Zanyu Technology Group Co., Ltd. (002637) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

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Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Zanyu Technology Group Co., Ltd.

Why is Zanyu Technology Group Co., Ltd. ?

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 12.64% and Operating profit at -11.64% 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 8.69% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 12.64% and Operating profit at -11.64% over the last 5 years

Flat results in Sep 25

INTEREST COVERAGE RATIO(Q) Lowest at 436.37
CASH AND EQV(HY) Lowest at CNY 1,038.46 MM
OPERATING PROFIT(Q) Lowest at CNY 102.74 MM

With ROE of 3.17%, 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 72.88%, its profits have risen by 5.4% ; the PEG ratio of the company is 7.9
At the current price, the company has a high dividend yield of 1.1

Market Beating performance in long term as well as near term

Along with generating 72.88% 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 Zanyu Technology Group Co., Ltd. should be less than 10%
Overall Portfolio exposure to Specialty Chemicals should be less than 30%

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

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

Is Zanyu Technology Group Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Zanyu Technology Group Co., Ltd.

72.88%

1.82

41.51%

China Shanghai Composite

21.93%

1.55

14.12%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

12.64%

EBIT Growth (5y)

-11.64%

EBIT to Interest (avg)

5.43

Debt to EBITDA (avg)

8.46

Net Debt to Equity (avg)

0.68

Sales to Capital Employed (avg)

1.55

Tax Ratio

37.25%

Dividend Payout Ratio

40.01%

Pledged Shares

Institutional Holding

ROCE (avg)

7.97%

ROE (avg)

8.69%

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

1.34

EV to EBIT

21.04

EV to EBITDA

11.46

EV to Capital Employed

1.21

EV to Sales

0.60

PEG Ratio

7.89

Dividend Yield

1.11%

ROCE (Latest)

5.73%

ROE (Latest)

3.17%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

Bearish

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bullish

OBV

No Trend

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

7What is working for the Company

NET SALES(HY)

At CNY 6,236.92 MM has Grown at 21.95%

NET PROFIT(9M)

Higher at CNY 150.67 MM

INVENTORY TURNOVER RATIO(HY)

Highest at 9.33 times

DEBTORS TURNOVER RATIO(HY)

Highest at 10.25 times

-5What is not working for the Company

INTEREST COVERAGE RATIO(Q)

Lowest at 436.37

CASH AND EQV(HY)

Lowest at CNY 1,038.46 MM

OPERATING PROFIT(Q)

Lowest at CNY 102.74 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 3.3 %

Here's what is working for Zanyu Technology Group Co., Ltd.

Net Sales

At CNY 6,236.92 MM has Grown at 21.95%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Inventory Turnover Ratio

Highest at 9.33 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Debtors Turnover Ratio

Highest at 10.25 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Net Profit

Higher at CNY 150.67 MM

than preceding 12 month period ended Sep 2025

MOJO Watch

In the nine month period the company has already crossed sales of the previous twelve months

Net Profit (CNY MM)

Here's what is not working for Zanyu Technology Group Co., Ltd.

Interest Coverage Ratio

Lowest at 436.37

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 102.74 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 3.3 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Cash and Eqv

Lowest at CNY 1,038.46 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents