Zuming Bean Products Co., Ltd. () 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

Zuming Bean Products Co., Ltd.

Why is Zuming Bean Products Co., Ltd. ?

High Debt Company with a Debt to Equity ratio (avg) at times

Poor long term growth as Net Sales has grown by an annual rate of 9.26% and Operating profit at -147.77% over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times
The company has been able to generate a Return on Equity (avg) of 4.11% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 9.26% and Operating profit at -147.77% over the last 5 years

The company has declared Negative results for the last 4 consecutive quarters

NET PROFIT(HY) At CNY -18.99 MM has Grown at -211.34%
INTEREST(HY) At CNY 14.95 MM has Grown at 18.62%
ROCE(HY) Lowest at -3.98%

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 37.56%, its profits have fallen by -1459.2%

Market Beating Performance

The stock has generated a return of 37.56% in the last 1 year, much higher than market (China Shanghai Composite) returns of 15.18%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Zuming Bean Products Co., Ltd. should be less than 10%
Overall Portfolio exposure to Other Agricultural Products should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Other Agricultural Products)

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

Is Zuming Bean Products Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Zuming Bean Products Co., Ltd.

41.59%

0.71

51.93%

China Shanghai Composite

24.8%

1.01

15.10%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

9.26%

EBIT Growth (5y)

-147.77%

EBIT to Interest (avg)

3.12

Debt to EBITDA (avg)

3.42

Net Debt to Equity (avg)

0.79

Sales to Capital Employed (avg)

0.92

Tax Ratio

45.29%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

5.41%

ROE (avg)

4.11%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

1.03

EV to EBIT

-306.05

EV to EBITDA

15.17

EV to Capital Employed

1.02

EV to Sales

0.97

PEG Ratio

Dividend Yield

ROCE (Latest)

-0.33%

ROE (Latest)

-5.36%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bullish

Mildly Bearish

OBV

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

1What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -4.32% (YoY

-22What is not working for the Company

NET PROFIT(HY)

At CNY -18.99 MM has Grown at -211.34%

INTEREST(HY)

At CNY 14.95 MM has Grown at 18.62%

ROCE(HY)

Lowest at -3.98%

DEBT-EQUITY RATIO (HY)

Highest at 80.49 %

INVENTORY TURNOVER RATIO(HY)

Lowest at 13.51%

OPERATING PROFIT(Q)

Lowest at CNY -1.34 MM

OPERATING PROFIT MARGIN(Q)

Lowest at -0.3 %

Here's what is working for Zuming Bean Products Co., Ltd.

Raw Material Cost

Fallen by -4.32% (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 Zuming Bean Products Co., Ltd.

Net Profit

At CNY -18.99 MM has Grown at -211.34%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CNY MM)

Interest

At CNY 14.95 MM has Grown at 18.62%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CNY MM)

Debt-Equity Ratio

Highest at 80.49 % and Grown

In each half year 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

Operating Profit

Lowest at CNY -1.34 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at -0.3 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Inventory Turnover Ratio

Lowest at 13.51%

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio