E-Channelling Plc (ECL.N0000) 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

E-Channelling Plc

Why is E-Channelling Plc ?

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

OPERATING CASH FLOW(Y) Lowest at LKR -8.66 MM

With ROE of 6.80%, it has a very expensive valuation with a 0.00 Price to Book Value

Over the past year, while the stock has generated a return of 24.24%, its profits have fallen by -14.5%

Underperformed the market in the last 1 year

The stock has generated a return of 24.24% in the last 1 year, much lower than market (Sri Lanka CSE All Share) returns of 41.16%

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 Computers - Software & Consulting)

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

Is E-Channelling Plc for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

E-Channelling Plc

23.31%

0.34

51.12%

Sri Lanka CSE All Share

41.16%

2.63

15.67%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

16.86%

EBIT Growth (5y)

28.12%

EBIT to Interest (avg)

28.21

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.68

Sales to Capital Employed (avg)

0.54

Tax Ratio

28.83%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

30.66%

ROE (avg)

11.84%

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

EV to EBIT

-22.75

EV to EBITDA

-14.17

EV to Capital Employed

-3.29

EV to Sales

-1.43

PEG Ratio

Dividend Yield

ROCE (Latest)

Negative Capital Employed

ROE (Latest)

6.80%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bearish

Bollinger Bands

Mildly Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

No Trend

OBV

No Trend

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

15What is working for the Company

INTEREST COVERAGE RATIO(Q)

The company hardly has any interest cost

RAW MATERIAL COST(Y)

Fallen by 0.49% (YoY

CASH AND EQV(HY)

Highest at LKR 739.01 MM

INVENTORY TURNOVER RATIO(HY)

Highest at 308.53 times

NET SALES(Q)

Highest at LKR 77.97 MM

OPERATING PROFIT(Q)

Highest at LKR 15.02 MM

OPERATING PROFIT MARGIN(Q)

Highest at 19.27 %

PRE-TAX PROFIT(Q)

Highest at LKR 19.47 MM

NET PROFIT(Q)

Highest at LKR 13.01 MM

EPS(Q)

Highest at LKR 0.11

-2What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at LKR -8.66 MM

Here's what is working for E-Channelling Plc

Net Sales

Highest at LKR 77.97 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (LKR MM)

Operating Profit

Highest at LKR 15.02 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (LKR MM)

Operating Profit Margin

Highest at 19.27 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at LKR 19.47 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (LKR MM)

Pre-Tax Profit

At LKR 19.47 MM has Grown at 124.89%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (LKR MM)

Net Profit

Highest at LKR 13.01 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (LKR MM)

Net Profit

At LKR 13.01 MM has Grown at 128.78%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is positive

Net Profit (LKR MM)

EPS

Highest at LKR 0.11

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (LKR)

Cash and Eqv

Highest at LKR 739.01 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Inventory Turnover Ratio

Highest at 308.53 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Raw Material Cost

Fallen by 0.49% (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 E-Channelling Plc

Operating Cash Flow

Lowest at LKR -8.66 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (LKR MM)