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. ?

With a growth in Net Sales of 12.65%, the company declared Very Positive results in Sep 25

INTEREST COVERAGE RATIO(Q) The company hardly has any interest cost
PRE-TAX PROFIT(Q) Highest at CNY 114.93 MM
NET PROFIT(Q) Highest at CNY 101.63 MM

With ROE of 20.51%, it has a very expensive valuation with a 7.34 Price to Book Value

Over the past year, while the stock has generated a return of -32.69%, its profits have risen by 15.5%
At the current price, the company has a high dividend yield of 0.3

Below par performance in long term as well as near term

Along with generating -32.69% 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 hold?

Overall Portfolio exposure to Zhejiang Songyuan Automotive Safety Systems Co., Ltd. should be less than 10%
Overall Portfolio exposure to Trading & Distributors should be less than 30%

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

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

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.

-32.69%

0.24

58.70%

China Shanghai Composite

24.7%

1.91

12.94%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

38.28%

EBIT Growth (5y)

29.37%

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

12.42%

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

7.34

EV to EBIT

36.01

EV to EBITDA

26.69

EV to Capital Employed

4.42

EV to Sales

5.18

PEG Ratio

Dividend Yield

0.30%

ROCE (Latest)

12.29%

ROE (Latest)

20.51%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bearish

RSI

No Signal

Bollinger Bands

Sideways

Mildly Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bullish

Bearish

Dow Theory

Mildly Bearish

No Trend

OBV

Mildly Bearish

No Trend

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

20What is working for the Company

INTEREST COVERAGE RATIO(Q)

The company hardly has any interest cost

PRE-TAX PROFIT(Q)

Highest at CNY 114.93 MM

NET PROFIT(Q)

Highest at CNY 101.63 MM

RAW MATERIAL COST(Y)

Fallen by -6.36% (YoY

NET SALES(Q)

Highest at CNY 686.11 MM

EPS(Q)

Highest at CNY 0.23

-7What is not working for the Company

INTEREST(9M)

At CNY 15.29 MM has Grown at 17.45%

OPERATING CASH FLOW(Y)

Lowest at CNY 95.67 MM

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

Pre-Tax Profit

Highest at CNY 114.93 MM and Grown

In each period in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (CNY MM)

Net Profit

Highest at CNY 101.63 MM and Grown

In each period in the last five periods

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (CNY MM)

Net Sales

Highest at CNY 686.11 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Net Sales

At CNY 686.11 MM has Grown at 35.39%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Pre-Tax Profit

At CNY 114.93 MM has Grown at 52.85%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

EPS

Highest at CNY 0.23

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Raw Material Cost

Fallen by -6.36% (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 15.29 MM has Grown at 17.45%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Operating Cash Flow

Lowest at CNY 95.67 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CNY MM)