Yuanli Chemical Group Co., Ltd. (603217) 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

Yuanli Chemical Group Co., Ltd.

Why is Yuanli Chemical Group Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of 13.88% and Operating profit at 12.05% over the last 5 years

The company has declared Negative results for the last 10 consecutive quarters

INTEREST(HY) At CNY 0.03 MM has Grown at 11.54%
DEBT-EQUITY RATIO (HY) Highest at -30.54 %
DEBTORS TURNOVER RATIO(HY) Lowest at 4.22 times

With ROE of 6.25%, it has a fair valuation with a 1.34 Price to Book Value

Over the past year, while the stock has generated a return of 43.34%, its profits have fallen by -9.4%
At the current price, the company has a high dividend yield of 1.6

Market Beating Performance

The stock has generated a return of 43.34% in the last 1 year, much higher than market (China Shanghai Composite) returns of 22.49%

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 Specialty Chemicals)

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

Is Yuanli Chemical Group Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Yuanli Chemical Group Co., Ltd.

31.09%

1.62

40.63%

China Shanghai Composite

19.22%

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)

9.25%

EBIT Growth (5y)

-3.60%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.34

Sales to Capital Employed (avg)

0.55

Tax Ratio

14.03%

Dividend Payout Ratio

31.94%

Pledged Shares

Institutional Holding

ROCE (avg)

14.59%

ROE (avg)

10.08%

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

1.38

EV to EBIT

24.21

EV to EBITDA

15.79

EV to Capital Employed

1.45

EV to Sales

1.93

PEG Ratio

5.67

Dividend Yield

1.52%

ROCE (Latest)

5.99%

ROE (Latest)

5.96%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

Mildly Bullish

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

2What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -24.32% (YoY

NET SALES(Q)

Highest at CNY 596.55 MM

-15What is not working for the Company

INTEREST(HY)

At CNY 7.31 MM has Grown at 78.01%

OPERATING CASH FLOW(Y)

Lowest at CNY -106.3 MM

DEBTORS TURNOVER RATIO(HY)

Lowest at 4.06 times

DEBT-EQUITY RATIO (HY)

Highest at -14.4 %

OPERATING PROFIT MARGIN(Q)

Lowest at 9.46 %

Here's what is working for Yuanli Chemical Group Co., Ltd.

Net Sales

Highest at CNY 596.55 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Raw Material Cost

Fallen by -24.32% (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 Yuanli Chemical Group Co., Ltd.

Interest

At CNY 7.31 MM has Grown at 78.01%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Debtors Turnover Ratio

Lowest at 4.06 times and Fallen

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

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Operating Cash Flow

Lowest at CNY -106.3 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CNY MM)

Operating Profit Margin

Lowest at 9.46 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Debt-Equity Ratio

Highest at -14.4 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio