Costain Group Plc (COST) 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

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Costain Group Plc

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Petrofac Ltd.

Why is Costain Group Plc ?

Low Debt Company with Strong Long Term Fundamental Strength

With a growth in Net Profit of 62.68%, the company declared Very Positive results in Dec 25

OPERATING CASH FLOW(Y) Highest at GBP 100.2 MM
ROCE(HY) Highest at 15.1%
DIVIDEND PAYOUT RATIO(Y) Highest at 37.47%

With ROE of 15.43%, it has a attractive valuation with a 2.14 Price to Book Value

Over the past year, while the stock has generated a return of 46.19%, its profits have risen by 13.4% ; the PEG ratio of the company is 1

Consistent Returns over the last 3 years

Along with generating 46.19% returns in the last 1 year, the stock has outperformed FTSE 100 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Costain Group Plc should be less than 10%
Overall Portfolio exposure to Construction should be less than 30%

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

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

Is Costain Group Plc for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Costain Group Plc

46.19%

4.02

36.84%

FTSE 100

17.87%

1.52

11.77%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

1.34%

EBIT Growth (5y)

20.99%

EBIT to Interest (avg)

2.63

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.78

Sales to Capital Employed (avg)

5.12

Tax Ratio

16.16%

Dividend Payout Ratio

30.24%

Pledged Shares

Institutional Holding

ROCE (avg)

43.11%

ROE (avg)

8.78%

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

2.14

EV to EBIT

7.20

EV to EBITDA

5.68

EV to Capital Employed

6.74

EV to Sales

0.33

PEG Ratio

0.97

Dividend Yield

2.03%

ROCE (Latest)

93.58%

ROE (Latest)

15.43%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

No Trend

OBV

Mildly Bullish

Mildly Bearish

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

15What is working for the Company

OPERATING CASH FLOW(Y)

Highest at GBP 100.2 MM

ROCE(HY)

Highest at 15.1%

DIVIDEND PAYOUT RATIO(Y)

Highest at 37.47%

RAW MATERIAL COST(Y)

Fallen by -41.92% (YoY

CASH AND EQV(HY)

Highest at GBP 215.3 MM

DIVIDEND PER SHARE(HY)

Highest at GBP 6.28

OPERATING PROFIT(Q)

Highest at GBP 38.5 MM

OPERATING PROFIT MARGIN(Q)

Highest at 7.4 %

PRE-TAX PROFIT(Q)

Highest at GBP 33.5 MM

NET PROFIT(Q)

Highest at GBP 25.5 MM

EPS(Q)

Highest at GBP 0.08

-3What is not working for the Company

NET SALES(Q)

Lowest at GBP 520.3 MM

Here's what is working for Costain Group Plc

Operating Cash Flow

Highest at GBP 100.2 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 (GBP MM)

Operating Profit

Highest at GBP 38.5 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (GBP MM)

Operating Profit Margin

Highest at 7.4 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at GBP 33.5 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (GBP MM)

Pre-Tax Profit

At GBP 33.5 MM has Grown at 48.89%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (GBP MM)

Net Profit

Highest at GBP 25.5 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (GBP MM)

EPS

Highest at GBP 0.08

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (GBP)

Cash and Eqv

Highest at GBP 215.3 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Dividend per share

Highest at GBP 6.28

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (GBP)

Dividend Payout Ratio

Highest at 37.47%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Raw Material Cost

Fallen by -41.92% (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 Costain Group Plc

Net Sales

Lowest at GBP 520.3 MM and Fallen

In each period in the last five periods

MOJO Watch

Near term sales trend is very negative

Net Sales (GBP MM)

Net Sales

Fallen at -14.96%

Year on Year (YoY)

MOJO Watch

Near term sales trend is negative

Net Sales (GBP MM)