Why is Frieslandcampina Engro Pakistan Ltd. ?
1
High Management Efficiency with a high ROE of 14.04%
2
Healthy long term growth as Operating profit has grown by an annual rate 122.96%
3
The company has declared Positive results for the last 3 consecutive quarters
- OPERATING CASH FLOW(Y) Highest at PKR 6,320.45 MM
- INTEREST COVERAGE RATIO(Q) The company hardly has any interest cost
- RAW MATERIAL COST(Y) Fallen by -14.7% (YoY)
4
With ROE of 15, it has a attractive valuation with a 4.7 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 0%, its profits have risen by 121.7% ; the PEG ratio of the company is 0.3
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 FMCG)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Frieslandcampina Engro Pakistan Ltd. for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Frieslandcampina Engro Pakistan Ltd.
27.0%
0.66
51.54%
Pakistan KSE 100 Share
60.28%
2.81
22.77%
Quality key factors
Factor
Value
Sales Growth (5y)
19.81%
EBIT Growth (5y)
44.90%
EBIT to Interest (avg)
2.47
Debt to EBITDA (avg)
1.02
Net Debt to Equity (avg)
0.58
Sales to Capital Employed (avg)
4.53
Tax Ratio
38.81%
Dividend Payout Ratio
97.43%
Pledged Shares
0
Institutional Holding
0.84%
ROCE (avg)
22.03%
ROE (avg)
14.04%
Valuation Key Factors 
Factor
Value
P/E Ratio
29
Industry P/E
Price to Book Value
4.16
EV to EBIT
9.41
EV to EBITDA
7.31
EV to Capital Employed
3.05
EV to Sales
0.70
PEG Ratio
0.49
Dividend Yield
3.30%
ROCE (Latest)
32.43%
ROE (Latest)
14.51%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Sideways
Bullish
Moving Averages
Mildly Bearish (Daily)
KST
Mildly Bullish
Bullish
Dow Theory
No Trend
No Trend
OBV
No Trend
Bullish
Technical Movement
7What is working for the Company
OPERATING CASH FLOW(Y)
Highest at PKR 11,825.6 MM
RAW MATERIAL COST(Y)
Fallen by -8.95% (YoY
CASH AND EQV(HY)
Highest at PKR 3,631.38 MM
DEBTORS TURNOVER RATIO(HY)
Highest at 11.14%
PRE-TAX PROFIT(Q)
Highest at PKR 2,115.67 MM
-1What is not working for the Company
NET PROFIT(Q)
Fallen at -60.53%
Here's what is working for Frieslandcampina Engro Pakistan Ltd.
Operating Cash Flow
Highest at PKR 11,825.6 MM
in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (PKR MM)
Pre-Tax Profit
Highest at PKR 2,115.67 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (PKR MM)
Pre-Tax Profit
At PKR 2,115.67 MM has Grown at 118.31%
Year on Year (YoY)MOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (PKR MM)
Cash and Eqv
Highest at PKR 3,631.38 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Debtors Turnover Ratio
Highest at 11.14%
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Raw Material Cost
Fallen by -8.95% (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 Frieslandcampina Engro Pakistan Ltd.
Net Profit
Fallen at -60.53%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is negative
Net Profit (PKR MM)






