Xiamen Leading Optics Co., Ltd. (605118) 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

Xiamen Leading Optics Co., Ltd.

Why is Xiamen Leading Optics Co., Ltd. ?

With a growth in Net Profit of 20.62%, the company declared Very Positive results in Sep 25

OPERATING CASH FLOW(Y) Highest at CNY 314.91 MM
ROCE(HY) Highest at 18.85%
INVENTORY TURNOVER RATIO(HY) Highest at 2.14 times

With ROE of 14.96%, it has a very attractive valuation with a 7.82 Price to Book Value

Over the past year, while the stock has generated a return of 130.85%, its profits have risen by 43% ; the PEG ratio of the company is 1.2
At the current price, the company has a high dividend yield of 1.1

Market Beating performance in long term as well as near term

Along with generating 130.85% 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 buy?

Overall Portfolio exposure to Xiamen Leading Optics Co., Ltd. should be less than 10%
Overall Portfolio exposure to Electronics & Appliances should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Electronics & Appliances)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Xiamen Leading Optics Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Xiamen Leading Optics Co., Ltd.

90.86%

3.64

50.67%

China Shanghai Composite

15.17%

1.58

14.20%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

13.74%

EBIT Growth (5y)

15.00%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.41

Sales to Capital Employed (avg)

0.42

Tax Ratio

12.23%

Dividend Payout Ratio

92.81%

Pledged Shares

Institutional Holding

ROCE (avg)

21.31%

ROE (avg)

11.80%

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

7.82

EV to EBIT

56.61

EV to EBITDA

44.62

EV to Capital Employed

13.55

EV to Sales

16.12

PEG Ratio

1.22

Dividend Yield

1.07%

ROCE (Latest)

23.94%

ROE (Latest)

14.96%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

Bullish

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

32What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 314.91 MM

ROCE(HY)

Highest at 18.85%

INVENTORY TURNOVER RATIO(HY)

Highest at 2.14 times

INTEREST COVERAGE RATIO(Q)

The company hardly has any interest cost

PRE-TAX PROFIT(Q)

Highest at CNY 99.37 MM

NET PROFIT(Q)

Highest at CNY 88.16 MM

RAW MATERIAL COST(Y)

Fallen by -18.02% (YoY

NET SALES(Q)

Highest at CNY 245.35 MM

OPERATING PROFIT(Q)

Highest at CNY 88.35 MM

EPS(Q)

Highest at CNY 0.21

-2What is not working for the Company

DEBT-EQUITY RATIO (HY)

Highest at -23.43 %

Here's what is working for Xiamen Leading Optics Co., Ltd.

Net Sales

At CNY 245.35 MM has Grown at 40.58%

over average net sales of the previous four periods of CNY 174.52 MM

MOJO Watch

Near term sales trend is very positive

Net Sales (CNY MM)

Pre-Tax Profit

Highest at CNY 99.37 MM and Grown

In each period in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (CNY MM)

Net Profit

Highest at CNY 88.16 MM and Grown

In each period in the last five periods

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (CNY MM)

Inventory Turnover Ratio

Highest at 2.14 times and Grown

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

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Operating Cash Flow

Highest at CNY 314.91 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Net Sales

Highest at CNY 245.35 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Operating Profit

Highest at CNY 88.35 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (CNY MM)

Net Profit

At CNY 88.16 MM has Grown at 56.16%

over average net sales of the previous four periods of CNY 56.46 MM

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY 0.21

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Raw Material Cost

Fallen by -18.02% (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 Xiamen Leading Optics Co., Ltd.

Debt-Equity Ratio

Highest at -23.43 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio