Zhejiang Construction Investment Group Co., Ltd. (002761) 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 Construction Investment Group Co., Ltd.

Why is Zhejiang Construction Investment Group Co., Ltd. ?

With a Operating Losses, the company has a Weak Long Term Fundamental Strength

Poor long term growth as Net Sales has grown by an annual rate of -0.20% and Operating profit at -50.00% over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times

Flat results in Sep 25

NET PROFIT(Q) At CNY -16.19 MM has Fallen at -133.36%
DEBTORS TURNOVER RATIO(HY) Lowest at 1.11 times
OPERATING PROFIT(Q) Lowest at CNY -91.96 MM

With ROE of 5.45%, it has a very expensive valuation with a 1.47 Price to Book Value

Over the past year, while the stock has generated a return of -12.73%, its profits have risen by 72.5%
At the current price, the company has a high dividend yield of 0.5

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -12.73% returns in the last 1 year, the stock has also underperformed China Shanghai Composite in each of the last 3 annual periods

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 Construction)

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

Is Zhejiang Construction Investment Group Co., Ltd. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Zhejiang Construction Investment Group Co., Ltd.

-1.84%

-0.28

30.66%

China Shanghai Composite

15.17%

1.02

14.86%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-0.20%

EBIT Growth (5y)

-50.00%

EBIT to Interest (avg)

1.00

Debt to EBITDA (avg)

18.17

Net Debt to Equity (avg)

2.26

Sales to Capital Employed (avg)

2.86

Tax Ratio

41.42%

Dividend Payout Ratio

27.93%

Pledged Shares

Institutional Holding

ROCE (avg)

3.95%

ROE (avg)

15.31%

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

1.47

EV to EBIT

315.58

EV to EBITDA

55.89

EV to Capital Employed

1.14

EV to Sales

0.31

PEG Ratio

Dividend Yield

0.55%

ROCE (Latest)

0.36%

ROE (Latest)

5.45%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly 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

5What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 3,611.29 MM

RAW MATERIAL COST(Y)

Fallen by -17.76% (YoY

CASH AND EQV(HY)

Highest at CNY 18,463.77 MM

DEBT-EQUITY RATIO (HY)

Lowest at 222.24 %

-10What is not working for the Company

NET PROFIT(Q)

At CNY -16.19 MM has Fallen at -133.36%

DEBTORS TURNOVER RATIO(HY)

Lowest at 1.11 times

OPERATING PROFIT(Q)

Lowest at CNY -91.96 MM

OPERATING PROFIT MARGIN(Q)

Lowest at -0.45 %

PRE-TAX PROFIT(Q)

Lowest at CNY 13.31 MM

Here's what is working for Zhejiang Construction Investment Group Co., Ltd.

Operating Cash Flow

Highest at CNY 3,611.29 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Cash and Eqv

Highest at CNY 18,463.77 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio

Lowest at 222.24 %

in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Raw Material Cost

Fallen by -17.76% (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 Construction Investment Group Co., Ltd.

Pre-Tax Profit

At CNY 13.31 MM has Fallen at -92.12%

over average net sales of the previous four periods of CNY 168.79 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Net Profit

At CNY -16.19 MM has Fallen at -133.36%

over average net sales of the previous four periods of CNY 48.54 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Operating Profit

Lowest at CNY -91.96 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at -0.45 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at CNY 13.31 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (CNY MM)

Debtors Turnover Ratio

Lowest at 1.11 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Non Operating Income

Highest at CNY 19.69 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income