Xinxing Ductile Iron Pipes Co., Ltd. (000778) 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

Xinxing Ductile Iron Pipes Co., Ltd.

Why is Xinxing Ductile Iron Pipes Co., Ltd. ?

The company is Net-Debt Free

Poor long term growth as Net Sales has grown by an annual rate of -4.27% and Operating profit at -14.17% over the last 5 years
The company is Net-Debt Free
The company has been able to generate a Return on Equity (avg) of 6.04% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of -4.27% and Operating profit at -14.17% over the last 5 years

The company has declared Positive results for the last 4 consecutive quarters

OPERATING CASH FLOW(Y) Highest at CNY 5,252.27 MM
NET PROFIT(HY) Higher at CNY 444.74 MM
NET SALES(Q) Highest at CNY 9,876.47 MM

With ROE of 4.03%, it has a fair valuation with a 0.60 Price to Book Value

Over the past year, while the stock has generated a return of 14.41%, its profits have risen by 3960.1%
At the current price, the company has a high dividend yield of 0.5

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Xinxing Ductile Iron Pipes Co., Ltd. should be less than 10%
Overall Portfolio exposure to Ferrous Metals should be less than 30%

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

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

Is Xinxing Ductile Iron Pipes Co., Ltd. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Xinxing Ductile Iron Pipes Co., Ltd.

11.46%

0.35

30.30%

China Shanghai Composite

19.22%

1.46

13.80%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-4.27%

EBIT Growth (5y)

-14.17%

EBIT to Interest (avg)

2.58

Debt to EBITDA (avg)

3.71

Net Debt to Equity (avg)

0.36

Sales to Capital Employed (avg)

0.90

Tax Ratio

100.00%

Dividend Payout Ratio

31.39%

Pledged Shares

Institutional Holding

ROCE (avg)

4.40%

ROE (avg)

6.04%

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

0.60

EV to EBIT

20.97

EV to EBITDA

10.26

EV to Capital Employed

0.70

EV to Sales

0.64

PEG Ratio

Dividend Yield

0.48%

ROCE (Latest)

3.34%

ROE (Latest)

4.03%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Bearish

Bullish

Dow Theory

Mildly Bearish

OBV

No Trend

Mildly Bearish

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

16What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 5,252.27 MM

NET PROFIT(HY)

Higher at CNY 444.74 MM

NET SALES(Q)

Highest at CNY 9,876.47 MM

INVENTORY TURNOVER RATIO(HY)

Highest at 6.49 times

-8What is not working for the Company

INTEREST(Q)

At CNY 65.21 MM has Grown at 13.94%

INTEREST COVERAGE RATIO(Q)

Lowest at 423.63

RAW MATERIAL COST(Y)

Grown by 13.5% (YoY

CASH AND EQV(HY)

Lowest at CNY 12,910.44 MM

OPERATING PROFIT(Q)

Lowest at CNY 276.23 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 2.8 %

Here's what is working for Xinxing Ductile Iron Pipes Co., Ltd.

Net Profit

At CNY 444.74 MM has Grown at 348.45%

Year on Year (YoY)

MOJO Watch

Net Profit trend is very positive

Net Profit (CNY MM)

Net Sales

Highest at CNY 9,876.47 MM and Grown

In each period in the last five periods

MOJO Watch

Near term sales trend is very positive

Net Sales (CNY MM)

Net Profit

Higher at CNY 444.74 MM

than preceding 12 month period ended Mar 2026

MOJO Watch

In the half year the company has already crossed Net Profit of the previous twelve months

Net Profit (CNY MM)

Operating Cash Flow

Highest at CNY 5,252.27 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Inventory Turnover Ratio

Highest at 6.49 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Here's what is not working for Xinxing Ductile Iron Pipes Co., Ltd.

Interest

At CNY 65.21 MM has Grown at 13.94%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Interest Coverage Ratio

Lowest at 423.63

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Operating Profit

Lowest at CNY 276.23 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 2.8 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Cash and Eqv

Lowest at CNY 12,910.44 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Raw Material Cost

Grown by 13.5% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales