Gia Lai Electricity JSC (GEG) 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

Vinh Son Song Hinh Hydropower JSC

Idico Corp. JSC

Central Hydropower JSC

PetroVietnam Power Nhon Trach 2 JSC

Gia Lai Electricity JSC

Southern Hydropower JSC

Vietnam Power Development JSC

Thac Mo Hydro Power JSC

Petrovietnam Power Corp.

Vinacomin - Power Holding Corp.

Pha Lai Thermal Power JSC

Why is Gia Lai Electricity JSC ?

Poor Management Efficiency with a low ROCE of 7.29%

The company has been able to generate a Return on Capital Employed (avg) of 7.29% signifying low profitability per unit of total capital (equity and debt)

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

High Debt Company with a Debt to Equity ratio (avg) at times
The company has been able to generate a Return on Capital Employed (avg) of 7.29% signifying low profitability per unit of total capital (equity and debt)

Healthy long term growth as Net Sales has grown by an annual rate of 17.70% and Operating profit at 18.65%

OPERATING CASH FLOW(Y) Highest at VND 874,859.5 MM
ROCE(HY) Highest at 8.46%
INTEREST COVERAGE RATIO(Q) The company hardly has any interest cost

With ROE of 13.95%, it has a fair valuation with a 1.14 Price to Book Value

The stock is trading at a premium compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 26.24%, its profits have risen by 412% ; the PEG ratio of the company is 0
At the current price, the company has a high dividend yield of 3.8

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Gia Lai Electricity JSC should be less than 10%
Overall Portfolio exposure to Power should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Power)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Gia Lai Electricity JSC for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Gia Lai Electricity JSC

25.68%

0.03

32.34%

Vietnam VN Ho Chi Minh Index

29.95%

1.61

21.07%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

17.70%

EBIT Growth (5y)

18.65%

EBIT to Interest (avg)

1.55

Debt to EBITDA (avg)

5.37

Net Debt to Equity (avg)

1.79

Sales to Capital Employed (avg)

0.16

Tax Ratio

10.99%

Dividend Payout Ratio

358.65%

Pledged Shares

Institutional Holding

ROCE (avg)

7.29%

ROE (avg)

6.31%

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

1.14

EV to EBIT

9.56

EV to EBITDA

6.07

EV to Capital Employed

1.05

EV to Sales

4.71

PEG Ratio

0.02

Dividend Yield

3.79%

ROCE (Latest)

11.02%

ROE (Latest)

13.95%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Bullish

RSI

No Signal

Bearish

Bollinger Bands

Bearish

Sideways

Moving Averages

Bearish (Daily)

KST

Bearish

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

37What is working for the Company

OPERATING CASH FLOW(Y)

Highest at VND 874,859.5 MM

ROCE(HY)

Highest at 8.46%

INTEREST COVERAGE RATIO(Q)

The company hardly has any interest cost

RAW MATERIAL COST(Y)

Fallen by -32.26% (YoY

DEBT-EQUITY RATIO (HY)

Lowest at 180.02 %

INVENTORY TURNOVER RATIO(HY)

Highest at 9.93%

NET SALES(Q)

Highest at VND 1,112,755.86 MM

OPERATING PROFIT(Q)

Highest at VND 981,242.25 MM

OPERATING PROFIT MARGIN(Q)

Highest at 88.18 %

PRE-TAX PROFIT(Q)

Highest at VND 605,294.74 MM

NET PROFIT(Q)

Highest at VND 378,240.84 MM

EPS(Q)

Highest at VND 1,055.63

-3What is not working for the Company

INTEREST(Q)

At VND 187,420.96 MM has Grown at 20.1%

DEBTORS TURNOVER RATIO(HY)

Lowest at 2.25%

Here's what is working for Gia Lai Electricity JSC

Net Sales

At VND 1,112,755.86 MM has Grown at 91.42%

over average net sales of the previous four periods of VND 581,328.61 MM

MOJO Watch

Near term sales trend is extremely positive

Net Sales (VND MM)

Pre-Tax Profit

At VND 605,294.74 MM has Grown at 1,233.76%

over average net sales of the previous four periods of VND 45,382.65 MM

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (VND MM)

Net Profit

At VND 378,240.84 MM has Grown at 1,376.91%

over average net sales of the previous four periods of VND 25,610.36 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (VND MM)

Operating Cash Flow

Highest at VND 874,859.5 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (VND MM)

Net Sales

Highest at VND 1,112,755.86 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (VND MM)

Operating Profit

Highest at VND 981,242.25 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (VND MM)

Operating Profit Margin

Highest at 88.18 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at VND 605,294.74 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (VND MM)

Net Profit

Highest at VND 378,240.84 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (VND MM)

EPS

Highest at VND 1,055.63

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (VND)

Debt-Equity Ratio

Lowest at 180.02 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Inventory Turnover Ratio

Highest at 9.93%

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Raw Material Cost

Fallen by -32.26% (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 Gia Lai Electricity JSC

Interest

At VND 187,420.96 MM has Grown at 20.1%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (VND MM)

Debtors Turnover Ratio

Lowest at 2.25%

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio