Xinjiang Tianrun Dairy Co., Ltd. (600419) 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

Xinjiang Tianrun Dairy Co., Ltd.

Why is Xinjiang Tianrun Dairy Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of 9.60% and Operating profit at -15.62% over the last 5 years

The company declared very negative results in Mar'25 after flat results in Dec'24

PRE-TAX PROFIT(Q) At CNY -2.57 MM has Fallen at -105.69%
NET PROFIT(Q) At CNY 11.24 MM has Fallen at -77.6%
INTEREST COVERAGE RATIO(Q) Lowest at 339.4

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of -2.95%, its profits have risen by 151.5% ; the PEG ratio of the company is 1.3
At the current price, the company has a high dividend yield of 0.2

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -2.95% returns in the last 1 year, the stock has also underperformed China Shanghai Composite in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Xinjiang Tianrun Dairy Co., Ltd. should be less than 10%
Overall Portfolio exposure to FMCG should be less than 30%

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

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

Is Xinjiang Tianrun Dairy Co., Ltd. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Xinjiang Tianrun Dairy Co., Ltd.

-21.67%

0.26

32.70%

China Shanghai Composite

19.22%

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)

8.24%

EBIT Growth (5y)

-3.85%

EBIT to Interest (avg)

12.03

Debt to EBITDA (avg)

1.35

Net Debt to Equity (avg)

0.47

Sales to Capital Employed (avg)

0.69

Tax Ratio

13.63%

Dividend Payout Ratio

15.21%

Pledged Shares

Institutional Holding

ROCE (avg)

7.18%

ROE (avg)

6.24%

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

1.05

EV to EBIT

32.85

EV to EBITDA

10.75

EV to Capital Employed

1.03

EV to Sales

1.25

PEG Ratio

0.07

Dividend Yield

0.51%

ROCE (Latest)

3.14%

ROE (Latest)

5.24%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

Mildly Bearish

OBV

No Trend

Mildly 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

20What is working for the Company

ROCE(HY)

Highest at 6%

PRE-TAX PROFIT(Q)

At CNY 28.9 MM has Grown at 133.65%

NET PROFIT(Q)

At CNY 29.75 MM has Grown at 140.58%

RAW MATERIAL COST(Y)

Fallen by -36.01% (YoY

DEBT-EQUITY RATIO (HY)

Lowest at 40.15 %

DEBTORS TURNOVER RATIO(HY)

Highest at 17.96 times

-11What is not working for the Company

INTEREST COVERAGE RATIO(Q)

Lowest at 166.17

INTEREST(Q)

Highest at CNY 14.12 MM

OPERATING PROFIT(Q)

Lowest at CNY 23.47 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 3.52 %

Here's what is working for Xinjiang Tianrun Dairy Co., Ltd.

Pre-Tax Profit

At CNY 28.9 MM has Grown at 133.65%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 29.75 MM has Grown at 140.58%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (CNY MM)

Debt-Equity Ratio

Lowest at 40.15 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Debtors Turnover Ratio

Highest at 17.96 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by -36.01% (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 Xinjiang Tianrun Dairy Co., Ltd.

Interest

At CNY 14.12 MM has Grown at 49.49%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Interest Coverage Ratio

Lowest at 166.17

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Interest

Highest at CNY 14.12 MM

in the last five periods and Increased by 49.49% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Operating Profit

Lowest at CNY 23.47 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 3.52 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales