Buy Or Sell Opportunity • Jul 09
Now 21% overvalued after recent price rise Over the last 90 days, the stock has risen 125% to CN¥484. The fair value is estimated to be CN¥401, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 24% over the last 3 years. Earnings per share has grown by 31%. Revenue is forecast to grow by 236% in 2 years. Earnings are forecast to grow by 289% in the next 2 years. Announcement • Jun 30
Guangdong Dtech Technology Co., Ltd. to Report First Half, 2026 Results on Aug 20, 2026 Guangdong Dtech Technology Co., Ltd. announced that they will report first half, 2026 results on Aug 20, 2026 New Risk • May 22
New major risk - Share price stability The company's share price has been highly volatile over the past 3 months. It is more volatile than 90% of Chinese stocks, typically moving 11% a week. This is considered a major risk. Share price volatility increases the risk of potential losses in the short-term as the stock tends to have larger drops in price more frequently than other stocks. It may also indicate the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. Currently, the following risks have been identified for the company: Major Risks Share price has been highly volatile over the past 3 months (11% average weekly change). High level of non-cash earnings (42% accrual ratio). Board Change • May 20
High number of new directors There are 6 new directors who have joined the board in the last 3 years. Employee Representative Director Shuo Li was the last director to join the board, commencing their role in 2025. The company’s lack of board continuity is considered a risk according to the Simply Wall St Risk Model. Announcement • Mar 31
Guangdong Dtech Technology Co., Ltd. to Report Q1, 2026 Results on Apr 16, 2026 Guangdong Dtech Technology Co., Ltd. announced that they will report Q1, 2026 results on Apr 16, 2026 Announcement • Mar 26
Guangdong Dtech Technology Co., Ltd., Annual General Meeting, Apr 16, 2026 Guangdong Dtech Technology Co., Ltd., Annual General Meeting, Apr 16, 2026, at 14:00 China Standard Time. Location: 8F, Building 1, No. 39, Zhuyuan Road, Liaoxia, Houjie Town, Dongguan, Guangdong China Announcement • Dec 31
Guangdong Dtech Technology Co., Ltd. to Report Fiscal Year 2025 Results on Mar 27, 2026 Guangdong Dtech Technology Co., Ltd. announced that they will report fiscal year 2025 results on Mar 27, 2026 Announcement • Sep 30
Guangdong Dtech Technology Co., Ltd. to Report Q3, 2025 Results on Oct 24, 2025 Guangdong Dtech Technology Co., Ltd. announced that they will report Q3, 2025 results on Oct 24, 2025 Announcement • Jul 02
Guangdong Dtech Technology Co., Ltd. to Report First Half, 2025 Results on Aug 21, 2025 Guangdong Dtech Technology Co., Ltd. announced that they will report first half, 2025 results on Aug 21, 2025 Announcement • Apr 25
Guangdong Dtech Technology Co., Ltd. Proposes Final Cash Dividend for 2024 Guangdong Dtech Technology Co., Ltd. announced on 23 April 2025 the profit distribution proposal for 2024 as follows: Final cash dividend per 10 shares (tax included) of CNY 2.80000000. Announcement • Apr 23
Guangdong Dtech Technology Co., Ltd., Annual General Meeting, May 15, 2025 Guangdong Dtech Technology Co., Ltd., Annual General Meeting, May 15, 2025, at 14:30 China Standard Time. Location: 8F, Building 1, No. 39, Zhuyuan Road, Liaoxia, Houjie Town, Dongguan, Guangdong China Announcement • Mar 31
Guangdong Dtech Technology Co., Ltd. to Report Q1, 2025 Results on Apr 23, 2025 Guangdong Dtech Technology Co., Ltd. announced that they will report Q1, 2025 results on Apr 23, 2025 Announcement • Dec 31
Guangdong Dtech Technology Co., Ltd. to Report Fiscal Year 2024 Results on Apr 23, 2025 Guangdong Dtech Technology Co., Ltd. announced that they will report fiscal year 2024 results on Apr 23, 2025 New Risk • Oct 25
New minor risk - Earnings quality The company has large one-off items impacting its financial results. One-off items were 28% of the size of the rest of the company's trailing 12-month earnings before tax. This is considered a minor risk. One-off items are incomes or expenses that the company does not expect to repeat in future periods. Examples include profits from the sale of a business or expenses from a restructuring or legal settlements. If the company's reported statutory earnings include a large proportion of one-off items it means they may be an unreliable indicator of its true business performance as the earnings were skewed by these incomes or expenses. Currently, the following risks have been identified for the company: Minor Risks Dividend is not well covered by cash flows (356% cash payout ratio). Share price has been volatile over the past 3 months (10% average weekly change). Large one-off items impacting financial results. Reported Earnings • Oct 24
Third quarter 2024 earnings released: EPS: CN¥0.20 (vs CN¥0.15 in 3Q 2023) Third quarter 2024 results: EPS: CN¥0.20 (up from CN¥0.15 in 3Q 2023). Revenue: CN¥416.0m (up 21% from 3Q 2023). Net income: CN¥83.3m (up 32% from 3Q 2023). Profit margin: 20% (up from 18% in 3Q 2023). The increase in margin was driven by higher revenue. Revenue is forecast to grow 32% p.a. on average during the next 2 years, compared to a 16% growth forecast for the Machinery industry in China. Valuation Update With 7 Day Price Move • Oct 15
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to CN¥19.49, the stock trades at a forward P/E ratio of 19x. Average forward P/E is 16x in the Machinery industry in China. Total loss to shareholders of 3.6% over the past year. Valuation Update With 7 Day Price Move • Sep 30
Investor sentiment improves as stock rises 33% After last week's 33% share price gain to CN¥20.11, the stock trades at a forward P/E ratio of 21x. Average forward P/E is 15x in the Machinery industry in China. Total returns to shareholders of 4.3% over the past year. Announcement • Sep 30
Guangdong Dtech Technology Co., Ltd. to Report Q3, 2024 Results on Oct 24, 2024 Guangdong Dtech Technology Co., Ltd. announced that they will report Q3, 2024 results on Oct 24, 2024 New Risk • Sep 14
New minor risk - Dividend sustainability The dividend is not well covered by cash flows. The company is paying a dividend despite having no free cash flows. Dividend yield: 2.6% This is considered a minor risk. Dividends are ultimately paid out of the company's available cash reserves. Companies that pay out too much of their cash flow are at risk of having to reduce or cut their dividend in future. If cash flow growth slows or cash flows fall, then there may not be enough cash reserves to maintain the same dividend. Or in extreme cases, companies may opt to take on debt to maintain the dividend. This risk is mitigated by the fact the dividend is covered by earnings, however, cash flows are generally more important. For dividend paying companies, any reduction in the dividend can significantly impact the share price. Currently, the following risks have been identified for the company: Minor Risks Paying a dividend despite having no free cash flows. Share price has been volatile over the past 3 months (6.8% average weekly change). Large one-off items impacting financial results. Announcement • Sep 14
Guangdong Dtech Technology Co., Ltd. Announces Implementation of 2024 Interim Profit Distribution Plan for A Shares, Payable on 23 September 2024 Guangdong Dtech Technology Co., Ltd. announced implementation of 2024 interim profit distribution plan for A shares: Cash dividend/10 shares (tax included): CNY 2.00000000. Record date: 20 September 2024. Ex-date: 23 September 2024. Payment date: 23 September 2024. Announcement • Sep 12
Guangdong Dtech Technology Co., Ltd. Approves Interim Dividend for the Year 2024 Guangdong Dtech Technology Co., Ltd. approved at its EGM held on 10 September 2024 the interim cash dividend/10 shares (tax included) of CNY 2.00000000 for the year 2024. New Risk • Sep 07
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Chinese stocks, typically moving 6.9% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. This is currently the only risk that has been identified for the company. Announcement • Aug 24
Guangdong Dtech Technology Co., Ltd. Proposes Dividend for the First Half of 2024 Guangdong Dtech Technology Co., Ltd. proposed Cash dividend/10 shares (tax included): CNY2.00000000 for the first half of 2024. Reported Earnings • Aug 23
