ScoreComparison
Why is Central Finance Co. Plc ?
1
Weak Long Term Fundamental Strength with an average Return on Equity (ROE) of 12.51%
- Poor long term growth as Net Sales has grown by an annual rate of -2.27% and Operating profit at -2.52%
2
Flat results in Dec 25
- DEBTORS TURNOVER RATIO(HY) Lowest at 15.58 times
- DEBT-EQUITY RATIO (HY) Highest at 17.71 %
- INVENTORY TURNOVER RATIO(HY) Lowest at 3.34 times
3
With ROE of 13.30%, it has a very attractive valuation with a 0.87 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 23.82%, its profits have risen by 24.3% ; the PEG ratio of the company is 0.3
4
Underperformed the market in the last 1 year
- The stock has generated a return of 23.82% in the last 1 year, much lower than market (Sri Lanka CSE All Share) returns of 41.16%
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Central Finance Co. Plc should be less than 10%
- Overall Portfolio exposure to Finance should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Finance)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Central Finance Co. Plc for you?
Medium Risk, High Return
Absolute
Risk Adjusted
Volatility
Central Finance Co. Plc
-100.0%
4.23
28.24%
Sri Lanka CSE All Share
41.16%
2.63
15.67%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
-2.27%
EBIT Growth (5y)
-2.52%
EBIT to Interest (avg)
100.00
Debt to EBITDA (avg)
Negative Net Debt
Net Debt to Equity (avg)
0
Sales to Capital Employed (avg)
0.29
Tax Ratio
35.80%
Dividend Payout Ratio
14.89%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
14.77%
ROE (avg)
12.51%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
7
Industry P/E
Price to Book Value
0.87
EV to EBIT
7.86
EV to EBITDA
7.24
EV to Capital Employed
0.87
EV to Sales
3.31
PEG Ratio
0.27
Dividend Yield
0.03%
ROCE (Latest)
11.02%
ROE (Latest)
13.30%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Mildly Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Bearish
Bullish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
No Trend
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend3What is working for the Company
OPERATING CASH FLOW(Y)
Highest at LKR 44,055.27 MM
-7What is not working for the Company
DEBTORS TURNOVER RATIO(HY)
Lowest at 15.58 times
DEBT-EQUITY RATIO
(HY)
Highest at 17.71 %
INVENTORY TURNOVER RATIO(HY)
Lowest at 3.34 times
PRE-TAX PROFIT(Q)
Lowest at LKR 2,251.96 MM
NET PROFIT(Q)
Lowest at LKR 2,304.82 MM
EPS(Q)
Lowest at LKR 10.14
Here's what is working for Central Finance Co. Plc
Operating Cash Flow
Highest at LKR 44,055.27 MM and Grown
In each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (LKR MM)
Here's what is not working for Central Finance Co. Plc
Debtors Turnover Ratio
Lowest at 15.58 times and Fallen
In each half year in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio
Pre-Tax Profit
Lowest at LKR 2,251.96 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is negative
Pre-Tax Profit (LKR MM)
Net Profit
Lowest at LKR 2,304.82 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is negative
Net Profit (LKR MM)
EPS
Lowest at LKR 10.14
in the last five periodsMOJO Watch
Declining profitability; company has created lower earnings for shareholders
EPS (LKR)
Debt-Equity Ratio
Highest at 17.71 %
in the last five Semi-Annual periodsMOJO 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 3.34 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling inventory has slowed
Inventory Turnover Ratio
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