Yunnan Chihong Zinc & Germanium Co., Ltd. (600497) 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

Yunnan Chihong Zinc & Germanium Co., Ltd.

Why is Yunnan Chihong Zinc & Germanium Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of 4.86% and Operating profit at 1.80% over the last 5 years

Flat results in Sep 25

OPERATING CASH FLOW(Y) Lowest at CNY 3,188.68 MM
DEBTORS TURNOVER RATIO(HY) Lowest at 44.5 times
INTEREST(Q) At CNY 14.94 MM has Grown at 27.99%

With ROE of 7.95%, it has a very attractive valuation with a 1.83 Price to Book Value

Over the past year, while the stock has generated a return of 84.78%, its profits have risen by 9.3% ; the PEG ratio of the company is 2.5
At the current price, the company has a high dividend yield of 2.2

Market Beating performance in long term as well as near term

Along with generating 84.78% returns in the last 1 year, the stock has outperformed China Shanghai Composite in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Yunnan Chihong Zinc & Germanium Co., Ltd. should be less than 10%
Overall Portfolio exposure to Minerals & Mining should be less than 30%

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

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

Is Yunnan Chihong Zinc & Germanium Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Yunnan Chihong Zinc & Germanium Co., Ltd.

136.73%

1.96

40.34%

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)

3.70%

EBIT Growth (5y)

17.43%

EBIT to Interest (avg)

10.07

Debt to EBITDA (avg)

1.96

Net Debt to Equity (avg)

0.13

Sales to Capital Employed (avg)

1.05

Tax Ratio

4.70%

Dividend Payout Ratio

48.97%

Pledged Shares

Institutional Holding

ROCE (avg)

6.56%

ROE (avg)

5.27%

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

2.44

EV to EBIT

25.64

EV to EBITDA

13.99

EV to Capital Employed

2.35

EV to Sales

1.71

PEG Ratio

Dividend Yield

2.79%

ROCE (Latest)

9.16%

ROE (Latest)

6.89%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bullish

OBV

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

20What is working for the Company

NET SALES(HY)

At CNY 13,242.84 MM has Grown at 44.05%

OPERATING CASH FLOW(Y)

Highest at CNY 3,511.56 MM

DEBT-EQUITY RATIO (HY)

Lowest at 6.89 %

RAW MATERIAL COST(Y)

Fallen by -21.96% (YoY

CASH AND EQV(HY)

Highest at CNY 2,920.34 MM

PRE-TAX PROFIT(Q)

Highest at CNY 759.64 MM

NET PROFIT(Q)

Highest at CNY 661.83 MM

EPS(Q)

Highest at CNY 0.13

-5What is not working for the Company

INTEREST(Q)

Highest at CNY 27.35 MM

Here's what is working for Yunnan Chihong Zinc & Germanium Co., Ltd.

Net Sales

At CNY 13,242.84 MM has Grown at 44.05%

Year on Year (YoY)

MOJO Watch

Near term sales trend is very positive

Net Sales (CNY MM)

Pre-Tax Profit

At CNY 759.64 MM has Grown at 116.84%

over average net sales of the previous four periods of CNY 350.33 MM

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 661.83 MM has Grown at 155.7%

over average net sales of the previous four periods of CNY 258.83 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (CNY MM)

Debt-Equity Ratio

Lowest at 6.89 % 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

Operating Cash Flow

Highest at CNY 3,511.56 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Pre-Tax Profit

Highest at CNY 759.64 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

Highest at CNY 661.83 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY 0.13

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Cash and Eqv

Highest at CNY 2,920.34 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Raw Material Cost

Fallen by -21.96% (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 Yunnan Chihong Zinc & Germanium Co., Ltd.

Interest

At CNY 27.35 MM has Grown at 67.5%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Interest

Highest at CNY 27.35 MM

in the last five periods and Increased by 67.5% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)