

The company has been able to generate a Return on Capital Employed (avg) of 11.42% 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 1.83% and Operating profit at -194.53% over the last 5 years

The company has declared positive results in Jan 70 after 2 consecutive negative quarters

RAW MATERIAL COST(Y) Fallen by -29.58% (YoY)
INVENTORY TURNOVER RATIO(HY) Highest at 5.6%
DEBTORS TURNOVER RATIO(HY) Highest at 0.8%

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of 27.56%, its profits have fallen by -1076.4%

Market Beating Performance

The stock has generated a return of 27.56% in the last 1 year, much higher than market (China Shanghai Composite) returns of 14.77%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Wuxi Delinhai Environmental Technology 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 Delinhai Environmental Technology Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Wuxi Delinhai Environmental Technology Co., Ltd.

-100.0%

1.62

35.34%

China Shanghai Composite

15.19%

1.01

14.58%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

1.83%

EBIT Growth (5y)

-194.53%

EBIT to Interest (avg)

35.48

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.38

Sales to Capital Employed (avg)

0.27

Tax Ratio

6.12%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

11.42%

ROE (avg)

4.37%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

1.29

EV to EBIT

-7.81

EV to EBITDA

-8.73

EV to Capital Employed

1.49

EV to Sales

3.12

PEG Ratio

Dividend Yield

1.48%

ROCE (Latest)

-19.03%

ROE (Latest)

-9.61%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bearish

OBV

Mildly Bearish

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

6What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -29.58% (YoY

INVENTORY TURNOVER RATIO(HY)

Highest at 5.6%

DEBTORS TURNOVER RATIO(HY)

Highest at 0.8%

NET SALES(Q)

At CNY 46.14 MM has Grown at 21.33%

-17What is not working for the Company

NET PROFIT(HY)

At CNY -120.27 MM has Grown at -12,616.47%

OPERATING CASH FLOW(Y)

Lowest at CNY 53.49 MM

ROCE(HY)

Lowest at -6.74%

DEBT-EQUITY RATIO (HY)

Highest at -37.93 %

PRE-TAX PROFIT(Q)

Fallen at -28.37%

Here's what is working for Wuxi Delinhai Environmental Technology Co., Ltd.

Net Sales

At CNY 46.14 MM has Grown at 21.33%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Inventory Turnover Ratio

Highest at 5.6%

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Debtors Turnover Ratio

Highest at 0.8%

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by -29.58% (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 Delinhai Environmental Technology Co., Ltd.

Operating Cash Flow

Lowest at CNY 53.49 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)

Debt-Equity Ratio

Highest at -37.93 % and Grown

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

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Pre-Tax Profit

Fallen at -28.37%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (CNY MM)

Net Profit

Fallen at -28.42%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CNY MM)