ScoreWhy is Gruma SAB de CV ?
1
The company has declared Negative results for the last 3 consecutive quarters
- OPERATING CASH FLOW(Y) Lowest at MXN 11,328.31 MM
- ROCE(HY) Lowest at 21.96%
- INVENTORY TURNOVER RATIO(HY) Lowest at 3.27 times
2
With ROE of 21.96%, it has a very expensive valuation with a 2.51 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 -21.11%, its profits have fallen by -12.6%
3
Below par performance in long term as well as near term
- Along with generating -21.11% 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 ReportHow 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 Gruma SAB de CV for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
Gruma SAB de CV
-20.94%
-1.22
19.57%
Mexico IPC
14.41%
0.77
19.31%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
5.40%
EBIT Growth (5y)
7.21%
EBIT to Interest (avg)
6.14
Debt to EBITDA (avg)
1.17
Net Debt to Equity (avg)
0.53
Sales to Capital Employed (avg)
1.82
Tax Ratio
32.46%
Dividend Payout Ratio
20.35%
Pledged Shares
0
Institutional Holding
0.02%
ROCE (avg)
25.77%
ROE (avg)
23.05%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
11
Industry P/E
Price to Book Value
2.51
EV to EBIT
7.83
EV to EBITDA
6.02
EV to Capital Employed
2.03
EV to Sales
1.04
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
25.91%
ROE (Latest)
21.96%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Bearish
RSI
No Signal
Bullish
Bollinger Bands
Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Bearish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
Mildly Bearish
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend1What is working for the Company
RAW MATERIAL COST(Y)
Fallen by 0.44% (YoY
-7What is not working for the Company
OPERATING CASH FLOW(Y)
Lowest at MXN 11,328.31 MM
ROCE(HY)
Lowest at 21.96%
INVENTORY TURNOVER RATIO(HY)
Lowest at 3.27 times
DEBTORS TURNOVER RATIO(HY)
Lowest at 8.11 times
Here's what is working for Gruma SAB de CV
Raw Material Cost
Fallen by 0.44% (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 Gruma SAB de CV
Operating Cash Flow
Lowest at MXN 11,328.31 MM and Fallen
In each year in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (MXN MM)
Inventory Turnover Ratio
Lowest at 3.27 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling inventory has slowed
Inventory Turnover Ratio
Debtors Turnover Ratio
Lowest at 8.11 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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