Zhejiang RIFA Precision Machinery Co., Ltd. (002520) 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 RIFA Precision Machinery Co., Ltd.

Why is Zhejiang RIFA Precision Machinery Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 1.47%

The company has been able to generate a Return on Capital Employed (avg) of 1.47% 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 -13.37% and Operating profit at -239.30% over the last 5 years
The company is Net-Debt Free
The company has been able to generate a Return on Equity (avg) of 1.46% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of -13.37% and Operating profit at -239.30% over the last 5 years

Flat results in Mar 26

OPERATING CASH FLOW(Y) Lowest at CNY 214.49 MM
DEBTORS TURNOVER RATIO(HY) Lowest at 2.76 times
NET SALES(Q) Lowest at CNY 112.77 MM

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of 22.35%, its profits have risen by 81.7%

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 Industrial Manufacturing)

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

Is Zhejiang RIFA Precision Machinery Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Zhejiang RIFA Precision Machinery Co., Ltd.

-8.86%

2.12

50.30%

China Shanghai Composite

3.23%

1.20

14.07%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-13.37%

EBIT Growth (5y)

-239.30%

EBIT to Interest (avg)

-14.40

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

2.25

Sales to Capital Employed (avg)

0.97

Tax Ratio

6.19%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

0.55%

ROE (avg)

1.46%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

17.41

EV to EBIT

-4.23

EV to EBITDA

-4.60

EV to Capital Employed

12.69

EV to Sales

5.62

PEG Ratio

Dividend Yield

ROCE (Latest)

-299.85%

ROE (Latest)

-42.86%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Mildly Bullish

Moving Averages

Mildly Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly Bearish

No Trend

OBV

Mildly Bearish

Mildly 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

19What is working for the Company

ROCE(HY)

Highest at 21.44%

PRE-TAX PROFIT(Q)

At CNY 19.21 MM has Grown at 111.4%

NET PROFIT(Q)

At CNY 16.3 MM has Grown at 109.42%

RAW MATERIAL COST(Y)

Fallen by -713.75% (YoY

DEBT-EQUITY RATIO (HY)

Lowest at 44.56 %

OPERATING PROFIT(Q)

Highest at CNY 29.12 MM

OPERATING PROFIT MARGIN(Q)

Highest at 15.07 %

-16What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at CNY 187.89 MM

NET SALES(Q)

At CNY 193.23 MM has Fallen at -47.33%

INVENTORY TURNOVER RATIO(HY)

Lowest at 0.67 times

DEBTORS TURNOVER RATIO(HY)

Lowest at 2.35 times

Here's what is working for Zhejiang RIFA Precision Machinery Co., Ltd.

Pre-Tax Profit

At CNY 19.21 MM has Grown at 111.4%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 16.3 MM has Grown at 109.42%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (CNY MM)

Operating Profit

Highest at CNY 29.12 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (CNY MM)

Operating Profit Margin

Highest at 15.07 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Debt-Equity Ratio

Lowest at 44.56 %

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 -713.75% (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 RIFA Precision Machinery Co., Ltd.

Net Sales

At CNY 193.23 MM has Fallen at -47.33%

Year on Year (YoY)

MOJO Watch

Near term sales trend is extremely negative

Net Sales (CNY MM)

Operating Cash Flow

Lowest at CNY 187.89 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)

Inventory Turnover Ratio

Lowest at 0.67 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 2.35 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio