Autodesk, Inc. (ADSK) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Intuit, Inc.

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Roper Technologies, Inc.

Autodesk, Inc.

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Shopify, Inc.

Snowflake, Inc.

Synopsys, Inc.

VMware, Inc.

Activision Blizzard, Inc.

Why is Autodesk, Inc. ?

Strong Long Term Fundamental Strength with an average Return on Capital Employed (ROCE) of 50.84%

Healthy long term growth as Net Sales has grown by an annual rate of 13.29% and Operating profit at 19.78%
Strong ability to service debt as the company has a low Debt to EBITDA ratio of 0.59 times

Flat results in Jul 25

INTEREST(9M) At USD 2 MM has Grown at inf%
ROCE(HY) Lowest at 40.2%
RAW MATERIAL COST(Y) Grown by 6.9% (YoY)

With ROCE of 44.87%, it has a very expensive valuation with a 21.91 Enterprise value to Capital Employed

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -7.81%, its profits have risen by 9.2% ; the PEG ratio of the company is 6.6

High Institutional Holdings at 94.36%

These investors have better capability and resources to analyse fundamentals of companies than most retail investors.

Below par performance in long term as well as near term

Along with generating -7.81% returns in the last 1 year, the stock has also underperformed S&P 500 in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Autodesk, Inc. should be less than 10%
Overall Portfolio exposure to Software Products should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Software Products)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Autodesk, Inc. for you?

Low Risk, High Return

Absolute

Risk Adjusted

Volatility

Autodesk, Inc.

2.3%

1.20

29.19%

S&P 500

13.22%

0.61

20.17%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

13.29%

EBIT Growth (5y)

19.78%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

0.59

Net Debt to Equity (avg)

0.12

Sales to Capital Employed (avg)

1.30

Tax Ratio

22.69%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

94.36%

ROCE (avg)

50.84%

ROE (avg)

75.33%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

24.35

EV to EBIT

48.84

EV to EBITDA

42.72

EV to Capital Employed

21.91

EV to Sales

10.12

PEG Ratio

6.56

Dividend Yield

ROCE (Latest)

44.87%

ROE (Latest)

42.93%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Dow Theory

No Trend

Mildly Bearish

OBV

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

6What is working for the Company

CASH AND EQV(HY)

Highest at USD 4,276 MM

DEBT-EQUITY RATIO (HY)

Lowest at 18.34 %

NET SALES(Q)

Highest at USD 1,758 MM

PRE-TAX PROFIT(Q)

Highest at USD 461 MM

NET PROFIT(Q)

Highest at USD 316.43 MM

EPS(Q)

Highest at USD 1.46

-7What is not working for the Company

INTEREST(9M)

At USD 2 MM has Grown at inf%

ROCE(HY)

Lowest at 40.2%

RAW MATERIAL COST(Y)

Grown by 6.9% (YoY

Here's what is working for Autodesk, Inc.

Net Sales

Highest at USD 1,758 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (USD MM)

Pre-Tax Profit

Highest at USD 461 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (USD MM)

Net Profit

Highest at USD 316.43 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (USD MM)

EPS

Highest at USD 1.46

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (USD)

Cash and Eqv

Highest at USD 4,276 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio

Lowest at 18.34 %

in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Here's what is not working for Autodesk, Inc.

Interest

At USD 2 MM has Grown at inf%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

Raw Material Cost

Grown by 6.9% (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