Avanceon Ltd. (AVN) 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

Systems Ltd.

Avanceon Ltd.

Why is Avanceon Ltd. ?

Company has a low Debt to Equity ratio (avg) at 0 times

Positive results in Mar 25

PRE-TAX PROFIT(Q) At PKR 284.59 has Grown at 621.73%
NET PROFIT(Q) At PKR 266.82 MM has Grown at 1,490.69%
RAW MATERIAL COST(Y) Fallen by -10.24% (YoY)

With ROE of 16.2, it has a expensive valuation with a 1.5 Price to Book Value

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 0%, its profits have risen by 24.6% ; the PEG ratio of the company is 0.7

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 Electronics & Appliances)

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

Is Avanceon Ltd. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Avanceon Ltd.

-100.0%

-0.16

40.01%

Pakistan KSE 100 Share

26.26%

2.81

22.77%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

20.95%

EBIT Growth (5y)

3.70%

EBIT to Interest (avg)

3.15

Debt to EBITDA (avg)

0.11

Net Debt to Equity (avg)

0.08

Sales to Capital Employed (avg)

1.09

Tax Ratio

Tax Ratio is Negative%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

10.51%

ROE (avg)

16.21%

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

1.39

EV to EBIT

12.78

EV to EBITDA

11.03

EV to Capital Employed

1.34

EV to Sales

1.37

PEG Ratio

0.19

Dividend Yield

ROCE (Latest)

10.50%

ROE (Latest)

15.09%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

Bullish

Bollinger Bands

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

0What is working for the Company

NO KEY POSITIVE TRIGGERS

-36What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at PKR -468.13 MM

ROCE(HY)

Lowest at 11.78%

RAW MATERIAL COST(Y)

Grown by 32.81% (YoY

DEBT-EQUITY RATIO (HY)

Highest at 12.58 %

INVENTORY TURNOVER RATIO(HY)

Lowest at 17.94 times

DEBTORS TURNOVER RATIO(HY)

Lowest at 1.05 times

NET SALES(Q)

Lowest at PKR 2,166.21 MM

OPERATING PROFIT(Q)

Lowest at PKR -52.64 MM

OPERATING PROFIT MARGIN(Q)

Lowest at -2.43 %

PRE-TAX PROFIT(Q)

Lowest at PKR -307.45 MM

NET PROFIT(Q)

Lowest at PKR -310.63 MM

EPS(Q)

Lowest at PKR -0.74

Here's what is not working for Avanceon Ltd.

Net Sales

At PKR 2,166.21 MM has Fallen at -44.2%

Year on Year (YoY)

MOJO Watch

Near term sales trend is extremely negative

Net Sales (PKR MM)

Pre-Tax Profit

At PKR -307.45 MM has Fallen at -195.18%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (PKR MM)

Net Profit

At PKR -310.63 MM has Fallen at -200.62%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (PKR MM)

Operating Cash Flow

Lowest at PKR -468.13 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (PKR MM)

Net Sales

Lowest at PKR 2,166.21 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (PKR MM)

Operating Profit

Lowest at PKR -52.64 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (PKR MM)

Operating Profit Margin

Lowest at -2.43 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at PKR -307.45 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (PKR MM)

Net Profit

Lowest at PKR -310.63 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (PKR MM)

EPS

Lowest at PKR -0.74

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (PKR)

Debt-Equity Ratio

Highest at 12.58 %

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

Inventory Turnover Ratio

Lowest at 17.94 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Debtors Turnover Ratio

Lowest at 1.05 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Raw Material Cost

Grown by 32.81% (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