Why is Wuxi Taiji Industry Ltd. Corp. ?
1
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 15.10% and Operating profit at -5.21% 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 8.90% signifying low profitability per unit of shareholders funds
2
Poor long term growth as Net Sales has grown by an annual rate of 15.10% and Operating profit at -5.21% over the last 5 years
3
Negative results in Mar 25
- NET SALES(HY) At CNY 17,280.57 MM has Grown at -12.04%
- DEBTORS TURNOVER RATIO(HY) Lowest at 2.46%
- INTEREST COVERAGE RATIO(Q) Lowest at 485.56
4
With ROE of 8.22%, it has a very expensive valuation with a 1.78 Price to Book Value
- Over the past year, while the stock has generated a return of 0.77%, its profits have fallen by -12%
- At the current price, the company has a high dividend yield of 1.3
5
Underperformed the market in the last 1 year
- The stock has generated a return of 0.77% in the last 1 year, much lower than market (China Shanghai Composite) returns of 14.77%
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.
3.13%
0.89
37.57%
China Shanghai Composite
15.19%
1.01
14.58%
Quality key factors
Factor
Value
Sales Growth (5y)
15.10%
EBIT Growth (5y)
-5.21%
EBIT to Interest (avg)
3.53
Debt to EBITDA (avg)
8.56
Net Debt to Equity (avg)
-0.09
Sales to Capital Employed (avg)
2.43
Tax Ratio
21.05%
Dividend Payout Ratio
30.44%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
8.02%
ROE (avg)
8.90%
Valuation Key Factors 
Factor
Value
P/E Ratio
22
Industry P/E
Price to Book Value
1.78
EV to EBIT
19.94
EV to EBITDA
10.09
EV to Capital Employed
1.84
EV to Sales
0.43
PEG Ratio
NA
Dividend Yield
1.30%
ROCE (Latest)
9.22%
ROE (Latest)
8.22%
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bullish
Mildly Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Bullish
Bullish
Dow Theory
Mildly Bearish
No Trend
OBV
Mildly Bearish
No Trend
Technical Movement
3What is working for the Company
DEBT-EQUITY RATIO
(HY)
Lowest at -8.58 %
RAW MATERIAL COST(Y)
Fallen by -5.37% (YoY
-11What is not working for the Company
NET SALES(HY)
At CNY 17,280.57 MM has Grown at -12.04%
DEBTORS TURNOVER RATIO(HY)
Lowest at 2.46%
INTEREST COVERAGE RATIO(Q)
Lowest at 485.56
OPERATING PROFIT MARGIN(Q)
Lowest at 2.32 %
OPERATING PROFIT(Q)
Lowest at CNY 155.64 MM
NET PROFIT(Q)
Lowest at CNY 117.94 MM
EPS(Q)
Lowest at CNY 0.06
Here's what is working for Wuxi Taiji Industry Ltd. Corp.
Debt-Equity Ratio
Lowest at -8.58 % and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Raw Material Cost
Fallen by -5.37% (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 Taiji Industry Ltd. Corp.
Interest Coverage Ratio
Lowest at 485.56
in the last five periodsMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Operating Profit Margin
Lowest at 2.32 % and Fallen
In each period in the last five periodsMOJO Watch
Company's profit margin has deteriorated
Operating Profit to Sales
Net Sales
At CNY 17,280.57 MM has Grown at -12.04%
Year on Year (YoY)MOJO Watch
Near term sales trend is negative
Net Sales (CNY MM)
Debtors Turnover Ratio
Lowest at 2.46% and Fallen
In each half year in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio
Operating Profit
Lowest at CNY 155.64 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is negative
Operating Profit (CNY MM)
Net Profit
Lowest at CNY 117.94 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is negative
Net Profit (CNY MM)
EPS
Lowest at CNY 0.06
in the last five periodsMOJO Watch
Declining profitability; company has created lower earnings for shareholders
EPS (CNY)






