AGES Industri AB (AGES B) 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

AGES Industri AB

Gränges AB

Candles Scandinavia AB

Why is AGES Industri AB ?

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

Poor long term growth as Operating profit has grown by an annual rate 69.52% of 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 Capital Employed (avg) of 5.76% signifying low profitability per unit of total capital (equity and debt)

Poor long term growth as Operating profit has grown by an annual rate 69.52% of over the last 5 years

The company has declared Negative results for the last 3 consecutive quarters

OPERATING CASH FLOW(Y) Lowest at SEK 85 MM
INTEREST COVERAGE RATIO(Q) Lowest at 250
INVENTORY TURNOVER RATIO(HY) Lowest at 4.03 times

With ROE of -51.62%, it has a risky valuation with a 1.07 Price to Book Value

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -22.20%, its profits have fallen by -400%

Below par performance in long term as well as near term

Along with generating -22.20% returns in the last 1 year, the stock has also underperformed OMX Stockholm 30 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 AGES Industri AB should be less than 10%
Overall Portfolio exposure to Diversified should be less than 30%

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

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

Is AGES Industri AB for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

AGES Industri AB

-22.2%

-1.19

40.16%

OMX Stockholm 30

10.97%

0.59

18.59%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

1.57%

EBIT Growth (5y)

69.52%

EBIT to Interest (avg)

2.53

Debt to EBITDA (avg)

3.05

Net Debt to Equity (avg)

0.71

Sales to Capital Employed (avg)

1.87

Tax Ratio

0.62%

Dividend Payout Ratio

45.21%

Pledged Shares

Institutional Holding

ROCE (avg)

5.76%

ROE (avg)

5.57%

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

1.07

EV to EBIT

13.26

EV to EBITDA

5.04

EV to Capital Employed

1.05

EV to Sales

0.43

PEG Ratio

Dividend Yield

2.46%

ROCE (Latest)

7.92%

ROE (Latest)

-51.62%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

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

15What is working for the Company

PRE-TAX PROFIT(Q)

At SEK 6 MM has Grown at 115%

NET PROFIT(Q)

At SEK 3 MM has Grown at 107.5%

DIVIDEND PAYOUT RATIO(Y)

Highest at 241.14%

RAW MATERIAL COST(Y)

Fallen by -20.36% (YoY

-8What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at SEK 85 MM

INTEREST COVERAGE RATIO(Q)

Lowest at 250

INVENTORY TURNOVER RATIO(HY)

Lowest at 4.03 times

OPERATING PROFIT(Q)

Lowest at SEK 5 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 2.18 %

Here's what is working for AGES Industri AB

Pre-Tax Profit

At SEK 6 MM has Grown at 115%

over average net sales of the previous four periods of SEK -40 MM

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (SEK MM)

Net Profit

At SEK 3 MM has Grown at 107.5%

over average net sales of the previous four periods of SEK -40 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (SEK MM)

Dividend Payout Ratio

Highest at 241.14%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Raw Material Cost

Fallen by -20.36% (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 AGES Industri AB

Operating Cash Flow

Lowest at SEK 85 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 (SEK MM)

Interest Coverage Ratio

Lowest at 250

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Operating Profit

Lowest at SEK 5 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (SEK MM)

Operating Profit Margin

Lowest at 2.18 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Inventory Turnover Ratio

Lowest at 4.03 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio