Industrias CH SA de CV (ICHB) 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

Industrias CH SA de CV

Grupo SIMEC SAB de CV

Why is Industrias CH SA de CV ?

Weak Long Term Fundamental Strength with an average Return on Equity (ROE) of 18.06%

The company has declared Negative results for the last 5 consecutive quarters

OPERATING CASH FLOW(Y) Lowest at MXN 2,207.62 MM
NET PROFIT(HY) At MXN 2,116.16 MM has Grown at -45.07%
ROCE(HY) Lowest at 2.48%

With ROE of 7.04%, it has a fair valuation with a 1.34 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 0.56%, its profits have fallen by -64.2%

Underperformed the market in the last 1 year

The stock has generated a return of 0.56% in the last 1 year, much lower than market (Mexico IPC) returns of 13.56%

Real-Time Research Report

Verdict Report

How 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 Ferrous Metals)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Industrias CH SA de CV for you?

Low Risk, High Return

Absolute

Risk Adjusted

Volatility

Industrias CH SA de CV

1.93%

313.74

17.07%

Mexico IPC

11.57%

0.71

19.23%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-1.10%

EBIT Growth (5y)

5.32%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.54

Sales to Capital Employed (avg)

0.69

Tax Ratio

8.74%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

0.19%

ROCE (avg)

40.67%

ROE (avg)

18.06%

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

1.34

EV to EBIT

8.58

EV to EBITDA

6.99

EV to Capital Employed

1.70

EV to Sales

1.34

PEG Ratio

Dividend Yield

ROCE (Latest)

19.85%

ROE (Latest)

7.04%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Sideways

Moving Averages

Bullish (Daily)

KST

Mildly Bullish

Dow Theory

No Trend

OBV

Mildly Bullish

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

15What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -4.99% (YoY

NET SALES(Q)

Highest at MXN 8,947.37 MM

OPERATING PROFIT(Q)

Highest at MXN 1,973.47 MM

OPERATING PROFIT MARGIN(Q)

Highest at 22.06 %

PRE-TAX PROFIT(Q)

Highest at MXN 2,048.32 MM

NET PROFIT(Q)

Highest at MXN 1,582.87 MM

EPS(Q)

Highest at MXN 3.9

-21What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at MXN 2,207.62 MM

NET PROFIT(HY)

At MXN 2,116.16 MM has Grown at -45.07%

ROCE(HY)

Lowest at 2.48%

DEBTORS TURNOVER RATIO(HY)

Lowest at 2.88 times

INTEREST(Q)

Highest at MXN 38.99 MM

Here's what is working for Industrias CH SA de CV

Pre-Tax Profit

At MXN 2,048.32 MM has Grown at 202.36%

over average net sales of the previous four periods of MXN 677.45 MM

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (MXN MM)

Net Profit

At MXN 1,582.87 MM has Grown at 511.17%

over average net sales of the previous four periods of MXN 258.99 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (MXN MM)

Net Sales

Highest at MXN 8,947.37 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (MXN MM)

Operating Profit

Highest at MXN 1,973.47 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (MXN MM)

Operating Profit Margin

Highest at 22.06 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at MXN 2,048.32 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (MXN MM)

Net Profit

Highest at MXN 1,582.87 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (MXN MM)

EPS

Highest at MXN 3.9

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (MXN)

Raw Material Cost

Fallen by -4.99% (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 MXN 325.66 MM

in the last five periods

MOJO Watch

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

Depreciation (MXN MM)

Here's what is not working for Industrias CH SA de CV

Interest

At MXN 38.99 MM has Grown at 35.19%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (MXN MM)

Operating Cash Flow

Lowest at MXN 2,207.62 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (MXN MM)

Interest

Highest at MXN 38.99 MM

in the last five periods and Increased by 35.19% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (MXN MM)

Debtors Turnover Ratio

Lowest at 2.88 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio