ScoreWhy is AO World Plc ?
1
Strong Long Term Fundamental Strength with a 14.87% CAGR growth in Operating Profits
2
Healthy long term growth as Net Sales has grown by an annual rate of -1.33% and Operating profit at 14.87%
3
The company has declared Positive results for the last 4 consecutive quarters
- DEBTORS TURNOVER RATIO(HY) Highest at 10.45%
- INTEREST COVERAGE RATIO(Q) The company hardly has any interest cost
- RAW MATERIAL COST(Y) Fallen by -10.18% (YoY)
4
With ROE of 22.36%, it has a very expensive valuation with a 4.14 Price to Book Value
- Over the past year, while the stock has generated a return of 1.50%, its profits have risen by 30.9% ; the PEG ratio of the company is 0.6
5
Underperformed the market in the last 1 year
- The stock has generated a return of 1.50% in the last 1 year, much lower than market (FTSE 100) returns of 15.94%
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to AO World Plc should be less than 10%
- Overall Portfolio exposure to E-Retail/ E-Commerce should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in E-Retail/ E-Commerce)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is AO World Plc for you?
Medium Risk, Low Return
Absolute
Risk Adjusted
Volatility
AO World Plc
1.5%
-0.02
29.95%
FTSE 100
15.94%
1.23
12.99%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
-1.33%
EBIT Growth (5y)
14.87%
EBIT to Interest (avg)
4.54
Debt to EBITDA (avg)
0.48
Net Debt to Equity (avg)
-0.05
Sales to Capital Employed (avg)
8.87
Tax Ratio
52.91%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0.01%
ROCE (avg)
29.17%
ROE (avg)
16.18%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
19
Industry P/E
Price to Book Value
4.14
EV to EBIT
13.48
EV to EBITDA
8.34
EV to Capital Employed
4.30
EV to Sales
0.52
PEG Ratio
0.61
Dividend Yield
NA
ROCE (Latest)
31.93%
ROE (Latest)
22.36%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bullish
Sideways
Moving Averages
Bullish (Daily)
KST
Bullish
Mildly Bearish
Dow Theory
Mildly Bullish
Mildly Bullish
OBV
No Trend
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend11What is working for the Company
DEBTORS TURNOVER RATIO(HY)
Highest at 10.45%
INTEREST COVERAGE RATIO(Q)
The company hardly has any interest cost
RAW MATERIAL COST(Y)
Fallen by -10.18% (YoY
NET SALES(Q)
Highest at GBP 625.4 MM
OPERATING PROFIT(Q)
Highest at GBP 60.9 MM
OPERATING PROFIT MARGIN(Q)
Highest at 9.74 %
PRE-TAX PROFIT(Q)
Highest at GBP 46 MM
-7What is not working for the Company
ROCE(HY)
Lowest at 6.87%
NET PROFIT(Q)
Lowest at GBP -14.64 MM
EPS(Q)
Lowest at GBP -0
Here's what is working for AO World Plc
Pre-Tax Profit
At GBP 46 MM has Grown at 118.01%
Year on Year (YoY)MOJO Watch
Near term Pre-Tax Profit trend is very positive
Pre-Tax Profit (GBP MM)
Debtors Turnover Ratio
Highest at 10.45% and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Net Sales
Highest at GBP 625.4 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (GBP MM)
Operating Profit
Highest at GBP 60.9 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (GBP MM)
Operating Profit Margin
Highest at 9.74 %
in the last five periodsMOJO Watch
Company's profit margin has improved
Operating Profit to Sales
Pre-Tax Profit
Highest at GBP 46 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (GBP MM)
Raw Material Cost
Fallen by -10.18% (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 AO World Plc
Net Profit
At GBP -14.64 MM has Fallen at -195.66%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is very negative
Net Profit (GBP MM)
Net Profit
Lowest at GBP -14.64 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is negative
Net Profit (GBP MM)
EPS
Lowest at GBP -0
in the last five periodsMOJO Watch
Declining profitability; company has created lower earnings for shareholders
EPS (GBP)
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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