First Capital Treasuries Plc () 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

L B Finance Plc

John Keells Plc

First Capital Treasuries Plc

Asia Capital Plc

Why is First Capital Treasuries Plc ?

With a fall in Net Sales of -47.85%, the company declared Very Negative results in Mar 26

The company has declared negative results for the last 2 consecutive quarters
ROCE(HY) Lowest at 19.16%
RAW MATERIAL COST(Y) Grown by 17.3% (YoY)
DEBTORS TURNOVER RATIO(HY) Lowest at 22.84 times

With ROE of 21.00%, it has a expensive valuation with a 2.45 Price to Book Value

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 26.81%, its profits have fallen by -47.2%

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 Capital Markets)

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

Is First Capital Treasuries Plc for you?

High Risk, Medium Return

Absolute

Risk Adjusted

Volatility

First Capital Treasuries Plc

26.81%

0.40

47.74%

Sri Lanka CSE All Share

11.95%

0.72

16.49%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

21.10%

EBIT Growth (5y)

-0.66%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

Tax Ratio

32.22%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

181.02%

ROE (avg)

54.48%

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

2.45

EV to EBIT

5.26

EV to EBITDA

5.26

EV to Capital Employed

8.93

EV to Sales

1.16

PEG Ratio

Dividend Yield

ROCE (Latest)

169.88%

ROE (Latest)

21.00%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Bearish (Daily)

KST

Bearish

Bullish

Dow Theory

No Trend

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

4What is working for the Company

OPERATING CASH FLOW(Y)

Highest at LKR 29,756.12 MM

CASH AND EQV(HY)

Highest at LKR 6,279.92 MM

DEBT-EQUITY RATIO (HY)

Lowest at 521.63 %

-25What is not working for the Company

ROCE(HY)

Lowest at 19.16%

RAW MATERIAL COST(Y)

Grown by 17.3% (YoY

DEBTORS TURNOVER RATIO(HY)

Lowest at 22.84 times

NET SALES(Q)

Lowest at LKR 1,540.14 MM

PRE-TAX PROFIT(Q)

Lowest at LKR -26.35 MM

NET PROFIT(Q)

Lowest at LKR -28.77 MM

EPS(Q)

Lowest at LKR -0.05

Here's what is working for First Capital Treasuries Plc

Operating Cash Flow

Highest at LKR 29,756.12 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (LKR MM)

Cash and Eqv

Highest at LKR 6,279.92 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio

Lowest at 521.63 %

in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Here's what is not working for First Capital Treasuries Plc

Net Sales

At LKR 1,540.14 MM has Fallen at -46.34%

over average net sales of the previous four periods of LKR 2,870.04 MM

MOJO Watch

Near term sales trend is extremely negative

Net Sales (LKR MM)

Pre-Tax Profit

At LKR -26.35 MM has Fallen at -103.23%

over average net sales of the previous four periods of LKR 816.34 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (LKR MM)

Net Profit

At LKR -28.77 MM has Fallen at -105.17%

over average net sales of the previous four periods of LKR 556.1 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (LKR MM)

Net Sales

Lowest at LKR 1,540.14 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (LKR MM)

Pre-Tax Profit

Lowest at LKR -26.35 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (LKR MM)

Net Profit

Lowest at LKR -28.77 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (LKR MM)

EPS

Lowest at LKR -0.05

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (LKR)

Debtors Turnover Ratio

Lowest at 22.84 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Raw Material Cost

Grown by 17.3% (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