ScoreWhy is H.B. Fuller Co. ?
1
Weak Long Term Fundamental Strength with an average Return on Capital Employed (ROCE) of 9.05%
2
Flat results in May 25
- OPERATING CASH FLOW(Y) Lowest at USD 231.23 MM
- NET PROFIT(HY) At USD 58.65 MM has Grown at -31.72%
- ROCE(HY) Lowest at 5.62%
3
With ROCE of 9.06%, it has a very expensive valuation with a 1.33 Enterprise value to Capital Employed
- 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 -17.98%, its profits have risen by 14.5% ; the PEG ratio of the company is 1.2
4
Consistent Underperformance against the benchmark over the last 3 years
- Along with generating -17.98% returns in the last 1 year, the stock has also underperformed S&P 500 in each of the last 3 annual periods
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to H.B. Fuller Co. should be less than 10%
- Overall Portfolio exposure to Other Industrial Products should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Other Industrial Products)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is H.B. Fuller Co. for you?
Medium Risk, Low Return
Absolute
Risk Adjusted
Volatility
H.B. Fuller Co.
8.34%
-0.59
33.76%
S&P 500
22.36%
0.70
20.15%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
3.79%
EBIT Growth (5y)
9.26%
EBIT to Interest (avg)
3.02
Debt to EBITDA (avg)
3.89
Net Debt to Equity (avg)
1.08
Sales to Capital Employed (avg)
0.91
Tax Ratio
39.61%
Dividend Payout Ratio
33.79%
Pledged Shares
0
Institutional Holding
100.00%
ROCE (avg)
9.05%
ROE (avg)
10.01%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
16
Industry P/E
Price to Book Value
1.56
EV to EBIT
13.65
EV to EBITDA
9.23
EV to Capital Employed
1.29
EV to Sales
1.50
PEG Ratio
2.60
Dividend Yield
1.57%
ROCE (Latest)
9.43%
ROE (Latest)
9.54%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bullish
Bearish
Moving Averages
Bullish (Daily)
KST
Mildly Bearish
Mildly Bullish
Dow Theory
Mildly Bullish
No Trend
OBV
Mildly Bullish
Mildly Bearish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend13What is working for the Company
INTEREST COVERAGE RATIO(Q)
Highest at 506.68
RAW MATERIAL COST(Y)
Fallen by -6.12% (YoY
DEBT-EQUITY RATIO
(HY)
Lowest at 94.03 %
NET SALES(Q)
Highest at USD 950.27 MM
OPERATING PROFIT(Q)
Highest at USD 165.97 MM
PRE-TAX PROFIT(Q)
Highest at USD 97.86 MM
NET PROFIT(Q)
Highest at USD 71.95 MM
EPS(Q)
Highest at USD 1.23
-3What is not working for the Company
DIVIDEND PAYOUT RATIO(Y)
Lowest at 19.9%
INVENTORY TURNOVER RATIO(HY)
Lowest at 4.64 times
DEBTORS TURNOVER RATIO(HY)
Lowest at 5.81 times
Here's what is working for H.B. Fuller Co.
Interest Coverage Ratio
Highest at 506.68
in the last five periodsMOJO Watch
The company's ability to manage interest payments is improving
Operating Profit to Interest
Net Sales
Highest at USD 950.27 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (USD MM)
Operating Profit
Highest at USD 165.97 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (USD MM)
Pre-Tax Profit
Highest at USD 97.86 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (USD MM)
Pre-Tax Profit
At USD 97.86 MM has Grown at 41.44%
over average net sales of the previous four periods of USD 69.19 MMMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (USD MM)
Net Profit
Highest at USD 71.95 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (USD MM)
Net Profit
At USD 71.95 MM has Grown at 46.12%
over average net sales of the previous four periods of USD 49.24 MMMOJO Watch
Near term Net Profit trend is positive
Net Profit (USD MM)
EPS
Highest at USD 1.23
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (USD)
Debt-Equity Ratio
Lowest at 94.03 %
in the last five Semi-Annual periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Raw Material Cost
Fallen by -6.12% (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 H.B. Fuller Co.
Inventory Turnover Ratio
Lowest at 4.64 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 5.81 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio
Dividend Payout Ratio
Lowest at 19.9%
in the last five yearsMOJO Watch
Company is distributing lower proportion of profits generated as dividend
DPR (%)
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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