Wuxi Taiji Industry Ltd. Corp. (600667) 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 Taiji Industry Ltd. Corp.

Why is Wuxi Taiji Industry Ltd. Corp. ?

Poor Management Efficiency with a low ROCE of 8.02%

The company has been able to generate a Return on Capital Employed (avg) of 8.02% signifying low profitability per unit of total capital (equity and debt)

The company is Net-Debt Free

Poor long term growth as Net Sales has grown by an annual rate of 10.67% and Operating profit at -3.98% over the last 5 years
The company is Net-Debt Free
The company has been able to generate a Return on Equity (avg) of 8.90% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 10.67% and Operating profit at -3.98% over the last 5 years

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

NET PROFIT(9M) At CNY 321.71 MM has Grown at -31.69%
ROCE(HY) Lowest at 5.01%
DEBTORS TURNOVER RATIO(HY) Lowest at 1.6 times

With ROE of 6.59%, it has a very expensive valuation with a 6.43 Price to Book Value

Over the past year, while the stock has generated a return of 182.21%, its profits have fallen by -20.3%
At the current price, the company has a high dividend yield of 0

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 Construction)

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

Is Wuxi Taiji Industry Ltd. Corp. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Wuxi Taiji Industry Ltd. Corp.

171.08%

3.17

78.70%

China Shanghai Composite

3.23%

0.23

14.72%

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)

-3.98%

EBIT to Interest (avg)

3.85

Debt to EBITDA (avg)

8.28

Net Debt to Equity (avg)

-0.09

Sales to Capital Employed (avg)

2.39

Tax Ratio

42.48%

Dividend Payout Ratio

30.35%

Pledged Shares

Institutional Holding

ROCE (avg)

8.20%

ROE (avg)

8.90%

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

6.43

EV to EBIT

66.15

EV to EBITDA

40.92

EV to Capital Employed

7.24

EV to Sales

1.80

PEG Ratio

Dividend Yield

ROCE (Latest)

10.94%

ROE (Latest)

6.59%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Bullish

Moving Averages

Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

No Trend

OBV

No Trend

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

8What is working for the Company

INTEREST COVERAGE RATIO(Q)

Highest at 2,019

DIVIDEND PAYOUT RATIO(Y)

Highest at 16.84%

CASH AND EQV(HY)

Highest at CNY 14,415.87 MM

DEBT-EQUITY RATIO (HY)

Lowest at -20.02 %

DIVIDEND PER SHARE(HY)

Highest at CNY 1.6

OPERATING PROFIT(Q)

Highest at CNY 548.03 MM

OPERATING PROFIT MARGIN(Q)

Highest at 8.45 %

-19What is not working for the Company

NET PROFIT(9M)

At CNY 321.71 MM has Grown at -31.69%

ROCE(HY)

Lowest at 5.01%

DEBTORS TURNOVER RATIO(HY)

Lowest at 1.6 times

RAW MATERIAL COST(Y)

Grown by 9.64% (YoY

NET SALES(Q)

Lowest at CNY 6,486.49 MM

Here's what is working for Wuxi Taiji Industry Ltd. Corp.

Interest Coverage Ratio

Highest at 2,019

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Operating Profit

Highest at CNY 548.03 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (CNY MM)

Operating Profit Margin

Highest at 8.45 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Cash and Eqv

Highest at CNY 14,415.87 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio

Lowest at -20.02 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Dividend per share

Highest at CNY 1.6

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (CNY)

Dividend Payout Ratio

Highest at 16.84%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Here's what is not working for Wuxi Taiji Industry Ltd. Corp.

Net Sales

At CNY 6,486.49 MM has Fallen at -25.64%

Year on Year (YoY)

MOJO Watch

Near term sales trend is extremely negative

Net Sales (CNY MM)

Net Profit

At CNY 321.71 MM has Grown at -31.69%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Debtors Turnover Ratio

Lowest at 1.6 times and Fallen

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

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Net Sales

Lowest at CNY 6,486.49 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Raw Material Cost

Grown by 9.64% (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

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