Why is Zhang Xiaoquan, Inc. ?
1
Poor long term growth as Net Sales has grown by an annual rate of 9.37% and Operating profit at -15.62% over the last 5 years
2
With a growth in Net Sales of 2.77%, the company declared Very Positive results in Sep 25
- NET PROFIT(HY) At CNY 24.38 MM has Grown at 177.54%
- OPERATING CASH FLOW(Y) Highest at CNY 135.09 MM
- ROCE(HY) Highest at 7.15%
3
With ROE of 7.04%, it has a expensive valuation with a 5.17 Price to Book Value
- Over the past year, while the stock has generated a return of 12.65%, its profits have risen by 37.9%
How much should you hold?
- Overall Portfolio exposure to Zhang Xiaoquan, Inc. should be less than 10%
- Overall Portfolio exposure to Furniture, Home Furnishing should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Furniture, Home Furnishing)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Zhang Xiaoquan, Inc. for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Zhang Xiaoquan, Inc.
-100.0%
1.44
46.67%
China Shanghai Composite
16.01%
1.07
14.97%
Quality key factors
Factor
Value
Sales Growth (5y)
9.37%
EBIT Growth (5y)
-15.62%
EBIT to Interest (avg)
57.58
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.33
Sales to Capital Employed (avg)
1.26
Tax Ratio
14.96%
Dividend Payout Ratio
72.55%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
1,957.84%
ROE (avg)
1,686.40%
Valuation Key Factors 
Factor
Value
P/E Ratio
74
Industry P/E
Price to Book Value
5.17
EV to EBIT
66.55
EV to EBITDA
37.83
EV to Capital Employed
8.06
EV to Sales
3.26
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
12.11%
ROE (Latest)
7.04%
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Mildly Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Bullish
Bullish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
Mildly Bearish
Mildly Bearish
Technical Movement
18What is working for the Company
NET PROFIT(HY)
At CNY 24.38 MM has Grown at 177.54%
OPERATING CASH FLOW(Y)
Highest at CNY 135.09 MM
ROCE(HY)
Highest at 7.15%
DEBTORS TURNOVER RATIO(HY)
Highest at 32.51 times
RAW MATERIAL COST(Y)
Fallen by -14.33% (YoY
DEBT-EQUITY RATIO
(HY)
Lowest at -39.5 %
INVENTORY TURNOVER RATIO(HY)
Highest at 3.97 times
PRE-TAX PROFIT(Q)
Highest at CNY 16.52 MM
0What is not working for the Company
NO KEY NEGATIVE TRIGGERS
Here's what is working for Zhang Xiaoquan, Inc.
Net Profit
At CNY 24.38 MM has Grown at 177.54%
Year on Year (YoY)MOJO Watch
Net Profit trend is very positive
Net Profit (CNY MM)
Debtors Turnover Ratio
Highest at 32.51 times and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Operating Cash Flow
Highest at CNY 135.09 MM
in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (CNY MM)
Pre-Tax Profit
Highest at CNY 16.52 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (CNY MM)
Debt-Equity Ratio
Lowest at -39.5 %
in the last five Semi-Annual periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Inventory Turnover Ratio
Highest at 3.97 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Raw Material Cost
Fallen by -14.33% (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






