Acosta Verde SAB de CV (GAVA) 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

Fibra Uno Administración SA de CV

Acosta Verde SAB de CV

CFE Fibra E

NFD SA de CV

Fideicomiso Irrevocable 4594

Grupo Nagoin SA de CV

Prologis Property Mexico SA de CV

Terrafina

Fideicomiso Hipotecario FHIPO

Concentradora Fibra Hotelera Mexicana SA de CV

Proyectos Inmobiliarios Carne Mart SA de CV

Why is Acosta Verde SAB de CV ?

Weak Long Term Fundamental Strength with an average Return on Equity (ROE) of 2.36%

The company has been able to generate a Return on Equity (avg) of 2.36% signifying low profitability per unit of shareholders funds

Healthy long term growth as Net Sales has grown by an annual rate of 14.54% and Operating profit at 37.54%

The company has declared positive results in Mar'2026 after 2 consecutive negative quarters

INTEREST COVERAGE RATIO(Q) Highest at 349.72
DIVIDEND PAYOUT RATIO(Y) Highest at 237.59%
RAW MATERIAL COST(Y) Fallen by -1.05% (YoY)

With ROE of 3.64%, it has a fair valuation with a 0.97 Price to Book Value

The stock is trading at a premium compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -16.20%, its profits have fallen by -24.8%

Below par performance in long term as well as near term

Along with generating -16.20% returns in the last 1 year, the stock has also underperformed Mexico IPC in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Acosta Verde SAB de CV should be less than 10%
Overall Portfolio exposure to Realty should be less than 30%

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

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

Is Acosta Verde SAB de CV for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Acosta Verde SAB de CV

-16.2%

-0.76

21.28%

Mexico IPC

11.57%

0.71

19.23%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

14.54%

EBIT Growth (5y)

37.54%

EBIT to Interest (avg)

1.98

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

Tax Ratio

23.48%

Dividend Payout Ratio

120.14%

Pledged Shares

Institutional Holding

ROCE (avg)

14.29%

ROE (avg)

2.36%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

0.97

EV to EBIT

7.86

EV to EBITDA

7.65

EV to Capital Employed

0.97

EV to Sales

5.13

PEG Ratio

Dividend Yield

ROCE (Latest)

12.32%

ROE (Latest)

3.64%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

Bearish

Bollinger Bands

Mildly Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

No Trend

OBV

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

10What is working for the Company

INTEREST COVERAGE RATIO(Q)

Highest at 349.72

DIVIDEND PAYOUT RATIO(Y)

Highest at 237.59%

RAW MATERIAL COST(Y)

Fallen by -1.05% (YoY

DEBTORS TURNOVER RATIO(HY)

Highest at 9.18 times

DIVIDEND PER SHARE(HY)

Highest at MXN 9.18

NET SALES(Q)

Highest at MXN 451.7 MM

PRE-TAX PROFIT(Q)

Highest at MXN 257.3 MM

NET PROFIT(Q)

Highest at MXN 149.47 MM

EPS(Q)

Highest at MXN 4.81

-5What is not working for the Company

NET PROFIT(9M)

At MXN 313.14 MM has Grown at -41.08%

ROCE(HY)

Lowest at 7.93%

CASH AND EQV(HY)

Lowest at MXN 3,581.97 MM

Here's what is working for Acosta Verde SAB de CV

Interest Coverage Ratio

Highest at 349.72

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Net Sales

Highest at MXN 451.7 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (MXN MM)

Pre-Tax Profit

Highest at MXN 257.3 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (MXN MM)

Net Profit

Highest at MXN 149.47 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (MXN MM)

EPS

Highest at MXN 4.81

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (MXN)

Debtors Turnover Ratio

Highest at 9.18 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Dividend per share

Highest at MXN 9.18

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (MXN)

Dividend Payout Ratio

Highest at 237.59%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Raw Material Cost

Fallen by -1.05% (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 Acosta Verde SAB de CV

Cash and Eqv

Lowest at MXN 3,581.97 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents