ScoreWhy is Cherat Packaging Ltd. ?
1
High Debt Company with a Debt to Equity ratio (avg) at 0 times
- High Debt Company with a Debt to Equity ratio (avg) at 0 times
2
High Debt company with Weak Long Term Fundamental Strength
3
Negative results in Mar 25
- ROCE(HY) Lowest at 5.04%
- PRE-TAX PROFIT(Q) At PKR 91.32 has Fallen at -66.36%
- DEBTORS TURNOVER RATIO(HY) Lowest at 5.05%
4
With ROE of 4.8, it has a expensive valuation with a 0.6 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 0%, its profits have fallen by -60.8%
Real-Time Research ReportHow 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 Packaging)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Cherat Packaging Ltd. for you?
Medium Risk, Low Return
Absolute
Risk Adjusted
Volatility
Cherat Packaging Ltd.
-5.16%
-0.10
38.90%
Pakistan KSE 100 Share
26.26%
2.81
22.77%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
7.30%
EBIT Growth (5y)
-23.51%
EBIT to Interest (avg)
2.57
Debt to EBITDA (avg)
2.42
Net Debt to Equity (avg)
0.36
Sales to Capital Employed (avg)
1.17
Tax Ratio
6.01%
Dividend Payout Ratio
41.32%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
13.79%
ROE (avg)
11.37%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
15
Industry P/E
Price to Book Value
0.58
EV to EBIT
20.33
EV to EBITDA
10.75
EV to Capital Employed
0.69
EV to Sales
0.63
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
3.38%
ROE (Latest)
3.98%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Bearish
RSI
Bullish
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Bearish
Dow Theory
Mildly Bullish
Mildly Bearish
OBV
No Trend
Mildly Bearish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend7What is working for the Company
INVENTORY TURNOVER RATIO(HY)
Highest at 3.5 times
INTEREST COVERAGE RATIO(Q)
Highest at 255.34
RAW MATERIAL COST(Y)
Fallen by -36.53% (YoY
NET SALES(Q)
Highest at PKR 4,010.38 MM
PRE-TAX PROFIT(Q)
At PKR 90.72 MM has Grown at 94.99%
-17What is not working for the Company
OPERATING CASH FLOW(Y)
Lowest at PKR -642.33 MM
NET PROFIT(HY)
At PKR 87.12 MM has Grown at -72.11%
ROCE(HY)
Lowest at 1.45%
INTEREST(Q)
At PKR 94.18 MM has Grown at 16.49%
DEBTORS TURNOVER RATIO(HY)
Lowest at 4.8 times
Here's what is working for Cherat Packaging Ltd.
Interest Coverage Ratio
Highest at 255.34
in the last five periodsMOJO Watch
The company's ability to manage interest payments is improving
Operating Profit to Interest
Inventory Turnover Ratio
Highest at 3.5 times and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Net Sales
Highest at PKR 4,010.38 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (PKR MM)
Pre-Tax Profit
At PKR 90.72 MM has Grown at 94.99%
over average net sales of the previous four periods of PKR 46.52 MMMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (PKR MM)
Raw Material Cost
Fallen by -36.53% (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 Cherat Packaging Ltd.
Net Profit
At PKR 87.12 MM has Grown at -72.11%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is very negative
Net Profit (PKR MM)
Operating Cash Flow
Lowest at PKR -642.33 MM and Fallen
In each year in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (PKR MM)
Interest
At PKR 94.18 MM has Grown at 16.49%
period on period (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (PKR MM)
Debtors Turnover Ratio
Lowest at 4.8 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio
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