Why is Xuancheng Valin Precision Technology Co., Ltd. ?
1
Poor Management Efficiency with a low ROCE of 2.41%
- The company has been able to generate a Return on Capital Employed (avg) of 2.41% signifying low profitability per unit of total capital (equity and debt)
2
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 -12.16% and Operating profit at -205.57% 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 2.03% signifying low profitability per unit of shareholders funds
3
Poor long term growth as Net Sales has grown by an annual rate of -12.16% and Operating profit at -205.57% over the last 5 years
4
The company has declared negative results for the last 10 consecutive quarters
- NET SALES(HY) At CNY 490.77 MM has Grown at -19.85%
- OPERATING CASH FLOW(Y) Lowest at CNY 87.99 MM
- NET PROFIT(HY) At CNY -53.64 MM has Grown at -30.95%
How much should you sell?
- All quantity irrespective of whether you are making profits or losses
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Building Products)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Xuancheng Valin Precision Technology Co., Ltd. for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Xuancheng Valin Precision Technology Co., Ltd.
35.04%
1.98
36.75%
China Shanghai Composite
19.22%
1.58
14.20%
Quality key factors
Factor
Value
Sales Growth (5y)
-14.98%
EBIT Growth (5y)
-197.20%
EBIT to Interest (avg)
-0.64
Debt to EBITDA (avg)
4.55
Net Debt to Equity (avg)
1.03
Sales to Capital Employed (avg)
1.10
Tax Ratio
9.90%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
2.41%
ROE (avg)
2.03%
Valuation Key Factors 
Factor
Value
P/E Ratio
NA (Loss Making)
Industry P/E
Price to Book Value
5.31
EV to EBIT
-20.32
EV to EBITDA
-24.36
EV to Capital Employed
2.83
EV to Sales
2.37
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
-13.91%
ROE (Latest)
-34.50%
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
No Trend
Mildly Bullish
OBV
Mildly Bearish
Mildly Bullish
Technical Movement
0What is working for the Company
NO KEY POSITIVE TRIGGERS
-1What is not working for the Company
RAW MATERIAL COST(Y)
Grown by 253.85% (YoY
Here's what is not working for Xuancheng Valin Precision Technology Co., Ltd.
Raw Material Cost
Grown by 253.85% (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






