Why is Doman Building Materials Group Ltd. ?
1
Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 4.73
2
Healthy long term growth as Net Sales has grown by an annual rate of 11.31%
3
Positive results in Mar 26
- OPERATING CASH FLOW(Y) Highest at CAD 173.03 MM
- RAW MATERIAL COST(Y) Fallen by -1.58% (YoY)
4
With ROE of 12.10%, it has a very attractive valuation with a 1.44 Price to Book Value
- 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 29.70%, its profits have risen by 22.8% ; the PEG ratio of the company is 0.5
How much should you hold?
- Overall Portfolio exposure to Doman Building Materials Group Ltd. should be less than 10%
- Overall Portfolio exposure to Furniture, Home Furnishing should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Furniture, Home Furnishing)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Doman Building Materials Group Ltd. for you?
Medium Risk, High Return
Absolute
Risk Adjusted
Volatility
Doman Building Materials Group Ltd.
28.47%
2.32
24.44%
S&P/TSX 60
29.8%
2.35
12.81%
Quality key factors
Factor
Value
Sales Growth (5y)
11.31%
EBIT Growth (5y)
1.86%
EBIT to Interest (avg)
4.73
Debt to EBITDA (avg)
3.67
Net Debt to Equity (avg)
1.69
Sales to Capital Employed (avg)
1.92
Tax Ratio
10.70%
Dividend Payout Ratio
61.04%
Pledged Shares
0
Institutional Holding
0.01%
ROCE (avg)
11.45%
ROE (avg)
15.95%
Valuation Key Factors 
Factor
Value
P/E Ratio
12
Industry P/E
Price to Book Value
1.44
EV to EBIT
12.79
EV to EBITDA
7.78
EV to Capital Employed
1.18
EV to Sales
0.64
PEG Ratio
0.53
Dividend Yield
NA
ROCE (Latest)
9.19%
ROE (Latest)
12.10%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Bullish
Dow Theory
No Trend
Bullish
OBV
No Trend
Mildly Bullish
Technical Movement
4What is working for the Company
OPERATING CASH FLOW(Y)
Highest at CAD 173.03 MM
RAW MATERIAL COST(Y)
Fallen by -1.58% (YoY
0What is not working for the Company
NO KEY NEGATIVE TRIGGERS
Here's what is working for Doman Building Materials Group Ltd.
Operating Cash Flow
Highest at CAD 173.03 MM and Grown
In each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (CAD MM)
Raw Material Cost
Fallen by -1.58% (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






