Atlas Engineered Products Ltd. (AEP) 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

Acadian Timber Corp.

Stella-Jones, Inc.

Interfor Corp.

West Fraser Timber Co. Ltd.

G2 Energy Corp.

Western Forest Products, Inc.

Atlas Engineered Products Ltd.

Canfor Corp.

GreenFirst Forest Products, Inc.

Conifex Timber, Inc.

Why is Atlas Engineered Products Ltd. ?

The company has declared negative results in Mar 26 after 2 consecutive negative quarters

ROCE(HY) Lowest at -2.66%
RAW MATERIAL COST(Y) Grown by 928.12% (YoY)
CASH AND EQV(HY) Lowest at CAD 2.39 MM

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 -32.58%, its profits have fallen by -131.3%

Below par performance in long term as well as near term

Along with generating -32.58% returns in the last 1 year, the stock has also underperformed S&P/TSX 60 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 Atlas Engineered Products Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Atlas Engineered Products Ltd.

-100.0%

-1.23

47.63%

S&P/TSX 60

29.8%

2.24

12.72%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

10.04%

EBIT Growth (5y)

-155.28%

EBIT to Interest (avg)

5.45

Debt to EBITDA (avg)

1.27

Net Debt to Equity (avg)

0.27

Sales to Capital Employed (avg)

0.81

Tax Ratio

25.92%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

0.14%

ROCE (avg)

20.80%

ROE (avg)

15.37%

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

0.90

EV to EBIT

-62.55

EV to EBITDA

11.80

EV to Capital Employed

0.93

EV to Sales

1.03

PEG Ratio

Dividend Yield

ROCE (Latest)

-0.13%

ROE (Latest)

-2.26%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

Bearish

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

No Trend

OBV

No Trend

Mildly Bearish

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

5What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CAD 10.77 MM

NET PROFIT(9M)

Higher at CAD -0.35 MM

-25What is not working for the Company

ROCE(HY)

Lowest at -2.66%

RAW MATERIAL COST(Y)

Grown by 928.12% (YoY

CASH AND EQV(HY)

Lowest at CAD 2.39 MM

INVENTORY TURNOVER RATIO(HY)

Lowest at 5.58 times

NET SALES(Q)

Lowest at CAD 9.3 MM

OPERATING PROFIT(Q)

Lowest at CAD -0.84 MM

OPERATING PROFIT MARGIN(Q)

Lowest at -9.06 %

PRE-TAX PROFIT(Q)

Lowest at CAD -2.33 MM

NET PROFIT(Q)

Lowest at CAD -1.72 MM

EPS(Q)

Lowest at CAD -0.02

Here's what is working for Atlas Engineered Products Ltd.

Operating Cash Flow

Highest at CAD 10.77 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CAD MM)

Here's what is not working for Atlas Engineered Products Ltd.

Net Sales

At CAD 9.3 MM has Fallen at -40.64%

over average net sales of the previous four periods of CAD 15.66 MM

MOJO Watch

Near term sales trend is extremely negative

Net Sales (CAD MM)

Pre-Tax Profit

At CAD -2.33 MM has Fallen at -10,193.75%

over average net sales of the previous four periods of CAD -0.02 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CAD MM)

Net Profit

At CAD -1.72 MM has Fallen at -3,543.42%

over average net sales of the previous four periods of CAD -0.05 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CAD MM)

Net Sales

Lowest at CAD 9.3 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (CAD MM)

Operating Profit

Lowest at CAD -0.84 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CAD MM)

Operating Profit Margin

Lowest at -9.06 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at CAD -2.33 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (CAD MM)

Net Profit

Lowest at CAD -1.72 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CAD MM)

EPS

Lowest at CAD -0.02

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (CAD)

Cash and Eqv

Lowest at CAD 2.39 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Inventory Turnover Ratio

Lowest at 5.58 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Raw Material Cost

Grown by 928.12% (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