Why is Zhejiang XinNong Chemical Co. Ltd. ?
1
Poor long term growth as Net Sales has grown by an annual rate of 0.04% and Operating profit at -10.48% over the last 5 years
2
Positive results in Mar 26
- NET PROFIT(HY) At CNY 37.2 MM has Grown at 64.66%
- ROCE(HY) Highest at 8.03%
- RAW MATERIAL COST(Y) Fallen by -4.16% (YoY)
3
With ROE of 7.56%, it has a expensive valuation with a 0.66 Price to Book Value
- Over the past year, while the stock has generated a return of -21.44%, its profits have risen by 51.6% ; the PEG ratio of the company is 0.2
- At the current price, the company has a high dividend yield of 12.9
4
Below par performance in long term as well as near term
- Along with generating -21.44% 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 Chemicals & Petrochemicals)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Zhejiang XinNong Chemical Co. Ltd. for you?
High Risk, Medium Return
Absolute
Risk Adjusted
Volatility
Zhejiang XinNong Chemical Co. Ltd.
-6.84%
0.40
42.32%
China Shanghai Composite
3.23%
1.20
14.07%
Quality key factors
Factor
Value
Sales Growth (5y)
0.04%
EBIT Growth (5y)
-10.48%
EBIT to Interest (avg)
31.50
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.32
Sales to Capital Employed (avg)
0.71
Tax Ratio
10.19%
Dividend Payout Ratio
64.24%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
7.57%
ROE (avg)
7.61%
Valuation Key Factors 
Factor
Value
P/E Ratio
24
Industry P/E
Price to Book Value
1.78
EV to EBIT
19.75
EV to EBITDA
13.85
EV to Capital Employed
2.16
EV to Sales
1.61
PEG Ratio
0.46
Dividend Yield
0.94%
ROCE (Latest)
10.94%
ROE (Latest)
7.56%
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bearish
Moving Averages
Mildly Bearish (Daily)
KST
Mildly Bullish
Mildly Bearish
Dow Theory
Mildly Bearish
No Trend
OBV
Mildly Bearish
Bullish
Technical Movement
12What is working for the Company
ROCE(HY)
Highest at 8.57%
RAW MATERIAL COST(Y)
Fallen by -5.44% (YoY
CASH AND EQV(HY)
Highest at CNY 1,305.65 MM
OPERATING PROFIT(Q)
Highest at CNY 74.09 MM
OPERATING PROFIT MARGIN(Q)
Highest at 25.52 %
PRE-TAX PROFIT(Q)
Highest at CNY 65.2 MM
NET PROFIT(Q)
Highest at CNY 57.81 MM
EPS(Q)
Highest at CNY 0.36
-4What is not working for the Company
INTEREST(9M)
At CNY 2.02 MM has Grown at 87.98%
Here's what is working for Zhejiang XinNong Chemical Co. Ltd.
Operating Profit
Highest at CNY 74.09 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (CNY MM)
Operating Profit Margin
Highest at 25.52 %
in the last five periodsMOJO Watch
Company's profit margin has improved
Operating Profit to Sales
Pre-Tax Profit
Highest at CNY 65.2 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (CNY MM)
Net Profit
Highest at CNY 57.81 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (CNY MM)
EPS
Highest at CNY 0.36
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (CNY)
Cash and Eqv
Highest at CNY 1,305.65 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Raw Material Cost
Fallen by -5.44% (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 XinNong Chemical Co. Ltd.
Interest
At CNY 2.02 MM has Grown at 87.98%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (CNY MM)






