Essentra Plc (ESNT) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Hardide Plc

Morgan Advanced Materials Plc

Accsys Technologies Plc

Essentra Plc

SulNOx Group Plc

Quadrise Plc

Asimilar Group Plc

Zenova Group Plc

Active Energy Group Plc

Why is Essentra Plc ?

Weak Long Term Fundamental Strength with an average Return on Equity (ROE) of 4.01%

Poor long term growth as Net Sales has grown by an annual rate of -21.25% and Operating profit at -22.27% over the last 5 years
Low ability to service debt as the company has a high Debt to EBITDA ratio of 2.63 times

Negative results in Jun 25

INTEREST COVERAGE RATIO(Q) Lowest at 248.98
INTEREST(Q) Highest at GBP 9.8 MM
OPERATING PROFIT(Q) Lowest at GBP 24.4 MM

With ROE of 6.00%, it has a expensive valuation with a 1.17 Price to Book Value

Over the past year, while the stock has generated a return of -31.67%, its profits have fallen by -19.3%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -31.67% returns in the last 1 year, the stock has also underperformed FTSE 100 in each of the last 3 annual periods

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 Other Industrial Products)

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

Is Essentra Plc for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Essentra Plc

-31.67%

-2.63

30.48%

FTSE 100

15.94%

1.23

12.99%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-21.25%

EBIT Growth (5y)

-22.27%

EBIT to Interest (avg)

1.54

Debt to EBITDA (avg)

2.63

Net Debt to Equity (avg)

0.30

Sales to Capital Employed (avg)

0.88

Tax Ratio

Tax Ratio is Negative%

Dividend Payout Ratio

68.13%

Pledged Shares

Institutional Holding

0.06%

ROCE (avg)

4.72%

ROE (avg)

4.01%

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

1.17

EV to EBIT

17.05

EV to EBITDA

7.50

EV to Capital Employed

1.13

EV to Sales

1.31

PEG Ratio

Dividend Yield

221.37%

ROCE (Latest)

6.64%

ROE (Latest)

6.00%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

Mildly Bullish

Bearish

OBV

Mildly Bullish

No Trend

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

1What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -4,738% (YoY

-13What is not working for the Company

INTEREST COVERAGE RATIO(Q)

Lowest at 248.98

INTEREST(Q)

Highest at GBP 9.8 MM

OPERATING PROFIT(Q)

Lowest at GBP 24.4 MM

PRE-TAX PROFIT(Q)

Lowest at GBP 6.5 MM

NET PROFIT(Q)

Lowest at GBP 1.5 MM

EPS(Q)

Lowest at GBP 0

Here's what is working for Essentra Plc

Raw Material Cost

Fallen by -4,738% (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 Essentra Plc

Pre-Tax Profit

At GBP 6.5 MM has Fallen at -41.96%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (GBP MM)

Net Profit

At GBP 1.5 MM has Fallen at -78.57%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (GBP MM)

Interest Coverage Ratio

Lowest at 248.98

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Interest

Highest at GBP 9.8 MM

in the last five periods and Increased by 40% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (GBP MM)

Operating Profit

Lowest at GBP 24.4 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (GBP MM)

Pre-Tax Profit

Lowest at GBP 6.5 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (GBP MM)

Net Profit

Lowest at GBP 1.5 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (GBP MM)

EPS

Lowest at GBP 0

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (GBP)