Zhejiang Realsun Chemical 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 Realsun Chemical Co., Ltd.

Why is Zhejiang Realsun Chemical Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 9.89%

The company has been able to generate a Return on Capital Employed (avg) of 9.89% signifying low profitability per unit of total capital (equity and debt)

The company is Net-Debt Free

Poor long term growth as Net Sales has grown by an annual rate of 3.37% and Operating profit at -39.70% over the last 5 years
The company is Net-Debt Free
The company has been able to generate a Return on Equity (avg) of 9.44% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 3.37% and Operating profit at -39.70% over the last 5 years

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

NET PROFIT(HY) At CNY 8.02 MM has Grown at -47.01%
INTEREST(HY) At CNY 0.09 MM has Grown at 435.03%
ROCE(HY) Lowest at 0.65%

Below par performance in long term as well as near term

Along with generating -9.73% returns in the last 1 year, the stock has also underperformed China Shanghai Composite in the last 3 years, 1 year and 3 months

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 Pharmaceuticals & Biotechnology)

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

Is Zhejiang Realsun Chemical Co., Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Zhejiang Realsun Chemical Co., Ltd.

-9.73%

0.21

44.37%

China Shanghai Composite

19.22%

1.40

13.75%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

3.37%

EBIT Growth (5y)

-39.70%

EBIT to Interest (avg)

64.46

Debt to EBITDA (avg)

0.63

Net Debt to Equity (avg)

-0.13

Sales to Capital Employed (avg)

0.43

Tax Ratio

12.57%

Dividend Payout Ratio

79.50%

Pledged Shares

Institutional Holding

ROCE (avg)

9.89%

ROE (avg)

9.44%

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

0.53

EV to EBIT

91.02

EV to EBITDA

16.54

EV to Capital Employed

0.52

EV to Sales

0.98

PEG Ratio

Dividend Yield

ROCE (Latest)

0.57%

ROE (Latest)

0.96%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Bearish

Bullish

Dow Theory

Mildly Bearish

OBV

Mildly Bearish

Bullish

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

4What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -42.72% (YoY

INVENTORY TURNOVER RATIO(HY)

Highest at 7.05 times

PRE-TAX PROFIT(Q)

At CNY 8.15 MM has Grown at 81.41%

NET PROFIT(Q)

At CNY 6.27 MM has Grown at 73.54%

-20What is not working for the Company

NET PROFIT(HY)

At CNY 8.02 MM has Grown at -47.01%

INTEREST(HY)

At CNY 0.09 MM has Grown at 435.03%

ROCE(HY)

Lowest at 0.65%

DEBT-EQUITY RATIO (HY)

Highest at -2.09 %

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

Pre-Tax Profit

At CNY 8.15 MM has Grown at 81.41%

over average net sales of the previous four periods of CNY 4.49 MM

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 6.27 MM has Grown at 73.54%

over average net sales of the previous four periods of CNY 3.61 MM

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

Inventory Turnover Ratio

Highest at 7.05 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Raw Material Cost

Fallen by -42.72% (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 Realsun Chemical Co., Ltd.

Interest

At CNY 0.09 MM has Grown at 435.03%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Debt-Equity Ratio

Highest at -2.09 % 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