Zhejiang Songyuan Automotive Safety Systems Co., Ltd. (300893) 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 Songyuan Automotive Safety Systems Co., Ltd.

Why is Zhejiang Songyuan Automotive Safety Systems Co., Ltd. ?

Flat results in Mar 26

INTEREST(HY) At CNY 19.94 MM has Grown at 37.76%
OPERATING CASH FLOW(Y) Lowest at CNY -37.79 MM
CASH AND EQV(HY) Lowest at CNY 221.77 MM

With ROE of 17.41%, it has a very expensive valuation with a 2.37 Price to Book Value

Over the past year, while the stock has generated a return of -23.68%, its profits have risen by 34.9%
At the current price, the company has a high dividend yield of 0

Below par performance in long term as well as near term

Along with generating -23.68% 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 Trading & Distributors)

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

Is Zhejiang Songyuan Automotive Safety Systems Co., Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Zhejiang Songyuan Automotive Safety Systems Co., Ltd.

-27.46%

-0.27

53.45%

China Shanghai Composite

21.43%

1.55

13.83%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

35.16%

EBIT Growth (5y)

29.95%

EBIT to Interest (avg)

46.23

Debt to EBITDA (avg)

1.31

Net Debt to Equity (avg)

0.82

Sales to Capital Employed (avg)

0.78

Tax Ratio

10.29%

Dividend Payout Ratio

9.73%

Pledged Shares

Institutional Holding

ROCE (avg)

14.20%

ROE (avg)

16.15%

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

2.37

EV to EBIT

15.09

EV to EBITDA

11.71

EV to Capital Employed

1.81

EV to Sales

2.35

PEG Ratio

Dividend Yield

ROCE (Latest)

11.99%

ROE (Latest)

17.41%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

Mildly Bearish

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

5What is working for the Company

NET SALES(HY)

At CNY 1,447.6 MM has Grown at 20.99%

RAW MATERIAL COST(Y)

Fallen by -4.85% (YoY

-14What is not working for the Company

INTEREST(HY)

At CNY 19.94 MM has Grown at 37.76%

OPERATING CASH FLOW(Y)

Lowest at CNY -37.79 MM

CASH AND EQV(HY)

Lowest at CNY 221.77 MM

INVENTORY TURNOVER RATIO(HY)

Lowest at 3.76 times

DEBTORS TURNOVER RATIO(HY)

Lowest at 2.39 times

OPERATING PROFIT(Q)

Lowest at CNY 86.1 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 14.27 %

EPS(Q)

Lowest at CNY 0.16

Here's what is working for Zhejiang Songyuan Automotive Safety Systems Co., Ltd.

Net Sales

At CNY 1,447.6 MM has Grown at 20.99%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Raw Material Cost

Fallen by -4.85% (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 Songyuan Automotive Safety Systems Co., Ltd.

Interest

At CNY 19.94 MM has Grown at 37.76%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Operating Cash Flow

Lowest at CNY -37.79 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)

Operating Profit

Lowest at CNY 86.1 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 14.27 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

EPS

Lowest at CNY 0.16

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (CNY)

Cash and Eqv

Lowest at CNY 221.77 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Inventory Turnover Ratio

Lowest at 3.76 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 2.39 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio