ScoreWhy is Hostelworld Group Plc ?
1
Poor Management Efficiency with a low ROCE of 6.76%
- The company has been able to generate a Return on Capital Employed (avg) of 6.76% signifying low profitability per unit of total capital (equity and debt)
2
Low ability to service debt as the company has a high Debt to EBITDA ratio of 0.59 times
- Poor long term growth as Net Sales has grown by an annual rate of 42.78% and Operating profit at 18.55% over the last 5 years
- Low ability to service debt as the company has a high Debt to EBITDA ratio of 0.59 times
- The company has been able to generate a Return on Equity (avg) of 5.81% signifying low profitability per unit of shareholders funds
3
Poor long term growth as Net Sales has grown by an annual rate of 42.78% and Operating profit at 18.55% over the last 5 years
- ROCE(HY) Lowest at 9.13%
- INTEREST COVERAGE RATIO(Q) Lowest at 426.32
- INTEREST(Q) Highest at GBP 1.65 MM
4
With ROE of 11.28%, it has a very expensive valuation with a 2.12 Price to Book Value
- Over the past year, while the stock has generated a return of -6.96%, its profits have fallen by -16%
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 Tour, Travel Related Services)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Hostelworld Group Plc for you?
Medium Risk, Low Return
Absolute
Risk Adjusted
Volatility
Hostelworld Group Plc
-6.96%
-1.03
30.60%
FTSE 100
18.59%
1.58
11.75%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
42.78%
EBIT Growth (5y)
18.55%
EBIT to Interest (avg)
1.35
Debt to EBITDA (avg)
0.20
Net Debt to Equity (avg)
-0.02
Sales to Capital Employed (avg)
1.00
Tax Ratio
7.22%
Dividend Payout Ratio
43.59%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
11.68%
ROE (avg)
5.81%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
19
Industry P/E
Price to Book Value
2.12
EV to EBIT
13.60
EV to EBITDA
7.53
EV to Capital Employed
2.09
EV to Sales
1.71
PEG Ratio
NA
Dividend Yield
76.11%
ROCE (Latest)
15.40%
ROE (Latest)
11.28%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Sideways
Mildly Bearish
Moving Averages
Bearish (Daily)
KST
Bullish
Bearish
Dow Theory
Mildly Bullish
No Trend
OBV
Mildly Bearish
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend7What is working for the Company
OPERATING CASH FLOW(Y)
Highest at GBP 33.18 MM
DIVIDEND PAYOUT RATIO(Y)
Highest at 203.14%
RAW MATERIAL COST(Y)
Fallen by -0.45% (YoY
CASH AND EQV(HY)
Highest at GBP 12.92 MM
NET SALES(Q)
Highest at GBP 45.27 MM
-16What is not working for the Company
ROCE(HY)
Lowest at 9.13%
INTEREST COVERAGE RATIO(Q)
Lowest at 426.32
INTEREST(Q)
Highest at GBP 1.65 MM
OPERATING PROFIT MARGIN(Q)
Lowest at 15.52 %
PRE-TAX PROFIT(Q)
Lowest at GBP 0.87 MM
NET PROFIT(Q)
Lowest at GBP 0.43 MM
EPS(Q)
Lowest at GBP 0
Here's what is working for Hostelworld Group Plc
Operating Cash Flow
Highest at GBP 33.18 MM and Grown
In each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (GBP MM)
Net Sales
Highest at GBP 45.27 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (GBP MM)
Cash and Eqv
Highest at GBP 12.92 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Dividend Payout Ratio
Highest at 203.14%
in the last five yearsMOJO Watch
Company is distributing higher proportion of profits generated as dividend
DPR (%)
Raw Material Cost
Fallen by -0.45% (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
Depreciation
Highest at GBP 4.6 MM
in the last five periodsMOJO Watch
The expenditure on assets done by the company may have gone into operation
Depreciation (GBP MM)
Here's what is not working for Hostelworld Group Plc
Net Profit
At GBP 0.43 MM has Fallen at -53.2%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is very negative
Net Profit (GBP MM)
Interest Coverage Ratio
Lowest at 426.32
in the last five periodsMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Pre-Tax Profit
At GBP 0.87 MM has Fallen at -39.44%
Year on Year (YoY)MOJO Watch
Near term Pre-Tax Profit trend is very negative
Pre-Tax Profit (GBP MM)
Interest
Highest at GBP 1.65 MM
in the last five periods and Increased by 35.13% (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (GBP MM)
Operating Profit Margin
Lowest at 15.52 %
in the last five periodsMOJO Watch
Company's profit margin has deteriorated
Operating Profit to Sales
Pre-Tax Profit
Lowest at GBP 0.87 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is negative
Pre-Tax Profit (GBP MM)
Net Profit
Lowest at GBP 0.43 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is negative
Net Profit (GBP MM)
EPS
Lowest at GBP 0
in the last five periodsMOJO Watch
Declining profitability; company has created lower earnings for shareholders
EPS (GBP)
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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