ScoreWhy is engcon AB ?
1
High Management Efficiency with a high ROE of 41.51%
2
Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 22.37
3
Healthy long term growth as Net Sales has grown by an annual rate of -0.85% and Operating profit at -6.56%
4
Positive results in Jun 26
- OPERATING CASH FLOW(Y) Highest at SEK 287 MM
- NET SALES(Q) Highest at SEK 594 MM
- OPERATING PROFIT(Q) Highest at SEK 115 MM
5
With ROE of 31.44%, it has a expensive valuation with a 13.00 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 -20.56%, its profits have risen by 2.6% ; the PEG ratio of the company is 21.3
6
Below par performance in long term as well as near term
- Along with generating -20.56% 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 ReportHow much should you hold?
- Overall Portfolio exposure to engcon AB should be less than 10%
- Overall Portfolio exposure to Automobiles should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Automobiles)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is engcon AB for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
engcon AB
-20.56%
-0.68
40.19%
OMX Stockholm 30
27.7%
1.79
15.50%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
-0.85%
EBIT Growth (5y)
-6.56%
EBIT to Interest (avg)
26.62
Debt to EBITDA (avg)
0.28
Net Debt to Equity (avg)
-0.07
Sales to Capital Employed (avg)
2.24
Tax Ratio
21.98%
Dividend Payout Ratio
69.86%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
55.66%
ROE (avg)
41.51%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
41
Industry P/E
Price to Book Value
13.00
EV to EBIT
30.71
EV to EBITDA
26.18
EV to Capital Employed
11.52
EV to Sales
5.02
PEG Ratio
21.29
Dividend Yield
NA
ROCE (Latest)
37.50%
ROE (Latest)
31.44%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Bearish
RSI
Bullish
No Signal
Bollinger Bands
Mildly Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Bearish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
No Trend
Bearish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend8What is working for the Company
OPERATING CASH FLOW(Y)
Highest at SEK 287 MM
NET SALES(Q)
Highest at SEK 594 MM
OPERATING PROFIT(Q)
Highest at SEK 115 MM
PRE-TAX PROFIT(Q)
Highest at SEK 101 MM
NET PROFIT(Q)
Highest at SEK 82 MM
EPS(Q)
Highest at SEK 0.54
-5What is not working for the Company
INTEREST(Q)
At SEK 4 MM has Grown at 100%
DIVIDEND PAYOUT RATIO(Y)
Lowest at 0%
RAW MATERIAL COST(Y)
Grown by 5.96% (YoY
DIVIDEND PER SHARE(HY)
Lowest at SEK 5.22
Here's what is working for engcon AB
Operating Cash Flow
Highest at SEK 287 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 (SEK MM)
Net Sales
Highest at SEK 594 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (SEK MM)
Operating Profit
Highest at SEK 115 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (SEK MM)
Pre-Tax Profit
Highest at SEK 101 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (SEK MM)
Net Profit
Highest at SEK 82 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (SEK MM)
EPS
Highest at SEK 0.54
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (SEK)
Depreciation
Highest at SEK 17 MM
in the last five periodsMOJO Watch
The expenditure on assets done by the company may have gone into operation
Depreciation (SEK MM)
Here's what is not working for engcon AB
Interest
At SEK 4 MM has Grown at 100%
period on period (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (SEK MM)
Dividend per share
Lowest at SEK 5.22
in the last five yearsMOJO Watch
Company is distributing lower dividend than previous years
DPS (SEK)
Dividend Payout Ratio
Lowest at 0%
in the last five yearsMOJO Watch
Company is distributing lower proportion of profits generated as dividend
DPR (%)
Raw Material Cost
Grown by 5.96% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin
Raw Material Cost as a percentage of Sales
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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