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Gotion High-tech Co (SZSE:002074) Profitability Rank : 8 (As of Mar. 2024)


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What is Gotion High-tech Co Profitability Rank?

Gotion High-tech Co has the Profitability Rank of 8. It has a higher profitability and may stay that way.

GuruFocus Profitability Rank ranks how profitable a company is and how likely the company's business will stay that way. It is based on these factors:

1. Operating Margin %
2. Piotroski F-Score
3. Trend of the Operating Margin % (5-year average). The company with an uptrend profit margin has a higher rank.
4. Consistency of the profitability
5. Predictability Rank

Gotion High-tech Co's Operating Margin % for the quarter that ended in Mar. 2024 was 5.66%. As of today, Gotion High-tech Co's Piotroski F-Score is 5.


Competitive Comparison of Gotion High-tech Co's Profitability Rank

For the Electrical Equipment & Parts subindustry, Gotion High-tech Co's Profitability Rank, along with its competitors' market caps and Profitability Rank data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Gotion High-tech Co's Profitability Rank Distribution in the Industrial Products Industry

For the Industrial Products industry and Industrials sector, Gotion High-tech Co's Profitability Rank distribution charts can be found below:

* The bar in red indicates where Gotion High-tech Co's Profitability Rank falls into.



Gotion High-tech Co Profitability Rank Calculation

GuruFocus Profitability Rank ranks how profitable a company is and how likely the company's business will stay that way.

The maximum rank is 10. A rank of 7 or higher means a higher profitability and may stay that way. A rank of 3 or lower indicates that the company has had trouble to make a profit.

Gotion High-tech Co has the Profitability Rank of 8. It has a higher profitability and may stay that way.

Profitability Rank is not directly related to the Financial Strength. But if a company is consistently profitable, its financial strength will be stronger.

Profitability Rank is based on these factors:

1. Operating Margin %

Operating Margin % - also known as operating income margin, operating profit margin and return on sales (ROS) - is the ratio of Operating Income divided by net sales or Revenue, usually presented in percent.

Gotion High-tech Co's Operating Margin % for the quarter that ended in Mar. 2024 is calculated as:

Operating Margin %=Operating Income (Q: Mar. 2024 ) / Revenue (Q: Mar. 2024 )
=425.136 / 7507.914
=5.66 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

2. Piotroski F-Score

The zones of discrimination were as such:

Good or high score = 8 or 9
Bad or low score = 0 or 1

Gotion High-tech Co has an F-score of 5 indicating the company's financial situation is typical for a stable company.

3. Trend of the Operating Margin % (5-year average). The company with an uptrend profit margin has a higher rank.

Warning Sign:

Gotion High-tech Co Ltd operating margin has been in a 5-year decline. The average rate of decline per year is -23.4%.

4. Consistency of the profitability

5. Predictability Rank


Gotion High-tech Co Profitability Rank Related Terms

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Gotion High-tech Co (SZSE:002074) Business Description

Traded in Other Exchanges
N/A
Address
No. 599 Daihe Road, Xinzhan District, Hefei, CHN, 230012
Established in 2006 in Hefei, Anhui province, Gotion High-tech, is one of the first enterprises engaged in research, production, and sales of rechargeable lithium-ion batteries for NEVs in China. Its main products include lithium iron phosphate materials and batteries, ternary batteries, battery packs, and energy storage batteries. The products are widely used in new energy passenger vehicles, commercial vehicles, energy storage power plants, communication base stations, and so on. Gotion ranked eighth among global EV battery companies with 3% market share in 2022 in terms of installed capacity, and fourth in China with 5% market share. The company is 25%-owned by Volkswagen Group with Chairman Li Zhen holding around 7%.

Gotion High-tech Co (SZSE:002074) Headlines

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