Adient plc (ADNT) 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

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Adient plc

Why is Adient plc ?

Poor long term growth as Net Sales has grown by an annual rate of 2.09% over the last 5 years

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

OPERATING CASH FLOW(Y) Lowest at USD 499 MM
ROCE(HY) Lowest at -11.85%
CASH AND EQV(HY) Lowest at USD 1,614 MM

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 -2.22%, its profits have fallen by -54.5%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -2.22% returns in the last 1 year, the stock has also underperformed S&P 500 in each of the last 3 annual periods

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 Auto Components & Equipments)

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

Is Adient plc for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Adient plc

46.43%

-0.62

51.78%

S&P 500

16.12%

0.70

20.15%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

3.14%

EBIT Growth (5y)

19.83%

EBIT to Interest (avg)

1.40

Debt to EBITDA (avg)

3.45

Net Debt to Equity (avg)

1.04

Sales to Capital Employed (avg)

3.31

Tax Ratio

67.89%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

100.00%

ROCE (avg)

7.95%

ROE (avg)

16.65%

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

0.89

EV to EBIT

7.45

EV to EBITDA

4.22

EV to Capital Employed

0.94

EV to Sales

0.22

PEG Ratio

Dividend Yield

ROCE (Latest)

12.68%

ROE (Latest)

9.86%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Mildly Bullish

RSI

Bearish

No Signal

Bollinger Bands

Bearish

Sideways

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

Mildly Bearish

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

3What is working for the Company

INVENTORY TURNOVER RATIO(HY)

Highest at 18.53 times

DEBTORS TURNOVER RATIO(HY)

Highest at 9.62 times

-24What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at USD 415 MM

ROCE(HY)

Lowest at -16.78%

INTEREST COVERAGE RATIO(Q)

Lowest at 266.67

RAW MATERIAL COST(Y)

Grown by 13.3% (YoY

DEBT-EQUITY RATIO (HY)

Highest at 103.34 %

INTEREST(Q)

Highest at USD 60 MM

OPERATING PROFIT(Q)

Lowest at USD 160 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 4.39 %

NET PROFIT(Q)

Lowest at USD -22.66 MM

Here's what is working for Adient plc

Inventory Turnover Ratio

Highest at 18.53 times and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Debtors Turnover Ratio

Highest at 9.62 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Here's what is not working for Adient plc

Net Profit

At USD -22.66 MM has Fallen at -189.38%

over average net sales of the previous four periods of USD 25.35 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (USD MM)

Operating Cash Flow

Lowest at USD 415 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (USD MM)

Interest Coverage Ratio

Lowest at 266.67

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Interest

Highest at USD 60 MM

in the last five periods and Increased by 9.09% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

Operating Profit

Lowest at USD 160 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (USD MM)

Operating Profit Margin

Lowest at 4.39 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Net Profit

Lowest at USD -22.66 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (USD MM)

Debt-Equity Ratio

Highest at 103.34 %

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

Raw Material Cost

Grown by 13.3% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales

Non Operating Income

Highest at USD 1.17 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income