Zhejiang Xiantong Rubber & Plastic Co., Ltd. (603239) 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 Xiantong Rubber & Plastic Co., Ltd.

Why is Zhejiang Xiantong Rubber & Plastic Co., Ltd. ?

Flat results in Sep 25

RAW MATERIAL COST(Y) Grown by 7.54% (YoY)
OPERATING PROFIT(Q) Lowest at CNY 50.15 MM
OPERATING PROFIT MARGIN(Q) Lowest at 14.22 %

With ROE of 15.49%, it has a fair valuation with a 4.98 Price to Book Value

Over the past year, while the stock has generated a return of 56.86%, its profits have fallen by -0.7%
At the current price, the company has a high dividend yield of 0.9

Market Beating Performance

The stock has generated a return of 56.86% in the last 1 year, much higher than market (China Shanghai Composite) returns of 22.49%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Zhejiang Xiantong Rubber & Plastic Co., Ltd. should be less than 10%
Overall Portfolio exposure to Auto Components & Equipments should be less than 30%

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

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

Is Zhejiang Xiantong Rubber & Plastic Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Zhejiang Xiantong Rubber & Plastic Co., Ltd.

52.26%

1.16

48.00%

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)

17.94%

EBIT Growth (5y)

15.37%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt is too low

Net Debt to Equity (avg)

0.02

Sales to Capital Employed (avg)

0.98

Tax Ratio

14.01%

Dividend Payout Ratio

33.11%

Pledged Shares

Institutional Holding

ROCE (avg)

14.41%

ROE (avg)

13.25%

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

4.98

EV to EBIT

30.09

EV to EBITDA

22.57

EV to Capital Employed

4.84

EV to Sales

4.55

PEG Ratio

Dividend Yield

0.94%

ROCE (Latest)

16.09%

ROE (Latest)

15.49%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

Bearish

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

Mildly Bullish

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

7What is working for the Company

DEBT-EQUITY RATIO (HY)

Lowest at -1.97 %

DEBTORS TURNOVER RATIO(HY)

Highest at 2.2 times

NET SALES(Q)

At CNY 352.57 MM has Grown at 22.98%

-3What is not working for the Company

RAW MATERIAL COST(Y)

Grown by 7.54% (YoY

OPERATING PROFIT(Q)

Lowest at CNY 50.15 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 14.22 %

Here's what is working for Zhejiang Xiantong Rubber & Plastic Co., Ltd.

Net Sales

At CNY 352.57 MM has Grown at 22.98%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (CNY MM)

Debt-Equity Ratio

Lowest at -1.97 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Debtors Turnover Ratio

Highest at 2.2 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Here's what is not working for Zhejiang Xiantong Rubber & Plastic Co., Ltd.

Operating Profit

Lowest at CNY 50.15 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 14.22 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Raw Material Cost

Grown by 7.54% (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