Arctic Paper SA (ATC) 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

Kompap SA

Arctic Paper SA

Why is Arctic Paper SA ?

Poor long term growth as Net Sales has grown by an annual rate of 2.52% over the last 5 years

The company has declared Negative results for the last 12 consecutive quarters

NET PROFIT(HY) At PLN -64.3 MM has Grown at -753.56%
INTEREST(HY) At PLN 33.52 MM has Grown at 63.57%
ROCE(HY) Lowest at -7.56%

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 -45.37%, its profits have fallen by -432.1%

Below par performance in long term as well as near term

Along with generating -45.37% returns in the last 1 year, the stock has also underperformed Poland WIG in the last 3 years, 1 year and 3 months

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 Paper, Forest & Jute Products)

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

Is Arctic Paper SA for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Arctic Paper SA

-100.0%

-2.78

26.56%

Poland WIG

29.57%

1.72

17.21%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

2.52%

EBIT Growth (5y)

-223.15%

EBIT to Interest (avg)

25.30

Debt to EBITDA (avg)

0.22

Net Debt to Equity (avg)

0.06

Sales to Capital Employed (avg)

2.03

Tax Ratio

16.44%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

27.19%

ROE (avg)

20.48%

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

0.29

EV to EBIT

-2.22

EV to EBITDA

-9.07

EV to Capital Employed

0.38

EV to Sales

0.18

PEG Ratio

Dividend Yield

ROCE (Latest)

-16.94%

ROE (Latest)

-13.41%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

Bullish

Bollinger Bands

Mildly Bearish

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

Mildly Bullish

Mildly Bearish

OBV

Mildly Bullish

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

2What is working for the Company

INVENTORY TURNOVER RATIO(HY)

Highest at 6.45 times

-18What is not working for the Company

NET PROFIT(HY)

At PLN -64.3 MM has Grown at -753.56%

INTEREST(HY)

At PLN 33.52 MM has Grown at 63.57%

ROCE(HY)

Lowest at -7.56%

DEBT-EQUITY RATIO (HY)

Highest at 13.33 %

RAW MATERIAL COST(Y)

Grown by 42.87% (YoY

CASH AND EQV(HY)

Lowest at PLN 269.18 MM

Here's what is working for Arctic Paper SA

Inventory Turnover Ratio

Highest at 6.45 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

Here's what is not working for Arctic Paper SA

Net Profit

At PLN -64.3 MM has Grown at -753.56%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (PLN MM)

Interest

At PLN 33.52 MM has Grown at 63.57%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (PLN MM)

Debt-Equity Ratio

Highest at 13.33 % and Grown

In each half year 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

Cash and Eqv

Lowest at PLN 269.18 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Raw Material Cost

Grown by 42.87% (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