Zoneco Group Co., Ltd. (002069) 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

Zoneco Group Co., Ltd.

Why is Zoneco Group Co., Ltd. ?

Weak Long Term Fundamental Strength with an average Return on Capital Employed (ROCE) of 3.65%

Poor long term growth as Net Sales has grown by an annual rate of -7.27% and Operating profit at 8.73% over the last 5 years
The company is Net-Debt Free

With a fall in Net Sales of -22.61%, the company declared Very Negative results in Sep 25

ROCE(HY) Lowest at -88.63%
DEBT-EQUITY RATIO (HY) Highest at 7,443 %
INVENTORY TURNOVER RATIO(HY) Lowest at 1.82 times

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of 1.84%, its profits have risen by 154.4% ; the PEG ratio of the company is 1.5

Underperformed the market in the last 1 year

The stock has generated a return of 1.84% in the last 1 year, much lower than market (China Shanghai Composite) returns of 24.70%

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 Other Agricultural Products)

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

Is Zoneco Group Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Zoneco Group Co., Ltd.

1.84%

1.12

39.60%

China Shanghai Composite

24.7%

1.91

12.94%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-7.27%

EBIT Growth (5y)

8.73%

EBIT to Interest (avg)

0.58

Debt to EBITDA (avg)

24.98

Net Debt to Equity (avg)

27.01

Sales to Capital Employed (avg)

0.81

Tax Ratio

43.50%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

3.65%

ROE (avg)

60.67%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

233

Industry P/E

Price to Book Value

42.94

EV to EBIT

-135.65

EV to EBITDA

80.82

EV to Capital Employed

2.94

EV to Sales

2.58

PEG Ratio

1.51

Dividend Yield

ROCE (Latest)

-2.17%

ROE (Latest)

18.45%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Sideways

Moving Averages

Mildly Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

No Trend

OBV

Mildly Bullish

No Trend

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

2What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -2.88% (YoY

CASH AND EQV(HY)

Highest at CNY 1,199.06 MM

-28What is not working for the Company

ROCE(HY)

Lowest at -88.63%

DEBT-EQUITY RATIO (HY)

Highest at 7,443 %

INVENTORY TURNOVER RATIO(HY)

Lowest at 1.82 times

NET SALES(Q)

Lowest at CNY 310.71 MM

PRE-TAX PROFIT(Q)

Lowest at CNY -39.92 MM

NET PROFIT(Q)

Lowest at CNY -42.52 MM

EPS(Q)

Lowest at CNY -0.06

Here's what is working for Zoneco Group Co., Ltd.

Cash and Eqv

Highest at CNY 1,199.06 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Raw Material Cost

Fallen by -2.88% (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 Zoneco Group Co., Ltd.

Pre-Tax Profit

At CNY -39.92 MM has Fallen at -830.99%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CNY MM)

Net Profit

At CNY -42.52 MM has Fallen at -1,379.46%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Net Sales

At CNY 310.71 MM has Fallen at -19.92%

Year on Year (YoY)

MOJO Watch

Near term sales trend is very negative

Net Sales (CNY MM)

Net Sales

Lowest at CNY 310.71 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Pre-Tax Profit

Lowest at CNY -39.92 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (CNY MM)

Net Profit

Lowest at CNY -42.52 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CNY MM)

EPS

Lowest at CNY -0.06

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (CNY)

Debt-Equity Ratio

Highest at 7,443 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Inventory Turnover Ratio

Lowest at 1.82 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio