CI&T, Inc. (Brazil) () 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

Solaris Oilfield Infrastructure, Inc.

TruBridge, Inc.

Telos Corp.

MediaAlpha, Inc.

Blend Labs, Inc.

NETGEAR, Inc.

CI&T, Inc. (Brazil)

Upland Software, Inc.

Unisys Corp.

Rimini Street, Inc.

Cibus, Inc.

Why is CI&T, Inc. (Brazil) ?

High Management Efficiency with a high ROCE of 131.37%

Strong ability to service debt as the company has a low Debt to EBITDA ratio of 0.91 times

Poor long term growth as Net Sales has grown by an annual rate of -40.10% over the last 5 years

Flat results in Jun 25

INTEREST(9M) At USD 15 MM has Grown at 29.46%
RAW MATERIAL COST(Y) Grown by 8.09% (YoY)

With ROCE of 16.20%, it has a attractive valuation with a 2.33 Enterprise value to Capital Employed

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 -31.04%, its profits have risen by 34.2% ; the PEG ratio of the company is 0.9

High Institutional Holdings at 78.97%

These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
Their stake has increased by 7.15% over the previous quarter.

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -31.04% returns in the last 1 year, the stock has also underperformed S&P 500 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to CI&T, Inc. (Brazil) should be less than 10%
Overall Portfolio exposure to Computers - Software & Consulting should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Computers - Software & Consulting)

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

Is CI&T, Inc. (Brazil) for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

CI&T, Inc. (Brazil)

-21.56%

-0.12

43.90%

S&P 500

13.68%

0.70

20.15%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-33.30%

EBIT Growth (5y)

-4.43%

EBIT to Interest (avg)

6.42

Debt to EBITDA (avg)

0.91

Net Debt to Equity (avg)

0.28

Sales to Capital Employed (avg)

1.00

Tax Ratio

32.52%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

67.29%

ROCE (avg)

131.37%

ROE (avg)

70.51%

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

2.43

EV to EBIT

13.47

EV to EBITDA

10.54

EV to Capital Employed

2.09

EV to Sales

1.79

PEG Ratio

0.56

Dividend Yield

ROCE (Latest)

15.50%

ROE (Latest)

11.87%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Bearish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Bearish

Moving Averages

Bearish (Daily)

KST

Bullish

Bearish

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

4What is working for the Company

INTEREST COVERAGE RATIO(Q)

Highest at 561.28

NET SALES(Q)

Highest at USD 127.31 MM

OPERATING PROFIT(Q)

Highest at USD 21.62 MM

-3What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at USD 51.8 MM

RAW MATERIAL COST(Y)

Grown by 8.04% (YoY

Here's what is working for CI&T, Inc. (Brazil)

Interest Coverage Ratio

Highest at 561.28

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Net Sales

Highest at USD 127.31 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (USD MM)

Operating Profit

Highest at USD 21.62 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (USD MM)

Depreciation

Highest at USD 4.69 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (USD MM)

Here's what is not working for CI&T, Inc. (Brazil)

Operating Cash Flow

Lowest at USD 51.8 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (USD MM)

Raw Material Cost

Grown by 8.04% (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