Clarus Corp. (CLAR) 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

Johnson Outdoors, Inc.

Winnebago Industries, Inc.

Topgolf Callaway Brands Corp.

Clarus Corp.

Vista Outdoor, Inc.

Sturm, Ruger & Co., Inc.

Marine Products Corp.

Mastercraft Boat Holdings, Inc.

Funko, Inc.

Malibu Boats, Inc.

LiveWire Group, Inc.

Why is Clarus Corp. ?

Weak Long Term Fundamental Strength with an average Return on Capital Employed (ROCE) of 3.27%

The company has declared positive results for the last 3 consecutive quarters

RAW MATERIAL COST(Y) Fallen by -10.11% (YoY)
INVENTORY TURNOVER RATIO(HY) Highest at 2.11 times
DEBTORS TURNOVER RATIO(HY) Highest at 5.4 times

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of -11.58%, its profits have risen by 75.7%

High Institutional Holdings at 68.33%

These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
Their stake has increased by 2.27% over the previous quarter.

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -11.58% 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 Clarus Corp. should be less than 10%
Overall Portfolio exposure to Media & Entertainment should be less than 30%

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

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

Is Clarus Corp. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Clarus Corp.

-11.58%

-1.08

49.01%

S&P 500

20.78%

1.56

13.28%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

2.37%

EBIT Growth (5y)

-225.92%

EBIT to Interest (avg)

-1.11

Debt to EBITDA (avg)

1.27

Net Debt to Equity (avg)

-0.16

Sales to Capital Employed (avg)

0.95

Tax Ratio

25.82%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

68.33%

ROCE (avg)

3.27%

ROE (avg)

4.70%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

0.58

EV to EBIT

-3.86

EV to EBITDA

-9.67

EV to Capital Employed

0.49

EV to Sales

0.32

PEG Ratio

Dividend Yield

0.00%

ROCE (Latest)

-12.67%

ROE (Latest)

-4.62%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bullish

Dow Theory

No Trend

OBV

Mildly Bullish

No Trend

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

16What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -10.11% (YoY

INVENTORY TURNOVER RATIO(HY)

Highest at 2.11 times

DEBTORS TURNOVER RATIO(HY)

Highest at 5.4 times

PRE-TAX PROFIT(Q)

Highest at USD -0.82 MM

NET PROFIT(Q)

At USD -1.04 MM has Grown at 54.1%

-3What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at USD -6.8 MM

Here's what is working for Clarus Corp.

Pre-Tax Profit

At USD -0.82 MM has Grown at 83.31%

over average net sales of the previous four periods of USD -4.9 MM

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (USD MM)

Pre-Tax Profit

Highest at USD -0.82 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (USD MM)

Net Profit

At USD -1.04 MM has Grown at 54.1%

over average net sales of the previous four periods of USD -2.27 MM

MOJO Watch

Near term Net Profit trend is positive

Net Profit (USD MM)

Inventory Turnover Ratio

Highest at 2.11 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 5.4 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 -10.11% (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 Clarus Corp.

Operating Cash Flow

Lowest at USD -6.8 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (USD MM)