Zhejiang Longsheng Group Co., Ltd. (600352) 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 Longsheng Group Co., Ltd.

Why is Zhejiang Longsheng Group Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of -1.20% and Operating profit at -12.79% over the last 5 years

The company has declared negative results in Mar'2025 after 2 consecutive positive quarters

INVENTORY TURNOVER RATIO(HY) Lowest at 0.37 times
NET SALES(Q) Lowest at CNY 3,165.69 MM
OPERATING PROFIT(Q) Lowest at CNY 360.83 MM

With ROE of 6.42%, it has a very attractive valuation with a 0.93 Price to Book Value

Over the past year, while the stock has generated a return of 68.61%, its profits have risen by 1.7% ; the PEG ratio of the company is 8.8
At the current price, the company has a high dividend yield of 6.6

Market Beating performance in long term as well as near term

Along with generating 68.61% 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 Zhejiang Longsheng Group Co., Ltd. should be less than 10%
Overall Portfolio exposure to Chemicals & Petrochemicals should be less than 30%

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

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

Is Zhejiang Longsheng Group Co., Ltd. for you?

Medium Risk, High Return

Absolute

Risk Adjusted

Volatility

Zhejiang Longsheng Group Co., Ltd.

23.68%

2.56

31.04%

China Shanghai Composite

21.43%

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)

-2.49%

EBIT Growth (5y)

-8.61%

EBIT to Interest (avg)

8.57

Debt to EBITDA (avg)

2.39

Net Debt to Equity (avg)

-0.10

Sales to Capital Employed (avg)

0.27

Tax Ratio

17.10%

Dividend Payout Ratio

53.36%

Pledged Shares

Institutional Holding

ROCE (avg)

6.56%

ROE (avg)

9.75%

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

1.04

EV to EBIT

12.96

EV to EBITDA

9.85

EV to Capital Employed

1.04

EV to Sales

2.02

PEG Ratio

Dividend Yield

4.27%

ROCE (Latest)

8.06%

ROE (Latest)

6.48%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bullish

Moving Averages

Bullish (Daily)

KST

Bearish

Bullish

Dow Theory

Mildly Bullish

Mildly Bearish

OBV

Mildly Bullish

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

DIVIDEND PAYOUT RATIO(Y)

Highest at 211.99%

RAW MATERIAL COST(Y)

Fallen by -25.24% (YoY

CASH AND EQV(HY)

Highest at CNY 42,779.57 MM

DIVIDEND PER SHARE(HY)

Highest at CNY 3.27

EPS(Q)

Highest at CNY 0.17

-10What is not working for the Company

NET SALES(HY)

At CNY 7,260.3 MM has Grown at -14.68%

INVENTORY TURNOVER RATIO(HY)

Lowest at 0.34 times

INTEREST(Q)

Highest at CNY 102.38 MM

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

EPS

Highest at CNY 0.17

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Cash and Eqv

Highest at CNY 42,779.57 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Dividend per share

Highest at CNY 3.27

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (CNY)

Dividend Payout Ratio

Highest at 211.99%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Raw Material Cost

Fallen by -25.24% (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 Longsheng Group Co., Ltd.

Net Sales

At CNY 7,260.3 MM has Grown at -14.68%

Year on Year (YoY)

MOJO Watch

Near term sales trend is very negative

Net Sales (CNY MM)

Interest

At CNY 102.38 MM has Grown at 198.43%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Interest

Highest at CNY 102.38 MM

in the last five periods and Increased by 198.43% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Inventory Turnover Ratio

Lowest at 0.34 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio