Grupo Hotelero Santa Fe SAB de CV (HOTEL*) 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

Grupo Posadas, SAB de CV

Grupo Hotelero Santa Fe SAB de CV

Grupe SAB de CV

Norte 19

Why is Grupo Hotelero Santa Fe SAB de CV ?

Poor Management Efficiency with a low ROCE of 11.28%

The company has been able to generate a Return on Capital Employed (avg) of 11.28% signifying low profitability per unit of total capital (equity and debt)

High Debt company with Weak Long Term Fundamental Strength

Underperformed the market in the last 1 year

The stock has generated a return of 8.11% in the last 1 year, much lower than market (Mexico IPC) returns of 31.40%

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 Hotels & Resorts)

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

Is Grupo Hotelero Santa Fe SAB de CV for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Grupo Hotelero Santa Fe SAB de CV

8.11%

0.33

29.20%

Mexico IPC

31.4%

1.71

18.32%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

20.25%

EBIT Growth (5y)

28.49%

EBIT to Interest (avg)

4.87

Debt to EBITDA (avg)

3.35

Net Debt to Equity (avg)

0.46

Sales to Capital Employed (avg)

0.37

Tax Ratio

6.28%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

11.28%

ROE (avg)

3.98%

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

0.45

EV to EBIT

3.54

EV to EBITDA

2.82

EV to Capital Employed

0.60

EV to Sales

1.40

PEG Ratio

0.02

Dividend Yield

ROCE (Latest)

17.04%

ROE (Latest)

5.56%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Bearish

Dow Theory

No Trend

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

6What is working for the Company

NET PROFIT(9M)

At MXN 75.13 MM has Grown at 1,240.44%

RAW MATERIAL COST(Y)

Fallen by 1.93% (YoY

DEBT-EQUITY RATIO (HY)

Lowest at 32.1 %

-14What is not working for the Company

OPERATING PROFIT MARGIN(Q)

Lowest at 43.74 %

PRE-TAX PROFIT(Q)

Lowest at MXN -149.28 MM

NET PROFIT(Q)

Lowest at MXN -61.51 MM

EPS(Q)

Lowest at MXN -0.09

Here's what is working for Grupo Hotelero Santa Fe SAB de CV

Debt-Equity Ratio

Lowest at 32.1 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Raw Material Cost

Fallen by 1.93% (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 Grupo Hotelero Santa Fe SAB de CV

Pre-Tax Profit

At MXN -149.28 MM has Fallen at -230.66%

over average net sales of the previous four periods of MXN 114.25 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (MXN MM)

Net Profit

At MXN -61.51 MM has Fallen at -183.75%

over average net sales of the previous four periods of MXN 73.44 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (MXN MM)

Operating Profit Margin

Lowest at 43.74 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at MXN -149.28 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (MXN MM)

Net Profit

Lowest at MXN -61.51 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (MXN MM)

EPS

Lowest at MXN -0.09

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (MXN)