BT Group Plc (BT.A) 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

Gamma Communications Plc

BT Group Plc

Mobile Streams Plc

Maintel Holdings Plc

Zegona Communications Plc

Bigblu Broadband Plc

Why is BT Group Plc ?

High Management Efficiency with a high ROCE of 34.47%

The company is Net-Debt Free

Poor long term growth as Operating profit has grown by an annual rate -11.53% of over the last 5 years
The company is Net-Debt Free

Poor long term growth as Operating profit has grown by an annual rate -11.53% of over the last 5 years

Positive results in Mar 26

OPERATING CASH FLOW(Y) Highest at GBP 12,282 MM
ROCE(HY) Highest at 8.46%
RAW MATERIAL COST(Y) Fallen by -4.37% (YoY)

With ROE of 19.75%, it has a expensive valuation with a 1.55 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 2.38%, its profits have fallen by -9.3%

Underperformed the market in the last 1 year

The stock has generated a return of 2.38% in the last 1 year, much lower than market (FTSE 100) returns of 17.87%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to BT Group Plc should be less than 10%
Overall Portfolio exposure to Telecom - Services should be less than 30%

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

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

Is BT Group Plc for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

BT Group Plc

2.38%

-0.91

27.27%

FTSE 100

17.87%

1.52

11.77%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

1.01%

EBIT Growth (5y)

-11.53%

EBIT to Interest (avg)

6.74

Debt to EBITDA (avg)

1.28

Net Debt to Equity (avg)

1.28

Sales to Capital Employed (avg)

0.73

Tax Ratio

22.32%

Dividend Payout Ratio

75.84%

Pledged Shares

Institutional Holding

0.00%

ROCE (avg)

34.47%

ROE (avg)

94.69%

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

1.55

EV to EBIT

9.20

EV to EBITDA

4.89

EV to Capital Employed

1.23

EV to Sales

1.55

PEG Ratio

Dividend Yield

418.13%

ROCE (Latest)

13.41%

ROE (Latest)

19.75%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

Mildly Bearish

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

8What is working for the Company

OPERATING CASH FLOW(Y)

Highest at GBP 12,282 MM

ROCE(HY)

Highest at 8.46%

RAW MATERIAL COST(Y)

Fallen by -4.37% (YoY

INVENTORY TURNOVER RATIO(HY)

Highest at 45.51 times

DEBTORS TURNOVER RATIO(HY)

Highest at 5.54 times

-3What is not working for the Company

INTEREST COVERAGE RATIO(Q)

Lowest at 668.4

CASH AND EQV(HY)

Lowest at GBP 2,123 MM

Here's what is working for BT Group Plc

Operating Cash Flow

Highest at GBP 12,282 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (GBP MM)

Inventory Turnover Ratio

Highest at 45.51 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Debtors Turnover Ratio

Highest at 5.54 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by -4.37% (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 BT Group Plc

Interest Coverage Ratio

Lowest at 668.4

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Cash and Eqv

Lowest at GBP 2,123 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents