Wuxi Lihu Corp. Ltd. (300694) 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 Lihu Corp. Ltd.

Why is Wuxi Lihu Corp. Ltd. ?

Poor Management Efficiency with a low ROCE of 2.37%

The company has been able to generate a Return on Capital Employed (avg) of 2.37% signifying low profitability per unit of total capital (equity and debt)

High Debt Company with a Debt to Equity ratio (avg) at times

Poor long term growth as Net Sales has grown by an annual rate of 4.79% and Operating profit at -22.91% over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times
The company has been able to generate a Return on Equity (avg) of 2.83% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 4.79% and Operating profit at -22.91% over the last 5 years

The company has declared Negative results for the last 4 consecutive quarters

PRE-TAX PROFIT(Q) At CNY 3 MM has Fallen at -57.21%
OPERATING CASH FLOW(Y) Lowest at CNY 191.18 MM
NET SALES(9M) At CNY 1,029.28 MM has Grown at -10.88%

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 Auto Components & Equipments)

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

Is Wuxi Lihu Corp. Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Wuxi Lihu Corp. Ltd.

-19.47%

0.78

37.93%

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)

4.79%

EBIT Growth (5y)

-22.91%

EBIT to Interest (avg)

2.98

Debt to EBITDA (avg)

2.53

Net Debt to Equity (avg)

0.10

Sales to Capital Employed (avg)

0.84

Tax Ratio

Tax Ratio is Negative%

Dividend Payout Ratio

31.02%

Pledged Shares

Institutional Holding

ROCE (avg)

2.37%

ROE (avg)

2.83%

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

1.83

EV to EBIT

93.66

EV to EBITDA

24.24

EV to Capital Employed

1.76

EV to Sales

1.88

PEG Ratio

Dividend Yield

0.68%

ROCE (Latest)

1.88%

ROE (Latest)

2.72%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bullish

Mildly Bearish

Dow Theory

Mildly Bearish

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

4What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -22.67% (YoY

CASH AND EQV(HY)

Highest at CNY 670.16 MM

DEBT-EQUITY RATIO (HY)

Lowest at 7.53 %

INVENTORY TURNOVER RATIO(HY)

Highest at 2.76 times

-23What is not working for the Company

PRE-TAX PROFIT(Q)

At CNY 3 MM has Fallen at -57.21%

OPERATING CASH FLOW(Y)

Lowest at CNY 191.18 MM

NET SALES(9M)

At CNY 1,029.28 MM has Grown at -10.88%

ROCE(HY)

Lowest at 2.27%

INTEREST COVERAGE RATIO(Q)

Lowest at 273.43

OPERATING PROFIT(Q)

Lowest at CNY 5.13 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 1.42 %

NET PROFIT(Q)

At CNY 4.37 MM has Fallen at -41.78%

Here's what is working for Wuxi Lihu Corp. Ltd.

Cash and Eqv

Highest at CNY 670.16 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio

Lowest at 7.53 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Inventory Turnover Ratio

Highest at 2.76 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Raw Material Cost

Fallen by -22.67% (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 Lihu Corp. Ltd.

Pre-Tax Profit

At CNY 3 MM has Fallen at -57.21%

over average net sales of the previous four periods of CNY 7.02 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Interest Coverage Ratio

Lowest at 273.43

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Net Sales

At CNY 1,029.28 MM has Grown at -10.88%

Year on Year (YoY)

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Operating Cash Flow

Lowest at CNY 191.18 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CNY MM)

Operating Profit

Lowest at CNY 5.13 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 1.42 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Net Profit

At CNY 4.37 MM has Fallen at -41.78%

over average net sales of the previous four periods of CNY 7.51 MM

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CNY MM)