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. ?

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 -2.04% and Operating profit at -26.66% 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 6.04% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of -2.04% and Operating profit at -26.66% over the last 5 years

With a growth in Net Profit of 10.74%, the company declared Very Positive results in Sep 25

The company has declared positive results in Jan 70 after 6 consecutive negative quarters
RAW MATERIAL COST(Y) Fallen by -99.71% (YoY)
NET SALES(Q) Highest at CNY 9,455.07 MM
PRE-TAX PROFIT(Q) Highest at CNY 349.29 MM

With ROE of 0.06%, it has a fair valuation with a 0.57 Price to Book Value

Over the past year, while the stock has generated a return of 24.58%, its profits have fallen by -98.4%
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, Medium Return

Absolute

Risk Adjusted

Volatility

Xinxing Ductile Iron Pipes Co., Ltd.

24.31%

0.90

27.07%

China Shanghai Composite

15.17%

1.02

14.86%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-2.04%

EBIT Growth (5y)

-26.66%

EBIT to Interest (avg)

2.58

Debt to EBITDA (avg)

3.71

Net Debt to Equity (avg)

0.36

Sales to Capital Employed (avg)

0.92

Tax Ratio

100.00%

Dividend Payout Ratio

47.62%

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

977

Industry P/E

Price to Book Value

0.57

EV to EBIT

252.25

EV to EBITDA

12.45

EV to Capital Employed

0.66

EV to Sales

0.62

PEG Ratio

Dividend Yield

0.53%

ROCE (Latest)

0.26%

ROE (Latest)

0.06%

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

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

18What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -99.71% (YoY

NET SALES(Q)

Highest at CNY 9,455.07 MM

PRE-TAX PROFIT(Q)

Highest at CNY 349.29 MM

NET PROFIT(Q)

Highest at CNY 295.76 MM

EPS(Q)

Highest at CNY 0.07

-1What is not working for the Company

DEBTORS TURNOVER RATIO(HY)

Lowest at 3.43 times

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

Pre-Tax Profit

At CNY 349.29 MM has Grown at 1,203.95%

over average net sales of the previous four periods of CNY 26.79 MM

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 295.76 MM has Grown at 725.19%

over average net sales of the previous four periods of CNY 35.84 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (CNY MM)

Net Sales

Highest at CNY 9,455.07 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Pre-Tax Profit

Highest at CNY 349.29 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

Highest at CNY 295.76 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY 0.07

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Raw Material Cost

Fallen by -99.71% (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 Xinxing Ductile Iron Pipes Co., Ltd.

Debtors Turnover Ratio

Lowest at 3.43 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio