Why is Dis-Chem Pharmacies Ltd. ?
1
High Debt Company with a Debt to Equity ratio (avg) at times
- Poor long term growth as Net Sales has grown by an annual rate of 10.39% and Operating profit at 12.91% over the last 5 years
- High Debt Company with a Debt to Equity ratio (avg) at times
- The company has been able to generate a Return on Equity (avg) of 24.62% signifying low profitability per unit of shareholders funds
2
With ROE of 23.37%, it has a Very Expensive valuation with a 5.44 Price to Book Value
- Over the past year, while the stock has generated a return of -4.76%, its profits have risen by 19.5% ; the PEG ratio of the company is 1.2
3
Below par performance in long term as well as near term
- Along with generating -4.76% returns in the last 1 year, the stock has also underperformed FTSE JSE 40 in the last 3 years, 1 year and 3 months
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 Retailing)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Dis-Chem Pharmacies Ltd. for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
Dis-Chem Pharmacies Ltd.
-2.42%
0.60
18.66%
FTSE JSE 40
38.72%
2.26
16.75%
Quality key factors
Factor
Value
Sales Growth (5y)
10.39%
EBIT Growth (5y)
12.91%
EBIT to Interest (avg)
3.97
Debt to EBITDA (avg)
0.71
Net Debt to Equity (avg)
0.69
Sales to Capital Employed (avg)
5.19
Tax Ratio
25.69%
Dividend Payout Ratio
39.85%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
29.80%
ROE (avg)
24.62%
Valuation Key Factors 
Factor
Value
P/E Ratio
23
Industry P/E
Price to Book Value
5.44
EV to EBIT
14.32
EV to EBITDA
9.47
EV to Capital Employed
3.63
EV to Sales
0.82
PEG Ratio
1.19
Dividend Yield
0.06%
ROCE (Latest)
25.32%
ROE (Latest)
23.37%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Mildly Bearish
Dow Theory
Mildly Bullish
No Trend
OBV
No Trend
Mildly Bullish






