Why is Wuxi Zhenhua Auto Parts Co., Ltd. ?
1
- INTEREST(Q) At CNY 5.99 MM has Grown at 43.68%
- INTEREST COVERAGE RATIO(Q) Lowest at 1,936.68
- DEBTORS TURNOVER RATIO(HY) Lowest at 1.7%
2
With ROE of 16.41%, it has a attractive valuation with a 0.99 Price to Book Value
- Over the past year, while the stock has generated a return of 34.79%, its profits have risen by 22% ; the PEG ratio of the company is 0.3
3
Market Beating Performance
- The stock has generated a return of 34.79% in the last 1 year, much higher than market (China Shanghai Composite) returns of 15.44%
How much should you hold?
- Overall Portfolio exposure to Wuxi Zhenhua Auto Parts Co., Ltd. should be less than 10%
- Overall Portfolio exposure to Auto Components & Equipments should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Auto Components & Equipments)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Wuxi Zhenhua Auto Parts Co., Ltd. for you?
High Risk, Medium Return
Absolute
Risk Adjusted
Volatility
Wuxi Zhenhua Auto Parts Co., Ltd.
34.79%
0.23
55.52%
China Shanghai Composite
15.44%
1.06
14.51%
Quality key factors
Factor
Value
Sales Growth (5y)
17.81%
EBIT Growth (5y)
92.63%
EBIT to Interest (avg)
11.55
Debt to EBITDA (avg)
0.86
Net Debt to Equity (avg)
0.28
Sales to Capital Employed (avg)
0.74
Tax Ratio
16.81%
Dividend Payout Ratio
38.46%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
7.65%
ROE (avg)
9.81%
Valuation Key Factors 
Factor
Value
P/E Ratio
6
Industry P/E
Price to Book Value
0.99
EV to EBIT
6.57
EV to EBITDA
4.16
EV to Capital Employed
0.99
EV to Sales
1.27
PEG Ratio
0.27
Dividend Yield
NA
ROCE (Latest)
15.09%
ROE (Latest)
16.41%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Bullish
Moving Averages
Bearish (Daily)
KST
Bearish
Bullish
Dow Theory
Mildly Bullish
No Trend
OBV
Mildly Bullish
No Trend
Technical Movement
7What is working for the Company
OPERATING CASH FLOW(Y)
Highest at CNY 562.02 MM
ROCE(HY)
Highest at 16.5%
RAW MATERIAL COST(Y)
Fallen by -18.95% (YoY
INVENTORY TURNOVER RATIO(HY)
Highest at 6.15%
-9What is not working for the Company
INTEREST(Q)
At CNY 5.99 MM has Grown at 43.68%
INTEREST COVERAGE RATIO(Q)
Lowest at 1,936.68
DEBTORS TURNOVER RATIO(HY)
Lowest at 1.7%
OPERATING PROFIT(Q)
Lowest at CNY 116.01 MM
OPERATING PROFIT MARGIN(Q)
Lowest at 19.54 %
Here's what is working for Wuxi Zhenhua Auto Parts Co., Ltd.
Operating Cash Flow
Highest at CNY 562.02 MM and Grown
In each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (CNY MM)
Inventory Turnover Ratio
Highest at 6.15%
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Raw Material Cost
Fallen by -18.95% (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 Zhenhua Auto Parts Co., Ltd.
Interest
At CNY 5.99 MM has Grown at 43.68%
period on period (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (CNY MM)
Interest Coverage Ratio
Lowest at 1,936.68
in the last five periodsMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Operating Profit
Lowest at CNY 116.01 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is negative
Operating Profit (CNY MM)
Operating Profit Margin
Lowest at 19.54 %
in the last five periodsMOJO Watch
Company's profit margin has deteriorated
Operating Profit to Sales
Debtors Turnover Ratio
Lowest at 1.7%
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio






