ScoreComparison
Why is INNOVATE Corp. ?
1
With a Negative Book Value, the company has a Weak Long Term Fundamental Strength
- Low ability to service debt as the company has a high Debt to EBITDA ratio of 11.77 times
- The company has reported losses and also has negative networth. This is not a good sign for the investors. Either company will have to raise fresh capital or report profits to sustain going forward
2
The company has declared Negative results for the last 3 consecutive quarters
- PRE-TAX PROFIT(Q) At USD -15.3 MM has Fallen at -101.98%
- NET PROFIT(Q) At USD -18.3 MM has Fallen at -99.46%
- INVENTORY TURNOVER RATIO(HY) Lowest at 39.75 times
3
Risky - Negative Book Value
- The stock is trading risky as compared to its average historical valuations
- Over the past year, while the stock has generated a return of -22.97%, its profits have risen by 9.6%
4
Consistent Underperformance against the benchmark over the last 3 years
- Along with generating -22.97% 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 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 Construction)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is INNOVATE Corp. for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
INNOVATE Corp.
-53.74%
-0.21
117.79%
S&P 500
13.68%
0.70
20.15%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
-6.33%
EBIT Growth (5y)
19.07%
EBIT to Interest (avg)
0.30
Debt to EBITDA (avg)
11.77
Net Debt to Equity (avg)
-3.42
Sales to Capital Employed (avg)
2.35
Tax Ratio
28.61%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
28.29%
ROCE (avg)
4.00%
ROE (avg)
0
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
NA (Loss Making)
Industry P/E
Price to Book Value
-0.28
EV to EBIT
29.97
EV to EBITDA
13.01
EV to Capital Employed
1.68
EV to Sales
0.65
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
5.61%
ROE (Latest)
Negative BV
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Bearish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
Mildly Bearish
Mildly Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend11What is working for the Company
OPERATING CASH FLOW(Y)
Highest at USD 86.9 MM
NET SALES(Q)
Highest at USD 347.1 MM
NET PROFIT(Q)
Highest at USD -7.9 MM
EPS(Q)
Highest at USD -0.71
-13What is not working for the Company
NET PROFIT(HY)
At USD -26.2 MM has Grown at -8,833.33%
DEBT-EQUITY RATIO
(HY)
Highest at -306.96 %
RAW MATERIAL COST(Y)
Grown by 29.27% (YoY
INTEREST(Q)
Highest at USD 23.4 MM
OPERATING PROFIT MARGIN(Q)
Lowest at 4.21 %
Here's what is working for INNOVATE Corp.
Operating Cash Flow
Highest at USD 86.9 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 (USD MM)
Net Sales
At USD 347.1 MM has Grown at 39.54%
over average net sales of the previous four periods of USD 248.75 MMMOJO Watch
Near term sales trend is very positive
Net Sales (USD MM)
Net Sales
Highest at USD 347.1 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (USD MM)
Net Profit
Highest at USD -7.9 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (USD MM)
Net Profit
At USD -7.9 MM has Grown at 54.99%
over average net sales of the previous four periods of USD -17.55 MMMOJO Watch
Near term Net Profit trend is positive
Net Profit (USD MM)
EPS
Highest at USD -0.71
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (USD)
Here's what is not working for INNOVATE Corp.
Debt-Equity Ratio
Highest at -306.96 % and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
Interest
Highest at USD 23.4 MM
in the last five periods and Increased by 9.35% (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (USD MM)
Operating Profit Margin
Lowest at 4.21 %
in the last five periodsMOJO Watch
Company's profit margin has deteriorated
Operating Profit to Sales
Raw Material Cost
Grown by 29.27% (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
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