Why is Answear.com SA ?
1
The company is Net-Debt Free
- Poor long term growth as Operating profit has grown by an annual rate 42.26% of over the last 5 years
- The company is Net-Debt Free
- The company has been able to generate a Return on Equity (avg) of 10.72% signifying low profitability per unit of shareholders funds
2
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 -40.96%, its profits have risen by 276.6% ; the PEG ratio of the company is 0.1
3
Below par performance in long term as well as near term
- Along with generating -40.96% returns in the last 1 year, the stock has also underperformed Poland WIG in the last 3 years, 1 year and 3 months
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 E-Retail/ E-Commerce)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Answear.com SA for you?
Medium Risk, Low Return
Absolute
Risk Adjusted
Volatility
Answear.com SA
-40.96%
-0.62
31.97%
Poland WIG
27.26%
1.56
17.47%
Quality key factors
Factor
Value
Sales Growth (5y)
44.82%
EBIT Growth (5y)
42.26%
EBIT to Interest (avg)
2.92
Debt to EBITDA (avg)
2.04
Net Debt to Equity (avg)
0.89
Sales to Capital Employed (avg)
3.62
Tax Ratio
45.24%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
15.99%
ROE (avg)
10.72%
Valuation Key Factors 
Factor
Value
P/E Ratio
16
Industry P/E
Price to Book Value
1.87
EV to EBIT
9.13
EV to EBITDA
6.82
EV to Capital Employed
1.44
EV to Sales
0.39
PEG Ratio
0.06
Dividend Yield
NA
ROCE (Latest)
15.75%
ROE (Latest)
11.45%
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Mildly Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Bearish
Dow Theory
No Trend
No Trend
OBV
Mildly Bullish
No Trend
Technical Movement
13What is working for the Company
OPERATING CASH FLOW(Y)
Highest at PLN 206.54 MM
RAW MATERIAL COST(Y)
Fallen by -6.35% (YoY
PRE-TAX PROFIT(Q)
At PLN 1.68 MM has Grown at 120.9%
NET PROFIT(Q)
At PLN 1.43 MM has Grown at 121.1%
-2What is not working for the Company
INTEREST(Q)
At PLN 6.97 MM has Grown at 10.99%
Here's what is working for Answear.com SA
Operating Cash Flow
Highest at PLN 206.54 MM and Grown
In each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (PLN MM)
Pre-Tax Profit
At PLN 1.68 MM has Grown at 120.9%
Year on Year (YoY)MOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (PLN MM)
Net Profit
At PLN 1.43 MM has Grown at 121.1%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is positive
Net Profit (PLN MM)
Raw Material Cost
Fallen by -6.35% (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 Answear.com SA
Interest
At PLN 6.97 MM has Grown at 10.99%
period on period (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (PLN MM)






