Eurocash SA (EUR) 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

Tarczynski SA

Atlanta Poland SA

Eurocash SA

Gobarto SA

Why is Eurocash SA ?

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

Poor long term growth as Net Sales has grown by an annual rate of 3.85% 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 7.56% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 3.85% over the last 5 years

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of -18.59%, its profits have fallen by -80.6%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -18.59% returns in the last 1 year, the stock has also underperformed Poland WIG 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 Retailing)

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

Is Eurocash SA for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Eurocash SA

-17.47%

-1.43

37.54%

Poland WIG

39.24%

1.84

20.48%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

3.85%

EBIT Growth (5y)

2.89%

EBIT to Interest (avg)

1.03

Debt to EBITDA (avg)

1.23

Net Debt to Equity (avg)

1.15

Sales to Capital Employed (avg)

17.68

Tax Ratio

71.12%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

0.01%

ROCE (avg)

14.79%

ROE (avg)

7.56%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

102

Industry P/E

Price to Book Value

1.84

EV to EBIT

7.36

EV to EBITDA

2.05

EV to Capital Employed

1.40

EV to Sales

0.06

PEG Ratio

Dividend Yield

ROCE (Latest)

19.08%

ROE (Latest)

1.80%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

Bullish

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bullish

Dow Theory

Mildly Bearish

OBV

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

3What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -4.38% (YoY

CASH AND EQV(HY)

Highest at PLN 909.93 MM

DEBTORS TURNOVER RATIO(HY)

Highest at 23.42%

-17What is not working for the Company

NET PROFIT(HY)

At PLN -15.86 MM has Grown at -273.02%

ROCE(HY)

Lowest at -3.04%

INTEREST COVERAGE RATIO(Q)

Lowest at 141.82

INVENTORY TURNOVER RATIO(HY)

Lowest at 16.4%

NET SALES(Q)

Lowest at PLN 6,873.78 MM

OPERATING PROFIT(Q)

Lowest at PLN 115.6 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 1.68 %

PRE-TAX PROFIT(Q)

Lowest at PLN -91.2 MM

Here's what is working for Eurocash SA

Cash and Eqv

Highest at PLN 909.93 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debtors Turnover Ratio

Highest at 23.42%

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 -4.38% (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 Eurocash SA

Net Profit

At PLN -15.86 MM has Grown at -273.02%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (PLN MM)

Interest Coverage Ratio

Lowest at 141.82

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 PLN 6,873.78 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (PLN MM)

Operating Profit

Lowest at PLN 115.6 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (PLN MM)

Operating Profit Margin

Lowest at 1.68 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at PLN -91.2 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (PLN MM)

Inventory Turnover Ratio

Lowest at 16.4%

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio