Grupo Lamosa SAB de CV (LAMOSA*) 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 Lamosa SAB de CV

Grupo Vasconia SAB

Why is Grupo Lamosa SAB de CV ?

High Management Efficiency with a high ROCE of 22.17%

Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 5.75

With a growth in Operating Profit of 18.43%, the company declared Very Positive results in Jun 25

The company has declared positive results in Jan 70 after 12 consecutive negative quarters
NET PROFIT(Q) At MXN 458.58 MM has Grown at 1,122.48%
PRE-TAX PROFIT(Q) Highest at MXN 739.87 MM

With ROE of 2.05%, it has a very expensive valuation with a 2.18 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 -10.44%, its profits have fallen by -75.2%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -10.44% returns in the last 1 year, the stock has also underperformed Mexico IPC in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Grupo Lamosa SAB de CV should be less than 10%
Overall Portfolio exposure to Building Products should be less than 30%

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

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

Is Grupo Lamosa SAB de CV for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Grupo Lamosa SAB de CV

-100.0%

-1.59

11.27%

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)

13.91%

EBIT Growth (5y)

8.49%

EBIT to Interest (avg)

5.75

Debt to EBITDA (avg)

1.62

Net Debt to Equity (avg)

0.85

Sales to Capital Employed (avg)

1.02

Tax Ratio

100.00%

Dividend Payout Ratio

524.11%

Pledged Shares

Institutional Holding

ROCE (avg)

22.17%

ROE (avg)

20.13%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

107

Industry P/E

Price to Book Value

2.18

EV to EBIT

12.67

EV to EBITDA

9.37

EV to Capital Employed

1.60

EV to Sales

1.64

PEG Ratio

Dividend Yield

ROCE (Latest)

12.63%

ROE (Latest)

2.05%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

Bearish

No Signal

Bollinger Bands

Mildly Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

No Trend

OBV

Mildly Bearish

No Trend

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

10What is working for the Company

NET PROFIT(Q)

At MXN 458.58 MM has Grown at 1,122.48%

PRE-TAX PROFIT(Q)

Highest at MXN 739.87 MM

-9What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at MXN 2,671.08 MM

INTEREST(Q)

At MXN 475.3 MM has Grown at 16.82%

RAW MATERIAL COST(Y)

Grown by 6.19% (YoY

CASH AND EQV(HY)

Lowest at MXN 1,190.11 MM

DEBT-EQUITY RATIO (HY)

Highest at 101.33 %

DEBTORS TURNOVER RATIO(HY)

Lowest at 4.81%

Here's what is working for Grupo Lamosa SAB de CV

Pre-Tax Profit

At MXN 739.87 MM has Grown at 37,343.02%

over average net sales of the previous four periods of MXN 1.98 MM

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (MXN MM)

Net Profit

At MXN 458.58 MM has Grown at 1,122.48%

over average net sales of the previous four periods of MXN -44.85 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (MXN MM)

Pre-Tax Profit

Highest at MXN 739.87 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (MXN MM)

Depreciation

Highest at MXN 472.99 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (MXN MM)

Depreciation

At MXN 472.99 MM has Grown at 27.82%

period on period (QoQ)

MOJO Watch

The expenditure on assets done by the company has gone into productive use which should positively reflect in the future sales

Depreciation (MXN MM)

Here's what is not working for Grupo Lamosa SAB de CV

Interest

At MXN 475.3 MM has Grown at 16.82%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (MXN MM)

Operating Cash Flow

Lowest at MXN 2,671.08 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (MXN MM)

Cash and Eqv

Lowest at MXN 1,190.11 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debt-Equity Ratio

Highest at 101.33 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Debtors Turnover Ratio

Lowest at 4.81%

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Raw Material Cost

Grown by 6.19% (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