Why is Zhejiang Weiming Environment Protection Co., Ltd. ?
1
Poor Management Efficiency with a low ROCE of 16.82%
- The company has been able to generate a Return on Capital Employed (avg) of 16.82% signifying low profitability per unit of total capital (equity and debt)
2
The company is Net-Debt Free
- Poor long term growth as Net Sales has grown by an annual rate of 10.73% and Operating profit at 7.54% over the last 5 years
- The company is Net-Debt Free
- The company has been able to generate a Return on Equity (avg) of 20.65% signifying low profitability per unit of shareholders funds
3
Poor long term growth as Net Sales has grown by an annual rate of 10.73% and Operating profit at 7.54% over the last 5 years
4
With a fall in Net Sales of -14.83%, the company declared Very Negative results in Jun 26
- The company has declared negative results for the last 3 consecutive quarters
- INTEREST(HY) At CNY 99.07 MM has Grown at 14.01%
- ROCE(HY) Lowest at 12.01%
- DEBTORS TURNOVER RATIO(HY) Lowest at 1.11 times
5
With ROE of 13.40%, it has a very expensive valuation with a 2.09 Price to Book Value
- Over the past year, while the stock has generated a return of -15.50%, its profits have fallen by -26.3%
- At the current price, the company has a high dividend yield of 2.6
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 Construction)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Zhejiang Weiming Environment Protection Co., Ltd. for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Zhejiang Weiming Environment Protection Co., Ltd.
-14.0%
-0.92
41.17%
China Shanghai Composite
3.23%
0.23
14.72%
Quality key factors
Factor
Value
Sales Growth (5y)
10.73%
EBIT Growth (5y)
7.54%
EBIT to Interest (avg)
14.24
Debt to EBITDA (avg)
1.78
Net Debt to Equity (avg)
0.36
Sales to Capital Employed (avg)
0.31
Tax Ratio
9.02%
Dividend Payout Ratio
38.16%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
14.31%
ROE (avg)
20.65%
Valuation Key Factors 
Factor
Value
P/E Ratio
16
Industry P/E
Price to Book Value
2.09
EV to EBIT
15.99
EV to EBITDA
13.79
EV to Capital Employed
1.84
EV to Sales
6.44
PEG Ratio
NA
Dividend Yield
2.63%
ROCE (Latest)
11.52%
ROE (Latest)
13.40%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Bearish
RSI
Bullish
No Signal
Bollinger Bands
Mildly Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Mildly Bullish
Mildly Bearish
Dow Theory
No Trend
Mildly Bearish
OBV
No Trend
Mildly Bearish
Technical Movement
3What is working for the Company
OPERATING CASH FLOW(Y)
Highest at CNY 3,063.6 MM
CASH AND EQV(HY)
Highest at CNY 5,595.95 MM
-30What is not working for the Company
INTEREST(HY)
At CNY 99.07 MM has Grown at 14.01%
ROCE(HY)
Lowest at 12.01%
DEBTORS TURNOVER RATIO(HY)
Lowest at 1.11 times
RAW MATERIAL COST(Y)
Grown by 5.8% (YoY
INVENTORY TURNOVER RATIO(HY)
Lowest at 3.99 times
NET SALES(Q)
Fallen at -14.83%
PRE-TAX PROFIT(Q)
Fallen at -31.76%
NET PROFIT(Q)
Fallen at -30.85%
Here's what is working for Zhejiang Weiming Environment Protection Co., Ltd.
Operating Cash Flow
Highest at CNY 3,063.6 MM
in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (CNY MM)
Cash and Eqv
Highest at CNY 5,595.95 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Depreciation
Highest at CNY 215.67 MM
in the last five periodsMOJO Watch
The expenditure on assets done by the company may have gone into operation
Depreciation (CNY MM)
Depreciation
At CNY 215.67 MM has Grown at inf%
period on period (QoQ)MOJO Watch
The expenditure on assets done by the company has gone into productive use which should positively reflect in the future sales
Depreciation (CNY MM)
Here's what is not working for Zhejiang Weiming Environment Protection Co., Ltd.
Interest
At CNY 99.07 MM has Grown at 14.01%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (CNY MM)
Debtors Turnover Ratio
Lowest at 1.11 times and Fallen
In each half year in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio
Net Sales
Fallen at -14.83%
Year on Year (YoY)MOJO Watch
Near term sales trend is negative
Net Sales (CNY MM)
Pre-Tax Profit
Fallen at -31.76%
Year on Year (YoY)MOJO Watch
Near term Pre-Tax Profit trend is negative
Pre-Tax Profit (CNY MM)
Net Profit
Fallen at -30.85%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is negative
Net Profit (CNY MM)
Inventory Turnover Ratio
Lowest at 3.99 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling inventory has slowed
Inventory Turnover Ratio
Raw Material Cost
Grown by 5.8% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin
Raw Material Cost as a percentage of Sales
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