Wuxi Double Elephant Micro Fibre Material Co., Ltd. (002395) 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 Double Elephant Micro Fibre Material Co., Ltd.

Why is Wuxi Double Elephant Micro Fibre Material Co., Ltd. ?

Negative results in Mar 26

PRE-TAX PROFIT(Q) At CNY 35.74 MM has Fallen at -55.47%
NET PROFIT(Q) At CNY 30.25 MM has Fallen at -55.44%
OPERATING PROFIT(Q) Lowest at CNY 31.73 MM

With ROE of 10.53%, it has a expensive valuation with a 2.51 Price to Book Value

Over the past year, while the stock has generated a return of -23.75%, its profits have fallen by -68.6%
At the current price, the company has a high dividend yield of 1

Below par performance in long term as well as near term

Along with generating -23.75% returns in the last 1 year, the stock has also underperformed China Shanghai Composite in the last 3 years, 1 year and 3 months

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 Footwear)

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

Is Wuxi Double Elephant Micro Fibre Material Co., Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Wuxi Double Elephant Micro Fibre Material Co., Ltd.

-27.1%

-0.50

39.40%

China Shanghai Composite

20.18%

1.55

13.83%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

12.72%

EBIT Growth (5y)

15.23%

EBIT to Interest (avg)

22.77

Debt to EBITDA (avg)

Net Debt is too low

Net Debt to Equity (avg)

-0.08

Sales to Capital Employed (avg)

1.43

Tax Ratio

8.98%

Dividend Payout Ratio

26.55%

Pledged Shares

Institutional Holding

ROCE (avg)

6.64%

ROE (avg)

10.58%

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

2.51

EV to EBIT

22.79

EV to EBITDA

15.04

EV to Capital Employed

2.94

EV to Sales

1.37

PEG Ratio

Dividend Yield

1.03%

ROCE (Latest)

12.91%

ROE (Latest)

10.53%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

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

5What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 221.35 MM

CASH AND EQV(HY)

Highest at CNY 927.75 MM

DEBT-EQUITY RATIO (HY)

Lowest at -21.75 %

-19What is not working for the Company

PRE-TAX PROFIT(Q)

At CNY 35.74 MM has Fallen at -55.47%

NET PROFIT(Q)

At CNY 30.25 MM has Fallen at -55.44%

OPERATING PROFIT(Q)

Lowest at CNY 31.73 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 5.02 %

RAW MATERIAL COST(Y)

Grown by 39.8% (YoY

Here's what is working for Wuxi Double Elephant Micro Fibre Material Co., Ltd.

Operating Cash Flow

Highest at CNY 221.35 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)

Cash and Eqv

Highest at CNY 927.75 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio

Lowest at -21.75 %

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 Wuxi Double Elephant Micro Fibre Material Co., Ltd.

Pre-Tax Profit

At CNY 35.74 MM has Fallen at -55.47%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 30.25 MM has Fallen at -55.44%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Operating Profit

Lowest at CNY 31.73 MM and Fallen

In each period in the last five periods

MOJO Watch

Near term Operating Profit trend is quite negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 5.02 % and Fallen

In each period in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Raw Material Cost

Grown by 39.8% (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