Second quarter 2024 earnings released: EPS: CN¥0.12 (vs CN¥0.091 in 2Q 2023) Second quarter 2024 results: EPS: CN¥0.12 (up from CN¥0.091 in 2Q 2023). Revenue: CN¥379.8m (up 24% from 2Q 2023). Net income: CN¥48.2m (up 28% from 2Q 2023). Profit margin: 13% (in line with 2Q 2023). Revenue is forecast to grow 30% p.a. on average during the next 2 years, compared to a 16% growth forecast for the Machinery industry in China. Valuation Update With 7 Day Price Move • Jul 10
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to CN¥18.84, the stock trades at a forward P/E ratio of 21x. Average forward P/E is 15x in the Machinery industry in China. Total loss to shareholders of 17% over the past year. Announcement • Jun 29
Guangdong Dtech Technology Co., Ltd. to Report First Half, 2024 Results on Aug 23, 2024 Guangdong Dtech Technology Co., Ltd. announced that they will report first half, 2024 results on Aug 23, 2024 New Risk • May 19
New minor risk - Earnings quality The company has large one-off items impacting its financial results. One-off items were 20% of the size of the rest of the company's trailing 12-month earnings before tax. This is considered a minor risk. One-off items are incomes or expenses that the company does not expect to repeat in future periods. Examples include profits from the sale of a business or expenses from a restructuring or legal settlements. If the company's reported statutory earnings include a large proportion of one-off items it means they may be an unreliable indicator of its true business performance as the earnings were skewed by these incomes or expenses. This is currently the only risk that has been identified for the company. Announcement • Apr 19
Guangdong Dtech Technology Co., Ltd., Annual General Meeting, May 08, 2024 Guangdong Dtech Technology Co., Ltd., Annual General Meeting, May 08, 2024, at 14:00 China Standard Time. Location: No. 39, Zhuyuan Road, Liaoxia, Houjie Town, Dongguan, Guangdong China Reported Earnings • Apr 19
Full year 2023 earnings released: EPS: CN¥0.53 (vs CN¥0.61 in FY 2022) Full year 2023 results: EPS: CN¥0.53 (down from CN¥0.61 in FY 2022). Revenue: CN¥1.32b (up 8.3% from FY 2022). Net income: CN¥219.3m (down 1.6% from FY 2022). Profit margin: 17% (down from 18% in FY 2022). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 26% p.a. on average during the next 2 years, compared to a 17% growth forecast for the Machinery industry in China. Announcement • Mar 30
Guangdong Dtech Technology Co., Ltd. to Report Q1, 2024 Results on Apr 26, 2024 Guangdong Dtech Technology Co., Ltd. announced that they will report Q1, 2024 results on Apr 26, 2024 Valuation Update With 7 Day Price Move • Feb 01
Investor sentiment deteriorates as stock falls 16% After last week's 16% share price decline to CN¥15.39, the stock trades at a forward P/E ratio of 21x. Average forward P/E is 15x in the Machinery industry in China. Announcement • Dec 30
Guangdong Dtech Technology Co., Ltd. to Report Fiscal Year 2023 Results on Apr 18, 2024 Guangdong Dtech Technology Co., Ltd. announced that they will report fiscal year 2023 results on Apr 18, 2024 Announcement • Nov 25
Guangdong Dtech Technology Co., Ltd. Announces Implementation of Cash Dividend for the Third Quarter of 2023, Payable on 30 November 2023 Guangdong Dtech Technology Co., Ltd. announced 2023 third quarter profit distribution plan to be implemented (A shares): Cash dividend per 10 shares (tax included) of CNY 1.50000000. Record date: 29 November 2023; Ex-date: 30 November 2023; Payment date: 30 November 2023. Announcement • Nov 17
Guangdong Dtech Technology Co., Ltd. Approves Third Quarter Profit Distribution Plan Guangdong Dtech Technology Co., Ltd. approved third quarter profit distribution plan Cash dividend/10 shares (tax included) is CNY 1.50000000, at the EGM held on November 14, 2023. New Risk • Nov 01
New minor risk - Earnings quality The company has large one-off items impacting its financial results. One-off items were 22% of the size of the rest of the company's trailing 12-month earnings before tax. This is considered a minor risk. One-off items are incomes or expenses that the company does not expect to repeat in future periods. Examples include profits from the sale of a business or expenses from a restructuring or legal settlements. If the company's reported statutory earnings include a large proportion of one-off items it means they may be an unreliable indicator of its true business performance as the earnings were skewed by these incomes or expenses. Currently, the following risks have been identified for the company: Minor Risks Share price has been volatile over the past 3 months (6.7% average weekly change). Large one-off items impacting financial results. Announcement • Oct 28
