Zhejiang Cady Industry Co., Ltd. () 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

Zhejiang Cady Industry Co., Ltd.

Why is Zhejiang Cady Industry 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 6.90% and Operating profit at -1.85% 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 7.43% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 6.90% and Operating profit at -1.85% over the last 5 years

The company has declared Negative results for the last 3 consecutive quarters

INTEREST(HY) At CNY 2.37 MM has Grown at 65.16%
OPERATING CASH FLOW(Y) Lowest at CNY 82.46 MM
DEBT-EQUITY RATIO (HY) Highest at -29.04 %

With ROE of 5.68%, it has a attractive valuation with a 0.36 Price to Book Value

Over the past year, while the stock has generated a return of 37.31%, its profits have fallen by -28.2%
At the current price, the company has a high dividend yield of 1.8

Market Beating Performance

The stock has generated a return of 37.31% 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 Footwear)

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

Is Zhejiang Cady Industry Co., Ltd. for you?

Medium Risk, High Return

Absolute

Risk Adjusted

Volatility

Zhejiang Cady Industry Co., Ltd.

-6.94%

1.28

28.12%

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)

2.94%

EBIT Growth (5y)

-11.95%

EBIT to Interest (avg)

20.35

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.35

Sales to Capital Employed (avg)

0.51

Tax Ratio

14.42%

Dividend Payout Ratio

16.66%

Pledged Shares

Institutional Holding

ROCE (avg)

12.45%

ROE (avg)

7.43%

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

0.36

EV to EBIT

2.24

EV to EBITDA

1.33

EV to Capital Employed

0.15

EV to Sales

0.20

PEG Ratio

Dividend Yield

1.75%

ROCE (Latest)

6.84%

ROE (Latest)

4.23%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

OBV

Mildly Bearish

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

1What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -0.49% (YoY

-25What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at CNY 55.76 MM

ROCE(HY)

Lowest at 4.34%

DEBT-EQUITY RATIO (HY)

Highest at -24.13 %

DEBTORS TURNOVER RATIO(HY)

Lowest at 3.95 times

OPERATING PROFIT MARGIN(Q)

Lowest at 9.67 %

NET PROFIT(Q)

At CNY 12.48 MM has Fallen at -43.16%

INVENTORY TURNOVER RATIO(HY)

Lowest at 4.14 times

OPERATING PROFIT(Q)

Lowest at CNY 17.75 MM

PRE-TAX PROFIT(Q)

Fallen at -33.68%

Here's what is working for Zhejiang Cady Industry Co., Ltd.

Raw Material Cost

Fallen by -0.49% (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 Zhejiang Cady Industry Co., Ltd.

Operating Cash Flow

Lowest at CNY 55.76 MM and Fallen

In each year 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 9.67 % and Fallen

In each period in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Net Profit

At CNY 12.48 MM has Fallen at -43.16%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Debt-Equity Ratio

Highest at -24.13 % and Grown

In each half year 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

Debtors Turnover Ratio

Lowest at 3.95 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 Profit

Lowest at CNY 17.75 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Pre-Tax Profit

Fallen at -33.68%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (CNY MM)

Inventory Turnover Ratio

Lowest at 4.14 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio