Better Collective A/S (BETCO) 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

Loomis AB

Coor Service Management Holding AB

Karnov Group AB

Securitas AB

AFRY AB

Green Landscaping Group AB

Sdiptech AB

Better Collective A/S

BTS Group AB

Intrum AB

Knowit AB

Why is Better Collective A/S ?

Low ability to service debt as the company has a high Debt to EBITDA ratio of 2.58 times

Low ability to service debt as the company has a high Debt to EBITDA ratio of 2.58 times

Flat results in Mar 26

OPERATING CASH FLOW(Y) Lowest at SEK 639.59 MM
DEBT-EQUITY RATIO (HY) Highest at 40.29 %
INTEREST(Q) At SEK 61.39 MM has Grown at 37.07%

With ROE of 4.97%, it has a very expensive valuation with a 1.19 Price to Book Value

The stock is trading at a premium compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -11.01%, its profits have fallen by -31.4%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -11.01% returns in the last 1 year, the stock has also underperformed OMX Stockholm 30 in each of the last 3 annual periods

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 Miscellaneous)

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

Is Better Collective A/S for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Better Collective A/S

-11.01%

-1.42

32.55%

OMX Stockholm 30

27.7%

1.79

15.50%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

31.35%

EBIT Growth (5y)

16.39%

EBIT to Interest (avg)

4.55

Debt to EBITDA (avg)

1.87

Net Debt to Equity (avg)

0.35

Sales to Capital Employed (avg)

0.40

Tax Ratio

25.57%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

0.00%

ROCE (avg)

9.68%

ROE (avg)

9.66%

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

1.19

EV to EBIT

16.00

EV to EBITDA

9.62

EV to Capital Employed

1.14

EV to Sales

2.91

PEG Ratio

Dividend Yield

ROCE (Latest)

7.10%

ROE (Latest)

4.97%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Mildly Bullish

Dow Theory

Mildly Bullish

OBV

No Trend

Mildly Bullish

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

1What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -10.8% (YoY

-9What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at SEK 639.59 MM

DEBT-EQUITY RATIO (HY)

Highest at 40.29 %

INTEREST(Q)

At SEK 61.39 MM has Grown at 37.07%

CASH AND EQV(HY)

Lowest at SEK 367.5 MM

DEBTORS TURNOVER RATIO(HY)

Lowest at 4.31 times

Here's what is working for Better Collective A/S

Raw Material Cost

Fallen by -10.8% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Here's what is not working for Better Collective A/S

Operating Cash Flow

Lowest at SEK 639.59 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (SEK MM)

Interest

At SEK 61.39 MM has Grown at 37.07%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (SEK MM)

Debt-Equity Ratio

Highest at 40.29 % 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 SEK 367.5 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debtors Turnover Ratio

Lowest at 4.31 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio