Why is Zhejiang Tianyu Pharmaceutical Co., Ltd. ?
1
Poor long term growth as Net Sales has grown by an annual rate of 2.37% and Operating profit at -25.75% over the last 5 years
2
Flat results in Mar 26
- NET PROFIT(HY) At CNY -39.59 MM has Grown at -169.37%
3
With ROE of 2.58%, it has a very expensive valuation with a 1.08 Price to Book Value
- Over the past year, while the stock has generated a return of -5.78%, its profits have risen by 2.2% ; the PEG ratio of the company is 19.5
- At the current price, the company has a high dividend yield of 0.4
4
Below par performance in long term as well as near term
- Along with generating -5.78% returns in the last 1 year, the stock has also underperformed China Shanghai Composite in the last 3 years, 1 year and 3 months
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 Tianyu Pharmaceutical Co., Ltd. for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Zhejiang Tianyu Pharmaceutical Co., Ltd.
-6.96%
0.39
39.18%
China Shanghai Composite
21.43%
1.55
13.83%
Quality key factors
Factor
Value
Sales Growth (5y)
2.37%
EBIT Growth (5y)
-25.75%
EBIT to Interest (avg)
25.90
Debt to EBITDA (avg)
3.71
Net Debt to Equity (avg)
0.48
Sales to Capital Employed (avg)
0.48
Tax Ratio
11.00%
Dividend Payout Ratio
12.32%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
5.24%
ROE (avg)
4.61%
Valuation Key Factors 
Factor
Value
P/E Ratio
42
Industry P/E
Price to Book Value
1.08
EV to EBIT
35.67
EV to EBITDA
12.94
EV to Capital Employed
1.06
EV to Sales
1.77
PEG Ratio
19.50
Dividend Yield
0.44%
ROCE (Latest)
2.97%
ROE (Latest)
2.58%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Mildly Bearish
Moving Averages
Mildly Bearish (Daily)
KST
Bearish
Mildly Bearish
Dow Theory
Mildly Bullish
Mildly Bearish
OBV
Mildly Bullish
Mildly Bearish
Technical Movement
7What is working for the Company
OPERATING CASH FLOW(Y)
Highest at CNY 589.48 MM
INVENTORY TURNOVER RATIO(HY)
Highest at 1.22 times
DEBT-EQUITY RATIO
(HY)
Lowest at 42.27 %
NET SALES(Q)
Highest at CNY 811.67 MM
-8What is not working for the Company
NET PROFIT(HY)
At CNY -39.59 MM has Grown at -169.37%
Here's what is working for Zhejiang Tianyu Pharmaceutical Co., Ltd.
Operating Cash Flow
Highest at CNY 589.48 MM and Grown
In each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (CNY MM)
Inventory Turnover Ratio
Highest at 1.22 times and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Net Sales
Highest at CNY 811.67 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (CNY MM)
Debt-Equity Ratio
Lowest at 42.27 %
in the last five Semi-Annual periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Here's what is not working for Zhejiang Tianyu Pharmaceutical Co., Ltd.
Net Profit
At CNY -39.59 MM has Grown at -169.37%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is very negative
Net Profit (CNY MM)






