Hayleys Fibre PLC (HEXP.N0000) 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

Hayleys Fibre PLC

Why is Hayleys Fibre PLC ?

With a growth in Net Profit of 76.38%, the company declared Very Positive results in Mar 26

The company has declared positive results for the last 4 consecutive quarters
NET SALES(HY) At LKR 3,669.77 MM has Grown at 64.55%
ROCE(HY) Highest at 11.84%
INTEREST COVERAGE RATIO(Q) Highest at 476.24

With ROE of 17.35%, it has a expensive valuation with a 0.00 Price to Book Value

Over the past year, while the stock has generated a return of 213.37%, its profits have risen by 668.5%

Market Beating performance in long term as well as near term

Along with generating 213.37% returns in the last 1 year, the stock has outperformed Sri Lanka CSE All Share 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 Hayleys Fibre PLC should be less than 10%
Overall Portfolio exposure to Garments & Apparels should be less than 30%

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

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

Is Hayleys Fibre PLC for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Hayleys Fibre PLC

213.37%

2.87

68.09%

Sri Lanka CSE All Share

11.95%

0.72

16.49%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

37.74%

EBIT Growth (5y)

48.67%

EBIT to Interest (avg)

2.00

Debt to EBITDA (avg)

3.86

Net Debt to Equity (avg)

1.06

Sales to Capital Employed (avg)

1.83

Tax Ratio

32.45%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

13.01%

ROE (avg)

16.04%

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

EV to EBIT

4.30

EV to EBITDA

3.61

EV to Capital Employed

0.58

EV to Sales

0.30

PEG Ratio

Dividend Yield

ROCE (Latest)

13.49%

ROE (Latest)

17.35%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

No Trend

Mildly Bullish

OBV

No Trend

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

29What is working for the Company

NET SALES(HY)

At LKR 3,669.77 MM has Grown at 64.55%

ROCE(HY)

Highest at 11.84%

INTEREST COVERAGE RATIO(Q)

Highest at 476.24

RAW MATERIAL COST(Y)

Fallen by -37.51% (YoY

INVENTORY TURNOVER RATIO(HY)

Highest at 5.7 times

OPERATING PROFIT(Q)

Highest at LKR 247.32 MM

OPERATING PROFIT MARGIN(Q)

Highest at 13.53 %

PRE-TAX PROFIT(Q)

Highest at LKR 184.38 MM

NET PROFIT(Q)

Highest at LKR 83.39 MM

EPS(Q)

Highest at LKR 3.47

-8What is not working for the Company

DEBT-EQUITY RATIO (HY)

Highest at 138.13 %

INTEREST(Q)

Highest at LKR 51.93 MM

Here's what is working for Hayleys Fibre PLC

Net Profit

At LKR 83.39 MM has Grown at 279.82%

over average net sales of the previous four periods of LKR 21.95 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (LKR MM)

Interest Coverage Ratio

Highest at 476.24

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Pre-Tax Profit

At LKR 184.38 MM has Grown at 201.05%

over average net sales of the previous four periods of LKR 61.25 MM

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (LKR MM)

Net Sales

At LKR 3,669.77 MM has Grown at 64.55%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (LKR MM)

Operating Profit

Highest at LKR 247.32 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (LKR MM)

Operating Profit Margin

Highest at 13.53 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at LKR 184.38 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (LKR MM)

Net Profit

Highest at LKR 83.39 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (LKR MM)

EPS

Highest at LKR 3.47

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (LKR)

Inventory Turnover Ratio

Highest at 5.7 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Raw Material Cost

Fallen by -37.51% (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 Hayleys Fibre PLC

Interest

At LKR 51.93 MM has Grown at 45.35%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (LKR MM)

Interest

Highest at LKR 51.93 MM

in the last five periods and Increased by 45.35% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (LKR MM)

Debt-Equity Ratio

Highest at 138.13 %

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