Guangdong Dtech Technology Co., Ltd. Proposes Cash Dividend for the Third Quarter of 2023 Guangdong Dtech Technology Co., Ltd. proposed Cash dividend/10 shares (tax included) of CNY 1.50000000 for the third quarter of 2023. Reported Earnings • Oct 27
Third quarter 2023 earnings released: EPS: CN¥0.15 (vs CN¥0.16 in 3Q 2022) Third quarter 2023 results: EPS: CN¥0.15. Revenue: CN¥344.6m (up 14% from 3Q 2022). Net income: CN¥63.4m (up 14% from 3Q 2022). Profit margin: 18% (in line with 3Q 2022). Announcement • Sep 30
Guangdong Dtech Technology Co., Ltd. to Report Q3, 2023 Results on Oct 27, 2023 Guangdong Dtech Technology Co., Ltd. announced that they will report Q3, 2023 results on Oct 27, 2023 Announcement • Sep 10
Guangdong Dtech Technology Co., Ltd. Announces Board Elections Guangdong Dtech Technology Co., Ltd. announced that at its EGM held on September 07, 2023, shareholders approved the election of Lin Xia and Wang Xuefeng as non-independent directors, Song Haihai, Xin Guosheng and Li Xiaofei as independent directors, Zhang Yong and Wang Fenglian as non-employee supervisors. New Risk • Aug 26
New minor risk - Earnings quality The company has large one-off items impacting its financial results. One-off items were 24% of the size of the rest of the company's trailing 12-month earnings before tax. This is considered a minor risk. One-off items are incomes or expenses that the company does not expect to repeat in future periods. Examples include profits from the sale of a business or expenses from a restructuring or legal settlements. If the company's reported statutory earnings include a large proportion of one-off items it means they may be an unreliable indicator of its true business performance as the earnings were skewed by these incomes or expenses. Currently, the following risks have been identified for the company: Major Risk Share price has been highly volatile over the past 3 months (9.2% average weekly change). Minor Risk Large one-off items impacting financial results. Reported Earnings • Aug 23
Second quarter 2023 earnings released: EPS: CN¥0.091 (vs CN¥0.16 in 2Q 2022) Second quarter 2023 results: EPS: CN¥0.091 (down from CN¥0.16 in 2Q 2022). Revenue: CN¥306.4m (up 1.2% from 2Q 2022). Net income: CN¥37.6m (down 32% from 2Q 2022). Profit margin: 12% (down from 18% in 2Q 2022). The decrease in margin was driven by higher expenses. Valuation Update With 7 Day Price Move • Jul 21
Investor sentiment deteriorates as stock falls 19% After last week's 19% share price decline to CN¥21.20, the stock trades at a trailing P/E ratio of 37.3x. Average trailing P/E is 37x in the Machinery industry in China. Announcement • Jul 01
Guangdong Dtech Technology Co., Ltd. to Report First Half, 2023 Results on Aug 23, 2023 Guangdong Dtech Technology Co., Ltd. announced that they will report first half, 2023 results on Aug 23, 2023 Announcement • Jun 09
Guangdong Dtech Technology Co., Ltd. Announces Final Dividend on A Shares for the Year 2022, Payable on June 15, 2023 Guangdong Dtech Technology Co., Ltd. announced final cash dividend/10 shares (tax included) of CNY 0.70000000 on A shares for the year 2022. Record date is June 14, 2023. Ex-date is May June 15, 2023. Payment date is June 15, 2023. Valuation Update With 7 Day Price Move • Jun 01
Investor sentiment improves as stock rises 23% After last week's 23% share price gain to CN¥25.38, the stock trades at a trailing P/E ratio of 44.7x. Average trailing P/E is 36x in the Machinery industry in China. Reported Earnings • Apr 28
First quarter 2023 earnings released: EPS: CN¥0.17 (vs CN¥0.18 in 1Q 2022) First quarter 2023 results: EPS: CN¥0.17. Revenue: CN¥276.3m (down 13% from 1Q 2022). Net income: CN¥68.3m (up 8.1% from 1Q 2022). Profit margin: 25% (up from 20% in 1Q 2022). The increase in margin was driven by lower expenses. Valuation Update With 7 Day Price Move • Apr 25
Investor sentiment deteriorates as stock falls 19% After last week's 19% share price decline to CN¥17.73, the stock trades at a trailing P/E ratio of 32.6x. Average trailing P/E is 34x in the Machinery industry in China.