Zhejiang Jingu Co., Ltd. (002488) 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 Jingu Co., Ltd.

Why is Zhejiang Jingu Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 0.65%

The company has been able to generate a Return on Capital Employed (avg) of 0.65% signifying low profitability per unit of total capital (equity and debt)

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 6.47% and Operating profit at 36.40% 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 1.77% signifying low profitability per unit of shareholders funds

Flat results in Sep 25

INTEREST(HY) At CNY 73.68 MM has Grown at 223.61%
INVENTORY TURNOVER RATIO(HY) Lowest at 2.03 times
DEBTORS TURNOVER RATIO(HY) Lowest at 4.56 times

With ROE of 1.52%, it has a very expensive valuation with a 3.51 Price to Book Value

Over the past year, while the stock has generated a return of -7.86%, its profits have fallen by -17.9%
At the current price, the company has a high dividend yield of 0.1

Underperformed the market in the last 1 year

Even though the market (China Shanghai Composite) has generated returns of 16.10% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -7.86% returns

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 Ferrous Metals)

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

Is Zhejiang Jingu Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Zhejiang Jingu Co., Ltd.

-7.86%

3.70

40.09%

China Shanghai Composite

16.1%

1.26

12.73%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

6.47%

EBIT Growth (5y)

36.40%

EBIT to Interest (avg)

-0.81

Debt to EBITDA (avg)

11.18

Net Debt to Equity (avg)

0.56

Sales to Capital Employed (avg)

0.49

Tax Ratio

39.37%

Dividend Payout Ratio

42.92%

Pledged Shares

Institutional Holding

ROCE (avg)

0.65%

ROE (avg)

1.77%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

231

Industry P/E

Price to Book Value

3.51

EV to EBIT

98.30

EV to EBITDA

48.54

EV to Capital Employed

2.57

EV to Sales

4.08

PEG Ratio

Dividend Yield

0.07%

ROCE (Latest)

2.61%

ROE (Latest)

1.52%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Mildly Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Mildly Bearish

Dow Theory

No Trend

OBV

Mildly Bearish

No Trend

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

11What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 117.03 MM

NET PROFIT(HY)

Higher at CNY 33.61 MM

PRE-TAX PROFIT(Q)

At CNY 22.88 MM has Grown at 125.2%

RAW MATERIAL COST(Y)

Fallen by -197.82% (YoY

CASH AND EQV(HY)

Highest at CNY 1,659.14 MM

-10What is not working for the Company

INTEREST(HY)

At CNY 73.68 MM has Grown at 223.61%

INVENTORY TURNOVER RATIO(HY)

Lowest at 2.03 times

DEBTORS TURNOVER RATIO(HY)

Lowest at 4.56 times

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

Pre-Tax Profit

At CNY 22.88 MM has Grown at 125.2%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (CNY MM)

Net Profit

Higher at CNY 33.61 MM

than preceding 12 month period ended Sep 2025

MOJO Watch

In the half year the company has already crossed Net Profit of the previous twelve months

Net Profit (CNY MM)

Net Profit

At CNY 33.61 MM has Grown at 53.68%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

Operating Cash Flow

Highest at CNY 117.03 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 1,659.14 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Raw Material Cost

Fallen by -197.82% (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 Jingu Co., Ltd.

Interest

At CNY 73.68 MM has Grown at 223.61%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Inventory Turnover Ratio

Lowest at 2.03 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Debtors Turnover Ratio

Lowest at 4.56 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio