Genomma Lab Internacional SAB de CV (LABB) 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

Genomma Lab Internacional SAB de CV

Why is Genomma Lab Internacional SAB de CV ?

The company is Net-Debt Free

Poor long term growth as Operating profit has grown by an annual rate 7.73% of over the last 5 years
The company is Net-Debt Free
The company has been able to generate a Return on Equity (avg) of 14.48% signifying low profitability per unit of shareholders funds

Negative results in Mar 26

INTEREST COVERAGE RATIO(Q) Lowest at 337.07
DEBTORS TURNOVER RATIO(HY) Lowest at 2.18 times
INTEREST(Q) Highest at MXN 285.9 MM

With ROE of 16.00%, it has a very expensive valuation with a 1.58 Price to Book Value

The stock is trading at a fair value compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -30.77%, its profits have risen by 13.8% ; the PEG ratio of the company is 0.6

Below par performance in long term as well as near term

Along with generating -30.77% returns in the last 1 year, the stock has also underperformed Mexico IPC 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 Pharmaceuticals & Biotechnology)

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

Is Genomma Lab Internacional SAB de CV for you?

Medium Risk, High Return

Absolute

Risk Adjusted

Volatility

Genomma Lab Internacional SAB de CV

-32.05%

44.91

34.32%

Mexico IPC

11.57%

0.71

19.23%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

5.89%

EBIT Growth (5y)

7.73%

EBIT to Interest (avg)

3.31

Debt to EBITDA (avg)

1.32

Net Debt to Equity (avg)

0.44

Sales to Capital Employed (avg)

1.00

Tax Ratio

26.38%

Dividend Payout Ratio

48.39%

Pledged Shares

Institutional Holding

0.00%

ROCE (avg)

22.18%

ROE (avg)

14.48%

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

1.58

EV to EBIT

5.83

EV to EBITDA

5.27

EV to Capital Employed

1.40

EV to Sales

1.24

PEG Ratio

0.62

Dividend Yield

ROCE (Latest)

23.98%

ROE (Latest)

16.00%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Mildly Bullish

Bearish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

No Trend

Mildly Bullish

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 -1% (YoY

CASH AND EQV(HY)

Highest at MXN 5,704.44 MM

-7What is not working for the Company

INTEREST COVERAGE RATIO(Q)

Lowest at 337.07

DEBTORS TURNOVER RATIO(HY)

Lowest at 2.18 times

INTEREST(Q)

Highest at MXN 285.9 MM

OPERATING PROFIT(Q)

Lowest at MXN 963.69 MM

Here's what is working for Genomma Lab Internacional SAB de CV

Cash and Eqv

Highest at MXN 5,704.44 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Raw Material Cost

Fallen by -1% (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 Genomma Lab Internacional SAB de CV

Interest

At MXN 285.9 MM has Grown at 13.05%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (MXN MM)

Interest Coverage Ratio

Lowest at 337.07

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Interest

Highest at MXN 285.9 MM

in the last five periods and Increased by 13.05% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (MXN MM)

Operating Profit

Lowest at MXN 963.69 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (MXN MM)

Debtors Turnover Ratio

Lowest at 2.18 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio