ScoreWhy is Honda Atlas Cars (Pakistan) Ltd. ?
1
Poor Management Efficiency with a low ROE of 9.22%
- The company has been able to generate a Return on Equity (avg) of 9.22% signifying low profitability per unit of shareholders funds
2
Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 12.64
3
Poor long term growth as Net Sales has grown by an annual rate of 7.24% and Operating profit at 6.57% over the last 5 years
4
Positive results in Mar 25
- OPERATING CASH FLOW(Y) Highest at PKR 11,959.69 MM
- ROCE(HY) Highest at 12.02%
- RAW MATERIAL COST(Y) Fallen by -22.04% (YoY)
5
With ROE of 11.6, it has a attractive valuation with a 1.8 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 0%, its profits have risen by 16.1% ; the PEG ratio of the company is 1
Real-Time Research ReportHow 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 Automobiles)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Honda Atlas Cars (Pakistan) Ltd. for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Honda Atlas Cars (Pakistan) Ltd.
-9.88%
-0.06
44.38%
Pakistan KSE 100 Share
26.26%
2.81
22.77%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
13.33%
EBIT Growth (5y)
19.37%
EBIT to Interest (avg)
12.64
Debt to EBITDA (avg)
0.38
Net Debt to Equity (avg)
-0.13
Sales to Capital Employed (avg)
2.74
Tax Ratio
18.69%
Dividend Payout Ratio
42.17%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
48.34%
ROE (avg)
9.22%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
13
Industry P/E
Price to Book Value
1.88
EV to EBIT
8.78
EV to EBITDA
6.51
EV to Capital Employed
1.98
EV to Sales
0.46
PEG Ratio
0.33
Dividend Yield
2.63%
ROCE (Latest)
22.60%
ROE (Latest)
14.42%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Bearish
RSI
Bullish
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Mildly Bearish
Dow Theory
Mildly Bullish
Mildly Bearish
OBV
Mildly Bearish
Mildly Bearish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend13What is working for the Company
NET PROFIT(9M)
At PKR 2,226.08 MM has Grown at 116.8%
ROCE(HY)
Highest at 16.89%
DEBTORS TURNOVER RATIO(HY)
Highest at 6.85 times
NET SALES(Q)
Highest at PKR 33,103.17 MM
-12What is not working for the Company
INTEREST COVERAGE RATIO(Q)
Lowest at 332.39
RAW MATERIAL COST(Y)
Grown by 20.22% (YoY
INTEREST(Q)
Highest at PKR 553.17 MM
Here's what is working for Honda Atlas Cars (Pakistan) Ltd.
Debtors Turnover Ratio
Highest at 6.85 times and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Net Profit
At PKR 2,226.08 MM has Grown at 116.8%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is positive
Net Profit (PKR MM)
Net Sales
Highest at PKR 33,103.17 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (PKR MM)
Net Sales
At PKR 33,103.17 MM has Grown at 35.98%
over average net sales of the previous four periods of PKR 24,344.66 MMMOJO Watch
Near term sales trend is positive
Net Sales (PKR MM)
Here's what is not working for Honda Atlas Cars (Pakistan) Ltd.
Interest
At PKR 553.17 MM has Grown at 75.8%
period on period (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (PKR MM)
Interest Coverage Ratio
Lowest at 332.39
in the last five periodsMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Interest
Highest at PKR 553.17 MM
in the last five periods and Increased by 75.8% (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (PKR MM)
Raw Material Cost
Grown by 20.22% (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
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
GET THE MARKETSMOJO APP
Company
Stocks
Portfolio
"Investment in securities markets are subject to market risk. Read all the related documents carefully before investing."
