YuanShengTai Dairy Farm Ltd. (1431) 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

WH Group Ltd. (HK)

China Feihe Ltd.

Want Want China Holdings Ltd.

YuanShengTai Dairy Farm Ltd.

Swang Chai Chuan Ltd.

China Shengmu Organic Milk Ltd.

China Mengniu Dairy Co., Ltd.

DaChan Food (Asia) Ltd.

Shenguan Holdings (Group) Ltd.

China Youran Dairy Group Ltd.

Health & Happiness (H&H) International Holdings Ltd.

Why is YuanShengTai Dairy Farm Ltd. ?

Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 68.74

The company has declared Positive results for the last 4 consecutive quarters

OPERATING CASH FLOW(Y) Highest at HKD 2,172.78 MM
INTEREST COVERAGE RATIO(Q) The company hardly has any interest cost
ROCE(HY) Highest at 10.34%

With ROE of 18.66%, it has a Attractive valuation with a 0.31 Price to Book Value

Over the past year, while the stock has generated a return of 20.41%, its profits have risen by 33.4% ; the PEG ratio of the company is 0.1

Market Beating Performance

The stock has generated a return of 20.41% in the last 1 year, much higher than market (Hang Seng Hong Kong) returns of 8.76%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to YuanShengTai Dairy Farm Ltd. should be less than 10%
Overall Portfolio exposure to FMCG should be less than 30%

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

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

Is YuanShengTai Dairy Farm Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

YuanShengTai Dairy Farm Ltd.

20.41%

3.36

53.81%

Hang Seng Hong Kong

8.76%

0.45

19.63%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

11.79%

EBIT Growth (5y)

17.00%

EBIT to Interest (avg)

68.74

Debt to EBITDA (avg)

0.14

Net Debt to Equity (avg)

-0.01

Sales to Capital Employed (avg)

0.38

Tax Ratio

Tax Ratio is Negative%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

10.68%

ROE (avg)

10.28%

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

0.31

EV to EBIT

1.45

EV to EBITDA

1.28

EV to Capital Employed

0.26

EV to Sales

0.49

PEG Ratio

0.05

Dividend Yield

ROCE (Latest)

18.10%

ROE (Latest)

18.66%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

Bearish

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

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

17What is working for the Company

OPERATING CASH FLOW(Y)

Highest at HKD 2,172.78 MM

INTEREST COVERAGE RATIO(Q)

The company hardly has any interest cost

ROCE(HY)

Highest at 10.34%

DEBT-EQUITY RATIO (HY)

Lowest at -7.34 %

OPERATING PROFIT(Q)

Highest at HKD 609.06 MM

RAW MATERIAL COST(Y)

Fallen by -38.35% (YoY

NET SALES(Q)

Highest at HKD 1,556.09 MM

PRE-TAX PROFIT(Q)

Highest at HKD 605.19 MM

NET PROFIT(Q)

Highest at HKD 604.7 MM

EPS(Q)

Highest at HKD 0.1

0What is not working for the Company

NO KEY NEGATIVE TRIGGERS

Here's what is working for YuanShengTai Dairy Farm Ltd.

Operating Cash Flow

Highest at HKD 2,172.78 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (HKD MM)

Operating Profit

Highest at HKD 609.06 MM and Grown

In each period in the last five periods

MOJO Watch

Near term Operating Profit trend is quite positive

Operating Profit (HKD MM)

Debt-Equity Ratio

Lowest at -7.34 % 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

Net Sales

Highest at HKD 1,556.09 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (HKD MM)

Pre-Tax Profit

Highest at HKD 605.19 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (HKD MM)

Net Profit

Highest at HKD 604.7 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (HKD MM)

EPS

Highest at HKD 0.1

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (HKD)

Raw Material Cost

Fallen by -38.35% (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

Depreciation

Highest at HKD 74.21 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (HKD MM)

Depreciation

At HKD 74.21 MM has Grown at 9.15%

period on period (QoQ)

MOJO Watch

The expenditure on assets done by the company has gone into productive use which should positively reflect in the future sales

Depreciation (HKD MM)