Bansei Royal Resorts Hikkaduwa Plc () 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

Hayleys Leisure Plc

Hikkaduwa Beach Resort Ltd.

The Kingsbury Plc

Ceylon Hotels Corp. Plc

Jetwing Symphony PLC

Dolphin Hotels Plc

Browns Beach Hotels Plc

Eden Hotel Lanka Plc

Tal Lanka Hotels Plc

Bansei Royal Resorts Hikkaduwa Plc

Galadari Hotels (Lanka) Plc

Why is Bansei Royal Resorts Hikkaduwa Plc ?

OPERATING CASH FLOW(Y) Lowest at LKR 26.01 MM
ROCE(HY) Lowest at 3.96%
RAW MATERIAL COST(Y) Grown by 12.74% (YoY)

With ROE of 3.99%, it has a very expensive valuation with a 4.27 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 19.89%, its profits have fallen by -51.3%

Underperformed the market in the last 1 year

The stock has generated a return of 19.89% in the last 1 year, much lower than market (Sri Lanka CSE All Share) returns of 61.92%

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 Hotels & Resorts)

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

Is Bansei Royal Resorts Hikkaduwa Plc for you?

High Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Bansei Royal Resorts Hikkaduwa Plc

19.23%

1.28

50.33%

Sri Lanka CSE All Share

60.36%

3.56

17.37%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

19.19%

EBIT Growth (5y)

17.00%

EBIT to Interest (avg)

2.52

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

-0.46

Sales to Capital Employed (avg)

0.42

Tax Ratio

31.06%

Dividend Payout Ratio

75.15%

Pledged Shares

Institutional Holding

ROCE (avg)

6.14%

ROE (avg)

4.60%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

107

Industry P/E

Price to Book Value

4.27

EV to EBIT

125.60

EV to EBITDA

62.65

EV to Capital Employed

4.36

EV to Sales

9.76

PEG Ratio

Dividend Yield

ROCE (Latest)

3.47%

ROE (Latest)

3.99%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bearish

Bollinger Bands

Mildly Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bearish

No Trend

OBV

Mildly Bearish

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

-23What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at LKR 26.01 MM

ROCE(HY)

Lowest at 3.96%

RAW MATERIAL COST(Y)

Grown by 12.74% (YoY

NET SALES(Q)

Lowest at LKR 18.92 MM

OPERATING PROFIT(Q)

Lowest at LKR -3.07 MM

OPERATING PROFIT MARGIN(Q)

Lowest at -16.23 %

PRE-TAX PROFIT(Q)

Lowest at LKR -3.25 MM

NET PROFIT(Q)

Lowest at LKR -2.12 MM

EPS(Q)

Lowest at LKR -0.04

Here's what is working for Bansei Royal Resorts Hikkaduwa Plc

Depreciation

Highest at LKR 3.05 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (LKR MM)

Here's what is not working for Bansei Royal Resorts Hikkaduwa Plc

Pre-Tax Profit

At LKR -3.25 MM has Fallen at -147.22%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (LKR MM)

Net Profit

At LKR -2.12 MM has Fallen at -130.74%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (LKR MM)

Operating Cash Flow

Lowest at LKR 26.01 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (LKR MM)

Net Sales

Lowest at LKR 18.92 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (LKR MM)

Net Sales

Fallen at -32.24%

Year on Year (YoY)

MOJO Watch

Near term sales trend is negative

Net Sales (LKR MM)

Operating Profit

Lowest at LKR -3.07 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (LKR MM)

Operating Profit Margin

Lowest at -16.23 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at LKR -3.25 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (LKR MM)

Net Profit

Lowest at LKR -2.12 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (LKR MM)

EPS

Lowest at LKR -0.04

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (LKR)

Raw Material Cost

Grown by 12.74% (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