Goodfellow, Inc. (GDL) 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

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Why is Goodfellow, Inc. ?

High Management Efficiency with a high ROCE of 14.42%

Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 12.19

Poor long term growth as Net Sales has grown by an annual rate of 2.21% over the last 5 years

The company has declared Negative results for the last 7 consecutive quarters

INTEREST(9M) At CAD 2.94 MM has Grown at 14.67%
ROCE(HY) Lowest at 3.1%
RAW MATERIAL COST(Y) Grown by 30.72% (YoY)

With ROE of 3.09%, it has a fair valuation with a 0.47 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 -7.94%, its profits have fallen by -44.1%

Below par performance in long term as well as near term

Along with generating -7.94% returns in the last 1 year, the stock has also underperformed S&P/TSX 60 in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Goodfellow, Inc. should be less than 10%
Overall Portfolio exposure to Trading & Distributors should be less than 30%

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

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

Is Goodfellow, Inc. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Goodfellow, Inc.

-7.94%

-1.08

21.18%

S&P/TSX 60

29.6%

2.31

12.81%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

2.21%

EBIT Growth (5y)

-16.09%

EBIT to Interest (avg)

12.19

Debt to EBITDA (avg)

1.37

Net Debt to Equity (avg)

0.30

Sales to Capital Employed (avg)

2.25

Tax Ratio

24.73%

Dividend Payout Ratio

58.75%

Pledged Shares

Institutional Holding

ROCE (avg)

14.42%

ROE (avg)

13.21%

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

0.47

EV to EBIT

11.58

EV to EBITDA

5.91

EV to Capital Employed

0.57

EV to Sales

0.26

PEG Ratio

Dividend Yield

ROCE (Latest)

4.95%

ROE (Latest)

3.08%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bullish

Dow Theory

No Trend

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

1What is working for the Company

DEBTORS TURNOVER RATIO(HY)

Highest at 7.45 times

-20What is not working for the Company

INTEREST(9M)

At CAD 2.94 MM has Grown at 14.67%

ROCE(HY)

Lowest at 3.1%

RAW MATERIAL COST(Y)

Grown by 30.72% (YoY

INVENTORY TURNOVER RATIO(HY)

Lowest at 2.8 times

NET SALES(Q)

Lowest at CAD 108.73 MM

OPERATING PROFIT(Q)

Lowest at CAD -0.72 MM

OPERATING PROFIT MARGIN(Q)

Lowest at -0.66 %

PRE-TAX PROFIT(Q)

Lowest at CAD -4.35 MM

NET PROFIT(Q)

Lowest at CAD -3.13 MM

EPS(Q)

Lowest at CAD -0.38

Here's what is working for Goodfellow, Inc.

Debtors Turnover Ratio

Highest at 7.45 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Here's what is not working for Goodfellow, Inc.

Interest

At CAD 2.94 MM has Grown at 14.67%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CAD MM)

Net Sales

Lowest at CAD 108.73 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (CAD MM)

Operating Profit

Lowest at CAD -0.72 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CAD MM)

Operating Profit Margin

Lowest at -0.66 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at CAD -4.35 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (CAD MM)

Pre-Tax Profit

Fallen at -38.62%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (CAD MM)

Net Profit

Lowest at CAD -3.13 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CAD MM)

Net Profit

Fallen at -38.58%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CAD MM)

EPS

Lowest at CAD -0.38

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (CAD)

Inventory Turnover Ratio

Lowest at 2.8 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Raw Material Cost

Grown by 30.72% (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