ESOTIQ & Henderson SA (EAH) 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

Sanwil Holding SA

VRG SA

Wojas SA

Protektor SA

ESOTIQ & Henderson SA

Solar Co. SA

Why is ESOTIQ & Henderson SA ?

The company is Net-Debt Free

Poor long term growth as Net Sales has grown by an annual rate of 12.79% and Operating profit at 0.07% over the last 5 years
The company is Net-Debt Free
The company has been able to generate a Return on Equity (avg) of 14.71% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 12.79% and Operating profit at 0.07% over the last 5 years

The company has declared Negative results for the last 5 consecutive quarters

ROCE(HY) Lowest at 8.42%
INVENTORY TURNOVER RATIO(HY) Lowest at 1.09 times
OPERATING PROFIT(Q) Lowest at PLN 3.73 MM

With ROE of 8.44%, it has a very expensive valuation with a 1.02 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 -10.50%, its profits have fallen by -46.4%

Below par performance in long term as well as near term

Along with generating -10.50% returns in the last 1 year, the stock has also underperformed Poland WIG 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 Footwear)

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

Is ESOTIQ & Henderson SA for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

ESOTIQ & Henderson SA

-12.18%

-1.54

23.69%

Poland WIG

29.57%

1.74

17.24%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

12.79%

EBIT Growth (5y)

0.07%

EBIT to Interest (avg)

4.49

Debt to EBITDA (avg)

0.60

Net Debt to Equity (avg)

0.39

Sales to Capital Employed (avg)

3.27

Tax Ratio

20.09%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

16.94%

ROE (avg)

14.71%

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

1.02

EV to EBIT

8.18

EV to EBITDA

3.39

EV to Capital Employed

1.01

EV to Sales

0.30

PEG Ratio

Dividend Yield

9.77%

ROCE (Latest)

12.37%

ROE (Latest)

8.44%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Sideways

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

No Trend

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

2What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -10.3% (YoY

DEBTORS TURNOVER RATIO(HY)

Highest at 18.68 times

-21What is not working for the Company

ROCE(HY)

Lowest at 8.42%

INVENTORY TURNOVER RATIO(HY)

Lowest at 1.09 times

OPERATING PROFIT(Q)

Lowest at PLN 3.73 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 5.03 %

PRE-TAX PROFIT(Q)

Lowest at PLN -2 MM

NET PROFIT(Q)

Lowest at PLN -2.16 MM

EPS(Q)

Lowest at PLN -1.1

Here's what is working for ESOTIQ & Henderson SA

Debtors Turnover Ratio

Highest at 18.68 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by -10.3% (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

Depreciation

Highest at PLN 4.46 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (PLN MM)

Here's what is not working for ESOTIQ & Henderson SA

Pre-Tax Profit

At PLN -2 MM has Fallen at -1,781.51%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (PLN MM)

Net Profit

At PLN -2.16 MM has Fallen at -2,820.27%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (PLN MM)

Inventory Turnover Ratio

Lowest at 1.09 times and Fallen

In each half year in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Operating Profit

Lowest at PLN 3.73 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (PLN MM)

Operating Profit Margin

Lowest at 5.03 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at PLN -2 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (PLN MM)

Net Profit

Lowest at PLN -2.16 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (PLN MM)

EPS

Lowest at PLN -1.1

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (PLN)