BHG Group AB (BHG) 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

Bokusgruppen AB

Synsam AB

BHG Group AB

Ferronordic AB

Bilia AB

Söder Sportfiske AB

ChargePanel AB

Desenio Group AB

Lyko Group AB

Anima Group AB

Why is BHG Group AB ?

Low ability to service debt as the company has a high Debt to EBITDA ratio of 2.76 times

Low ability to service debt as the company has a high Debt to EBITDA ratio of 2.76 times
The company has been able to generate a Return on Equity (avg) of 4.07% signifying low profitability per unit of shareholders funds

Healthy long term growth as Net Sales has grown by an annual rate of 3.37%

Flat results in Mar 26

RAW MATERIAL COST(Y) Grown by 105.42% (YoY)
CASH AND EQV(HY) Lowest at SEK 650 MM
OPERATING PROFIT(Q) Lowest at SEK 128.6 MM

With ROE of 4.41%, it has a attractive valuation with a 0.75 Price to Book Value

Over the past year, while the stock has generated a return of -7.77%, its profits have risen by 142% ; the PEG ratio of the company is 0.1

Underperformed the market in the last 1 year

Even though the market (OMX Stockholm 30) has generated returns of 30.13% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -7.77% returns

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to BHG Group AB should be less than 10%
Overall Portfolio exposure to Retailing should be less than 30%

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

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

Is BHG Group AB for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

BHG Group AB

-7.77%

0.63

36.62%

OMX Stockholm 30

30.13%

1.89

15.95%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

3.37%

EBIT Growth (5y)

-11.07%

EBIT to Interest (avg)

2.36

Debt to EBITDA (avg)

4.97

Net Debt to Equity (avg)

0.33

Sales to Capital Employed (avg)

1.29

Tax Ratio

1.83%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

4.55%

ROE (avg)

4.07%

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

0.75

EV to EBIT

16.55

EV to EBITDA

7.60

EV to Capital Employed

0.80

EV to Sales

0.57

PEG Ratio

0.12

Dividend Yield

ROCE (Latest)

4.86%

ROE (Latest)

4.41%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

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

13What is working for the Company

NET PROFIT(HY)

Higher at SEK 22.5 MM

ROCE(HY)

Highest at 1.88%

DEBT-EQUITY RATIO (HY)

Lowest at 36.29 %

DEBTORS TURNOVER RATIO(HY)

Highest at 20.97 times

-13What is not working for the Company

RAW MATERIAL COST(Y)

Grown by 105.42% (YoY

CASH AND EQV(HY)

Lowest at SEK 650 MM

OPERATING PROFIT(Q)

Lowest at SEK 128.6 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 5.73 %

PRE-TAX PROFIT(Q)

Lowest at SEK -2.8 MM

NET PROFIT(Q)

Lowest at SEK -17.2 MM

EPS(Q)

Lowest at SEK -0.1

Here's what is working for BHG Group AB

Debt-Equity Ratio

Lowest at 36.29 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Debtors Turnover Ratio

Highest at 20.97 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Here's what is not working for BHG Group AB

Pre-Tax Profit

At SEK -2.8 MM has Fallen at -103.78%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (SEK MM)

Net Profit

At SEK -17.2 MM has Fallen at -124.16%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (SEK MM)

Operating Profit

Lowest at SEK 128.6 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (SEK MM)

Operating Profit Margin

Lowest at 5.73 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at SEK -2.8 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (SEK MM)

Net Profit

Lowest at SEK -17.2 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (SEK MM)

EPS

Lowest at SEK -0.1

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (SEK)

Cash and Eqv

Lowest at SEK 650 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Raw Material Cost

Grown by 105.42% (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