Consorcio ARA SAB de CV (ARA*) 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

Servicios Corporativos Javer SAPI de CV

Consorcio ARA SAB de CV

Corpovael SA de CV

Desarrolladora Homex SAB de CV

Why is Consorcio ARA SAB de CV ?

Negative results in Jun 26

INTEREST(9M) At MXN 85.44 MM has Grown at 25.87%
CASH AND EQV(HY) Lowest at MXN 4,209.98 MM
OPERATING PROFIT MARGIN(Q) Lowest at 10.32 %

Real-Time Research Report

Verdict Report

How 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 Furniture, Home Furnishing)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Consorcio ARA SAB de CV for you?

Medium Risk, High Return

Absolute

Risk Adjusted

Volatility

Consorcio ARA SAB de CV

52.8%

1.76

30.37%

Mexico IPC

14.41%

0.77

19.31%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

9.14%

EBIT Growth (5y)

8.51%

EBIT to Interest (avg)

8.79

Debt to EBITDA (avg)

0.23

Net Debt to Equity (avg)

0.02

Sales to Capital Employed (avg)

0.41

Tax Ratio

8.66%

Dividend Payout Ratio

22.15%

Pledged Shares

Institutional Holding

0.01%

ROCE (avg)

5.04%

ROE (avg)

4.16%

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

0.35

EV to EBIT

7.31

EV to EBITDA

6.16

EV to Capital Employed

0.37

EV to Sales

0.72

PEG Ratio

0.22

Dividend Yield

ROCE (Latest)

5.06%

ROE (Latest)

5.65%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bearish

Bollinger Bands

Bullish

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

No Trend

Mildly Bullish

OBV

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 MXN 491.55 MM

ROCE(HY)

Highest at 5.73%

DEBTORS TURNOVER RATIO(HY)

Highest at 8.37 times

INVENTORY TURNOVER RATIO(HY)

Highest at 0.47 times

-8What is not working for the Company

INTEREST(9M)

At MXN 85.44 MM has Grown at 25.87%

CASH AND EQV(HY)

Lowest at MXN 4,209.98 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 10.32 %

PRE-TAX PROFIT(Q)

Lowest at MXN 206.41 MM

NET PROFIT(Q)

Lowest at MXN 162.26 MM

EPS(Q)

Lowest at MXN 0.13

Here's what is working for Consorcio ARA SAB de CV

Operating Cash Flow

Highest at MXN 491.55 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 (MXN MM)

Debtors Turnover Ratio

Highest at 8.37 times and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Inventory Turnover Ratio

Highest at 0.47 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Here's what is not working for Consorcio ARA SAB de CV

Interest

At MXN 85.44 MM has Grown at 25.87%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (MXN MM)

Operating Profit Margin

Lowest at 10.32 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at MXN 206.41 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (MXN MM)

Net Profit

Lowest at MXN 162.26 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (MXN MM)

Net Profit

At MXN 162.26 MM has Fallen at -30.04%

over average net sales of the previous four periods of MXN 231.92 MM

MOJO Watch

Near term Net Profit trend is negative

Net Profit (MXN MM)

EPS

Lowest at MXN 0.13

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (MXN)

Cash and Eqv

Lowest at MXN 4,209.98 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents