Zhejiang Shengda Bio-Pharm Co., Ltd. (603079) 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 Shengda Bio-Pharm Co., Ltd.

Why is Zhejiang Shengda Bio-Pharm Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 2,670.04%

The company has been able to generate a Return on Capital Employed (avg) of 2,670.04% signifying low profitability per unit of total capital (equity and debt)

Poor long term growth as Net Sales has grown by an annual rate of 0.67% and Operating profit at -21.60% over the last 5 years

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

OPERATING CASH FLOW(Y) Highest at CNY 133.3 MM
NET PROFIT(HY) At CNY 31.63 MM has Grown at 77.05%
ROCE(HY) Highest at 4.32%

With ROE of 3.74%, it has a attractive valuation with a 2.09 Price to Book Value

Over the past year, while the stock has generated a return of 27.47%, its profits have risen by 303.4% ; the PEG ratio of the company is 0.2

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Zhejiang Shengda Bio-Pharm Co., Ltd. should be less than 10%
Overall Portfolio exposure to Pharmaceuticals & Biotechnology should be less than 30%

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

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

Is Zhejiang Shengda Bio-Pharm Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Zhejiang Shengda Bio-Pharm Co., Ltd.

19.93%

1.78

38.87%

China Shanghai Composite

15.17%

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)

0.67%

EBIT Growth (5y)

-21.60%

EBIT to Interest (avg)

-2.52

Debt to EBITDA (avg)

0.27

Net Debt to Equity (avg)

0.07

Sales to Capital Employed (avg)

0.48

Tax Ratio

21.72%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

2,670.04%

ROE (avg)

1,212.89%

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

2.09

EV to EBIT

46.43

EV to EBITDA

21.10

EV to Capital Employed

2.23

EV to Sales

3.71

PEG Ratio

0.18

Dividend Yield

ROCE (Latest)

4.79%

ROE (Latest)

3.74%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly 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

14What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 133.3 MM

NET PROFIT(HY)

At CNY 31.63 MM has Grown at 77.05%

ROCE(HY)

Highest at 4.32%

RAW MATERIAL COST(Y)

Fallen by -22.43% (YoY

DEBT-EQUITY RATIO (HY)

Lowest at -10.34 %

INVENTORY TURNOVER RATIO(HY)

Highest at 3.18 times

-8What is not working for the Company

INTEREST(HY)

At CNY 0.61 MM has Grown at 16.46%

INTEREST COVERAGE RATIO(Q)

Lowest at 3,282.88

DEBTORS TURNOVER RATIO(HY)

Lowest at 5.25 times

OPERATING PROFIT(Q)

Lowest at CNY 14.26 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 6.47 %

Here's what is working for Zhejiang Shengda Bio-Pharm Co., Ltd.

Operating Cash Flow

Highest at CNY 133.3 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Net Profit

At CNY 31.63 MM has Grown at 77.05%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

Debt-Equity Ratio

Lowest at -10.34 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Inventory Turnover Ratio

Highest at 3.18 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 -22.43% (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 Shengda Bio-Pharm Co., Ltd.

Interest

At CNY 0.61 MM has Grown at 16.46%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Interest Coverage Ratio

Lowest at 3,282.88

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Operating Profit

Lowest at CNY 14.26 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 6.47 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Debtors Turnover Ratio

Lowest at 5.25 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 0.37 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income