Yuan Cheng Cable Co., Ltd. (002692) 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

Yuan Cheng Cable Co., Ltd.

Why is Yuan Cheng Cable Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 3.15%

The company has been able to generate a Return on Capital Employed (avg) of 3.15% signifying low profitability per unit of total capital (equity and debt)

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 13.19% and Operating profit at 117.55% 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 4.63% signifying low profitability per unit of shareholders funds
NET SALES(Q) At CNY 950.5 MM has Fallen at -20.78%
PRE-TAX PROFIT(Q) At CNY 8.09 MM has Fallen at -61.17%
INTEREST COVERAGE RATIO(Q) Lowest at 252.44

With ROE of 5.78%, it has a expensive valuation with a 3.18 Price to Book Value

Over the past year, while the stock has generated a return of 0.74%, its profits have fallen by -6.7%
At the current price, the company has a high dividend yield of 0.2

Underperformed the market in the last 1 year

The stock has generated a return of 0.74% in the last 1 year, much lower than market (China Shanghai Composite) returns of 15.17%

Real-Time Research Report

Verdict Report

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 Electronics & Appliances)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Yuan Cheng Cable Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Yuan Cheng Cable Co., Ltd.

5.1%

1.34

38.41%

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)

13.19%

EBIT Growth (5y)

117.55%

EBIT to Interest (avg)

1.63

Debt to EBITDA (avg)

13.64

Net Debt to Equity (avg)

0.85

Sales to Capital Employed (avg)

1.61

Tax Ratio

11.65%

Dividend Payout Ratio

20.45%

Pledged Shares

Institutional Holding

ROCE (avg)

3.15%

ROE (avg)

4.63%

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

3.18

EV to EBIT

47.11

EV to EBITDA

32.38

EV to Capital Employed

2.05

EV to Sales

1.07

PEG Ratio

Dividend Yield

0.23%

ROCE (Latest)

4.34%

ROE (Latest)

5.78%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Sideways

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Mildly Bearish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

Mildly Bearish

No Trend

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

3What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 80.83 MM

RAW MATERIAL COST(Y)

Fallen by 0.73% (YoY

-15What is not working for the Company

NET SALES(Q)

At CNY 950.5 MM has Fallen at -20.78%

PRE-TAX PROFIT(Q)

At CNY 8.09 MM has Fallen at -61.17%

INTEREST COVERAGE RATIO(Q)

Lowest at 252.44

OPERATING PROFIT(Q)

Lowest at CNY 18.67 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 1.96 %

NET PROFIT(Q)

Lowest at CNY 7.43 MM

EPS(Q)

Lowest at CNY 0.01

Here's what is working for Yuan Cheng Cable Co., Ltd.

Operating Cash Flow

Highest at CNY 80.83 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Raw Material Cost

Fallen by 0.73% (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 Yuan Cheng Cable Co., Ltd.

Net Sales

At CNY 950.5 MM has Fallen at -20.78%

over average net sales of the previous four periods of CNY 1,199.76 MM

MOJO Watch

Near term sales trend is extremely negative

Net Sales (CNY MM)

Pre-Tax Profit

At CNY 8.09 MM has Fallen at -61.17%

over average net sales of the previous four periods of CNY 20.84 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 7.43 MM has Fallen at -57.22%

over average net sales of the previous four periods of CNY 17.38 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Interest Coverage Ratio

Lowest at 252.44

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 18.67 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 1.96 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Net Profit

Lowest at CNY 7.43 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CNY MM)

EPS

Lowest at CNY 0.01

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (CNY)