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

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Grupo Hotelero Santa Fe SAB de CV

Grupo Posadas, 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

The company declared very positive results in Mar'25 after flat results in Dec'24

NET PROFIT(Q) At MXN 116.06 MM has Grown at 290.96%
OPERATING CASH FLOW(Y) Highest at MXN 680.47 MM
NET SALES(HY) At MXN 1,778.05 MM has Grown at 23.63%

With ROE of 5.56%, it has a attractive valuation with a 0.45 Price to Book Value

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 4.17%, its profits have risen by 481.8% ; the PEG ratio of the company is 0

Underperformed the market in the last 1 year

The stock has generated a return of 4.17% in the last 1 year, much lower than market (Mexico IPC) returns of 26.18%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Grupo Hotelero Santa Fe SAB de CV should be less than 10%
Overall Portfolio exposure to Hotels & Resorts should be less than 30%

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

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

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

7.14%

0.10

28.75%

Mexico IPC

25.36%

1.61

16.27%

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

Bullish

Bearish

RSI

Bearish

No Signal

Bollinger Bands

Mildly Bullish

Mildly Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Bullish

Bearish

Dow Theory

No Trend

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

28What is working for the Company

NET PROFIT(Q)

At MXN 116.06 MM has Grown at 290.96%

OPERATING CASH FLOW(Y)

Highest at MXN 680.47 MM

NET SALES(HY)

At MXN 1,778.05 MM has Grown at 23.63%

PRE-TAX PROFIT(Q)

Highest at MXN 217.99 MM

RAW MATERIAL COST(Y)

Fallen by 1.07% (YoY

DEBT-EQUITY RATIO (HY)

Lowest at 39.51 %

INVENTORY TURNOVER RATIO(HY)

Highest at 37.39%

DEBTORS TURNOVER RATIO(HY)

Highest at 5.11%

0What is not working for the Company

NO KEY NEGATIVE TRIGGERS

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

Pre-Tax Profit

At MXN 217.99 MM has Grown at 1,787.33%

over average net sales of the previous four periods of MXN -12.92 MM

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (MXN MM)

Net Profit

At MXN 116.06 MM has Grown at 290.96%

over average net sales of the previous four periods of MXN 29.69 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (MXN MM)

Pre-Tax Profit

Highest at MXN 217.99 MM and Grown

In each period in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (MXN MM)

Net Sales

At MXN 1,778.05 MM has Grown at 23.63%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (MXN MM)

Operating Cash Flow

Highest at MXN 680.47 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (MXN MM)

Debt-Equity Ratio

Lowest at 39.51 %

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 37.39%

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Debtors Turnover Ratio

Highest at 5.11%

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by 1.07% (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