Xian Bright Laser Technologies Co., Ltd. (688333) 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

Xian Bright Laser Technologies Co., Ltd.

Why is Xian Bright Laser Technologies Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 1.42%

The company has been able to generate a Return on Capital Employed (avg) of 1.42% 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 44.63% and Operating profit at 77.24% 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 3.07% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 44.63% and Operating profit at 77.24% over the last 5 years

The company has declared Negative results for the last 3 consecutive quarters

INTEREST(HY) At CNY 12.51 MM has Grown at 56.96%
INVENTORY TURNOVER RATIO(HY) Lowest at 0.95 times

With ROE of 2.32%, it has a very expensive valuation with a 4.23 Price to Book Value

Over the past year, while the stock has generated a return of 61.06%, its profits have fallen by -34.4%
At the current price, the company has a high dividend yield of 0.1

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Xian Bright Laser Technologies Co., Ltd. should be less than 10%
Overall Portfolio exposure to Computers - Software & Consulting should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Computers - Software & Consulting)

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

Is Xian Bright Laser Technologies Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Xian Bright Laser Technologies Co., Ltd.

24.14%

1.25

67.54%

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)

44.63%

EBIT Growth (5y)

77.24%

EBIT to Interest (avg)

-1.25

Debt to EBITDA (avg)

1.48

Net Debt to Equity (avg)

-0.14

Sales to Capital Employed (avg)

0.27

Tax Ratio

Tax Ratio is Negative%

Dividend Payout Ratio

29.11%

Pledged Shares

Institutional Holding

ROCE (avg)

1.42%

ROE (avg)

3.07%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

182

Industry P/E

Price to Book Value

4.23

EV to EBIT

849.04

EV to EBITDA

136.39

EV to Capital Employed

4.29

EV to Sales

14.10

PEG Ratio

Dividend Yield

0.12%

ROCE (Latest)

0.51%

ROE (Latest)

2.32%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

Mildly Bearish

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

30What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 413.49 MM

NET SALES(Q)

At CNY 493.78 MM has Grown at 145.01%

PRE-TAX PROFIT(Q)

At CNY 82.45 MM has Grown at 219.12%

NET PROFIT(Q)

At CNY 79.46 MM has Grown at 265.34%

RAW MATERIAL COST(Y)

Fallen by -83.49% (YoY

-10What is not working for the Company

INTEREST(HY)

At CNY 12.51 MM has Grown at 56.96%

INVENTORY TURNOVER RATIO(HY)

Lowest at 0.95 times

Here's what is working for Xian Bright Laser Technologies Co., Ltd.

Net Sales

At CNY 493.78 MM has Grown at 145.01%

Year on Year (YoY)

MOJO Watch

Near term sales trend is extremely positive

Net Sales (CNY MM)

Pre-Tax Profit

At CNY 82.45 MM has Grown at 219.12%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 79.46 MM has Grown at 265.34%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (CNY MM)

Operating Cash Flow

Highest at CNY 413.49 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Raw Material Cost

Fallen by -83.49% (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 Xian Bright Laser Technologies Co., Ltd.

Interest

At CNY 12.51 MM has Grown at 56.96%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Inventory Turnover Ratio

Lowest at 0.95 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio