Yabao Pharmaceutical Group Co., Ltd. (600351) 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

Yabao Pharmaceutical Group Co., Ltd.

Why is Yabao Pharmaceutical Group Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of -2.21% and Operating profit at 5.75% over the last 5 years

Flat results in Sep 25

NET SALES(HY) At CNY 1,094.18 MM has Grown at -18.97%
PRE-TAX PROFIT(Q) At CNY 40.37 MM has Fallen at -45.18%
DEBTORS TURNOVER RATIO(HY) Lowest at 3.96 times

With ROE of 8.09%, it has a attractive valuation with a 1.63 Price to Book Value

Over the past year, while the stock has generated a return of 8.62%, its profits have risen by 18.6% ; the PEG ratio of the company is 1.1
At the current price, the company has a high dividend yield of 5.1

Underperformed the market in the last 1 year

The stock has generated a return of 8.62% in the last 1 year, much lower than market (China Shanghai Composite) returns of 22.49%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Yabao Pharmaceutical Group Co., Ltd. should be less than 10%
Overall Portfolio exposure to Pharmaceuticals & Biotechnology should be less than 30%

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

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

Is Yabao Pharmaceutical Group Co., Ltd. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Yabao Pharmaceutical Group Co., Ltd.

1.61%

0.44

25.15%

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)

-2.21%

EBIT Growth (5y)

5.75%

EBIT to Interest (avg)

20.35

Debt to EBITDA (avg)

0.20

Net Debt to Equity (avg)

-0.19

Sales to Capital Employed (avg)

0.87

Tax Ratio

22.17%

Dividend Payout Ratio

88.24%

Pledged Shares

Institutional Holding

ROCE (avg)

6.87%

ROE (avg)

5.84%

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

1.63

EV to EBIT

15.65

EV to EBITDA

10.22

EV to Capital Employed

1.77

EV to Sales

1.72

PEG Ratio

1.08

Dividend Yield

5.08%

ROCE (Latest)

11.28%

ROE (Latest)

8.09%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Bullish

RSI

No Signal

Bearish

Bollinger Bands

Bearish

Sideways

Moving Averages

Bearish (Daily)

KST

Mildly Bullish

Bullish

Dow Theory

Mildly Bearish

OBV

Mildly Bearish

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

8What is working for the Company

DEBT-EQUITY RATIO (HY)

Lowest at -19.78 %

INTEREST COVERAGE RATIO(Q)

The company hardly has any interest cost

DIVIDEND PAYOUT RATIO(Y)

Highest at 343.05%

RAW MATERIAL COST(Y)

Fallen by -17.04% (YoY

CASH AND EQV(HY)

Highest at CNY 1,310.4 MM

DIVIDEND PER SHARE(HY)

Highest at CNY 3.96

-13What is not working for the Company

NET SALES(HY)

At CNY 1,094.18 MM has Grown at -18.97%

PRE-TAX PROFIT(Q)

At CNY 40.37 MM has Fallen at -45.18%

DEBTORS TURNOVER RATIO(HY)

Lowest at 3.96 times

NET PROFIT(Q)

At CNY 40.32 MM has Fallen at -31.46%

Here's what is working for Yabao Pharmaceutical Group Co., Ltd.

Debt-Equity Ratio

Lowest at -19.78 % and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Cash and Eqv

Highest at CNY 1,310.4 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Dividend per share

Highest at CNY 3.96

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (CNY)

Dividend Payout Ratio

Highest at 343.05%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Raw Material Cost

Fallen by -17.04% (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 Yabao Pharmaceutical Group Co., Ltd.

Net Sales

At CNY 1,094.18 MM has Grown at -18.97%

Year on Year (YoY)

MOJO Watch

Near term sales trend is very negative

Net Sales (CNY MM)

Pre-Tax Profit

At CNY 40.37 MM has Fallen at -45.18%

over average net sales of the previous four periods of CNY 73.65 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 40.32 MM has Fallen at -31.46%

over average net sales of the previous four periods of CNY 58.83 MM

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CNY MM)

Debtors Turnover Ratio

Lowest at 3.96 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio