Wuxi Hongsheng Heat Exchanger Manufacturing Co., Ltd. (603090) 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 Hongsheng Heat Exchanger Manufacturing Co., Ltd.

Why is Wuxi Hongsheng Heat Exchanger Manufacturing Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of 10.67% and Operating profit at 16.32% over the last 5 years

The company declared positive results in Mar'25 after negative results in Dec'24

INTEREST COVERAGE RATIO(Q) Highest at 2,834.05
RAW MATERIAL COST(Y) Fallen by -0.62% (YoY)
CASH AND EQV(HY) Highest at CNY 376.77 MM

With ROE of 10.75%, it has a fair valuation with a 3.23 Price to Book Value

Over the past year, while the stock has generated a return of 119.98%, its profits have risen by 33.9% ; the PEG ratio of the company is 0.9
At the current price, the company has a high dividend yield of 1.6

Market Beating performance in long term as well as near term

Along with generating 119.98% 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 Hongsheng Heat Exchanger Manufacturing 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 Hongsheng Heat Exchanger Manufacturing Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Wuxi Hongsheng Heat Exchanger Manufacturing Co., Ltd.

-100.0%

1.64

61.46%

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)

10.67%

EBIT Growth (5y)

16.32%

EBIT to Interest (avg)

13.99

Debt to EBITDA (avg)

0.23

Net Debt to Equity (avg)

-0.11

Sales to Capital Employed (avg)

1.00

Tax Ratio

16.83%

Dividend Payout Ratio

60.78%

Pledged Shares

Institutional Holding

ROCE (avg)

8.38%

ROE (avg)

7.16%

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

3.23

EV to EBIT

27.53

EV to EBITDA

19.50

EV to Capital Employed

3.47

EV to Sales

2.50

PEG Ratio

0.89

Dividend Yield

1.56%

ROCE (Latest)

12.62%

ROE (Latest)

10.75%

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

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

13What is working for the Company

INTEREST COVERAGE RATIO(Q)

Highest at 2,834.05

RAW MATERIAL COST(Y)

Fallen by -0.62% (YoY

CASH AND EQV(HY)

Highest at CNY 376.77 MM

DEBTORS TURNOVER RATIO(HY)

Highest at 3.21%

PRE-TAX PROFIT(Q)

Highest at CNY 26.05 MM

NET PROFIT(Q)

At CNY 22.58 MM has Grown at 79.66%

EPS(Q)

Highest at CNY 0.23

-1What is not working for the Company

NET SALES(Q)

At CNY 155.97 MM has Fallen at -11.73%

Here's what is working for Wuxi Hongsheng Heat Exchanger Manufacturing Co., Ltd.

Interest Coverage Ratio

Highest at 2,834.05

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Pre-Tax Profit

Highest at CNY 26.05 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 26.05 MM has Grown at 64.32%

over average net sales of the previous four periods of CNY 15.86 MM

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

Highest at CNY 22.58 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

Net Profit

At CNY 22.58 MM has Grown at 79.66%

over average net sales of the previous four periods of CNY 12.57 MM

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY 0.23

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Cash and Eqv

Highest at CNY 376.77 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debtors Turnover Ratio

Highest at 3.21%

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 -0.62% (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 Hongsheng Heat Exchanger Manufacturing Co., Ltd.

Net Sales

At CNY 155.97 MM has Fallen at -11.73%

over average net sales of the previous four periods of CNY 176.71 MM

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)