American Outdoor Brands, Inc. (AOUT) 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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American Outdoor Brands, Inc.

Why is American Outdoor Brands, Inc. ?

Poor Management Efficiency with a low ROE of 1.63%

The company has been able to generate a Return on Equity (avg) of 1.63% signifying low profitability per unit of shareholders funds

Poor long term growth as Operating profit has grown by an annual rate -179.36% of over the last 5 years

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

NET PROFIT(HY) At USD 1.43 MM has Grown at -56.25%
OPERATING CASH FLOW(Y) Lowest at USD 2.67 MM
INTEREST(HY) At USD 0.24 MM has Grown at 86.05%

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 -8.28%, its profits have fallen by -45.6%

Underperformed the market in the last 1 year

Even though the market (S&P 500) has generated returns of 25.22% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -8.28% returns

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 Media & Entertainment)

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

Is American Outdoor Brands, Inc. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

American Outdoor Brands, Inc.

-2.49%

0.38

48.84%

S&P 500

22.24%

1.91

13.23%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-6.27%

EBIT Growth (5y)

-179.36%

EBIT to Interest (avg)

2.00

Debt to EBITDA (avg)

Net Debt is too low

Net Debt to Equity (avg)

-0.12

Sales to Capital Employed (avg)

1.15

Tax Ratio

12.30%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

82.15%

ROCE (avg)

3.25%

ROE (avg)

1.63%

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

0.69

EV to EBIT

-17.18

EV to EBITDA

15.69

EV to Capital Employed

0.67

EV to Sales

0.52

PEG Ratio

Dividend Yield

ROCE (Latest)

-3.93%

ROE (Latest)

-3.85%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Bearish

RSI

No Signal

Bullish

Bollinger Bands

Mildly Bullish

Bearish

Moving Averages

Bullish (Daily)

KST

Mildly Bearish

Bearish

Dow Theory

No Trend

Mildly Bearish

OBV

Mildly Bearish

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

4What is working for the Company

PRE-TAX PROFIT(Q)

At USD -0.64 MM has Grown at 52.98%

NET PROFIT(Q)

At USD -0.64 MM has Grown at 54.1%

-21What is not working for the Company

NET PROFIT(HY)

At USD 1.43 MM has Grown at -56.25%

OPERATING CASH FLOW(Y)

Lowest at USD 2.67 MM

INTEREST(HY)

At USD 0.24 MM has Grown at 86.05%

RAW MATERIAL COST(Y)

Grown by 8.43% (YoY

CASH AND EQV(HY)

Lowest at USD 13.51 MM

DEBT-EQUITY RATIO (HY)

Highest at 13.5 %

DEBTORS TURNOVER RATIO(HY)

Lowest at 6.32 times

Here's what is working for American Outdoor Brands, Inc.

Pre-Tax Profit

At USD -0.64 MM has Grown at 52.98%

over average net sales of the previous four periods of USD -1.36 MM

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (USD MM)

Net Profit

At USD -0.64 MM has Grown at 54.1%

over average net sales of the previous four periods of USD -1.39 MM

MOJO Watch

Near term Net Profit trend is positive

Net Profit (USD MM)

Here's what is not working for American Outdoor Brands, Inc.

Interest

At USD 0.24 MM has Grown at 86.05%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

Operating Cash Flow

Lowest at USD 2.67 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)

Cash and Eqv

Lowest at USD 13.51 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debt-Equity Ratio

Highest at 13.5 %

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

Debtors Turnover Ratio

Lowest at 6.32 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Raw Material Cost

Grown by 8.43% (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