Dometic Group AB (DOM) 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

Thule Group AB

Clean Motion AB

Dometic Group AB

Volvo Car AB

Nilsson Special Vehicles AB

Hybricon AB

Why is Dometic Group AB ?

Poor Management Efficiency with a low ROCE of 6.19%

The company has been able to generate a Return on Capital Employed (avg) of 6.19% signifying low profitability per unit of total capital (equity and debt)

High Debt Company with a Debt to Equity ratio (avg) at times

Poor long term growth as Operating profit has grown by an annual rate -1.29% of 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 4.91% signifying low profitability per unit of shareholders funds

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

OPERATING CASH FLOW(Y) Lowest at SEK 2,112 MM
INTEREST COVERAGE RATIO(Q) Lowest at 165.67
DIVIDEND PER SHARE(HY) Lowest at SEK 7.98

With ROE of -6.08%, it has a risky valuation with a 0.72 Price to Book Value

The stock is trading at a fair value compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -45.62%, its profits have fallen by -206.5%

Below par performance in long term as well as near term

Along with generating -45.62% returns in the last 1 year, the stock has also underperformed OMX Stockholm 30 in the last 3 years, 1 year and 3 months

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 Automobiles)

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

Is Dometic Group AB for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Dometic Group AB

-45.62%

-1.27

51.10%

OMX Stockholm 30

10.97%

0.59

18.59%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

5.36%

EBIT Growth (5y)

-1.29%

EBIT to Interest (avg)

4.07

Debt to EBITDA (avg)

3.12

Net Debt to Equity (avg)

0.51

Sales to Capital Employed (avg)

0.61

Tax Ratio

14.36%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

6.19%

ROE (avg)

4.91%

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

0.72

EV to EBIT

-96.37

EV to EBITDA

8.52

EV to Capital Employed

0.81

EV to Sales

1.18

PEG Ratio

Dividend Yield

2.63%

ROCE (Latest)

-0.85%

ROE (Latest)

-6.08%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

Bullish

No Signal

Bollinger Bands

Mildly Bearish

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bullish

Dow Theory

Mildly Bearish

OBV

No Trend

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

10What is working for the Company

NET PROFIT(HY)

Higher at SEK -101 MM

RAW MATERIAL COST(Y)

Fallen by -7.87% (YoY

-19What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at SEK 2,112 MM

INTEREST COVERAGE RATIO(Q)

Lowest at 165.67

DIVIDEND PER SHARE(HY)

Lowest at SEK 7.98

NET SALES(Q)

Lowest at SEK 4,058 MM

INTEREST(Q)

Highest at SEK 268 MM

OPERATING PROFIT(Q)

Lowest at SEK 444 MM

PRE-TAX PROFIT(Q)

Lowest at SEK -100 MM

NET PROFIT(Q)

Lowest at SEK -214 MM

Here's what is working for Dometic Group AB

Raw Material Cost

Fallen by -7.87% (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 Dometic Group AB

Pre-Tax Profit

At SEK -100 MM has Fallen at -576.19%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (SEK MM)

Net Profit

At SEK -214 MM has Fallen at -450.82%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (SEK MM)

Operating Cash Flow

Lowest at SEK 2,112 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 (SEK MM)

Interest

At SEK 268 MM has Grown at 27.01%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (SEK MM)

Interest Coverage Ratio

Lowest at 165.67

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Net Sales

Lowest at SEK 4,058 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (SEK MM)

Interest

Highest at SEK 268 MM

in the last five periods and Increased by 27.01% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (SEK MM)

Operating Profit

Lowest at SEK 444 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (SEK MM)

Pre-Tax Profit

Lowest at SEK -100 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (SEK MM)

Net Profit

Lowest at SEK -214 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (SEK MM)

Dividend per share

Lowest at SEK 7.98

in the last five years

MOJO Watch

Company is distributing lower dividend than previous years

DPS (SEK)