Zhejiang Zomax Transmission Co., Ltd. (603767) 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 Zomax Transmission Co., Ltd.

Why is Zhejiang Zomax Transmission Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 3.53%

The company has been able to generate a Return on Capital Employed (avg) of 3.53% signifying low profitability per unit of total capital (equity and debt)

Poor long term growth as Net Sales has grown by an annual rate of -3.12% and Operating profit at -158.13% over the last 5 years

The company has declared Negative results for the last 3 consecutive quarters

NET PROFIT(HY) At CNY 19.24 MM has Grown at -45.24%
OPERATING CASH FLOW(Y) Lowest at CNY 95.58 MM
ROCE(HY) Lowest at 0.59%

With ROE of 0.41%, it has a very expensive valuation with a 6.17 Price to Book Value

Over the past year, while the stock has generated a return of 41.74%, its profits have fallen by -92.6%
At the current price, the company has a high dividend yield of 0.2

Real-Time Research Report

Verdict Report

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 Auto Components & Equipments)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Zhejiang Zomax Transmission Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Zhejiang Zomax Transmission Co., Ltd.

12.75%

0.79

63.78%

China Shanghai Composite

17.07%

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)

-3.12%

EBIT Growth (5y)

-158.13%

EBIT to Interest (avg)

42.10

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.33

Sales to Capital Employed (avg)

0.66

Tax Ratio

1.04%

Dividend Payout Ratio

185.70%

Pledged Shares

Institutional Holding

ROCE (avg)

3.53%

ROE (avg)

3.64%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

1511

Industry P/E

Price to Book Value

6.17

EV to EBIT

-974.69

EV to EBITDA

94.64

EV to Capital Employed

8.41

EV to Sales

9.51

PEG Ratio

Dividend Yield

0.22%

ROCE (Latest)

-0.86%

ROE (Latest)

0.41%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

Bullish

No Signal

Bollinger Bands

Mildly Bearish

Mildly Bullish

Moving Averages

Bearish (Daily)

KST

Bearish

Bullish

Dow Theory

Mildly Bearish

OBV

Mildly Bearish

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

12What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -24.64% (YoY

CASH AND EQV(HY)

Highest at CNY 916.4 MM

DEBTORS TURNOVER RATIO(HY)

Highest at 3.33 times

PRE-TAX PROFIT(Q)

Highest at CNY 14.5 MM

NET PROFIT(Q)

Highest at CNY 13.63 MM

EPS(Q)

Highest at CNY 0.04

-13What is not working for the Company

NET PROFIT(HY)

At CNY 19.24 MM has Grown at -45.24%

OPERATING CASH FLOW(Y)

Lowest at CNY 95.58 MM

ROCE(HY)

Lowest at 0.59%

Here's what is working for Zhejiang Zomax Transmission Co., Ltd.

Pre-Tax Profit

At CNY 14.5 MM has Grown at 598.34%

over average net sales of the previous four periods of CNY 2.08 MM

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (CNY MM)

Net Profit

At CNY 13.63 MM has Grown at 870.74%

over average net sales of the previous four periods of CNY 1.4 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (CNY MM)

Pre-Tax Profit

Highest at CNY 14.5 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

Highest at CNY 13.63 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

EPS

Highest at CNY 0.04

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CNY)

Cash and Eqv

Highest at CNY 916.4 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debtors Turnover Ratio

Highest at 3.33 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by -24.64% (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 Zomax Transmission Co., Ltd.

Operating Cash Flow

Lowest at CNY 95.58 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CNY MM)