Johnson Matthey Plc (JMAT) 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

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Johnson Matthey Plc

Why is Johnson Matthey Plc ?

Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of 3.58

Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of 3.58

Poor long term growth as Operating profit has grown by an annual rate 0.05% of over the last 5 years

Negative results in Sep 25

ROCE(HY) Lowest at -5.62%
RAW MATERIAL COST(Y) Grown by 16.87% (YoY)
DEBT-EQUITY RATIO (HY) Highest at 43.65 %

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of 22.91%, its profits have fallen by -72%

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 Chemicals & Petrochemicals)

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

Is Johnson Matthey Plc for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Johnson Matthey Plc

22.3%

-1.29

41.71%

FTSE 100

13.98%

1.15

13.60%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-5.01%

EBIT Growth (5y)

0.05%

EBIT to Interest (avg)

3.58

Debt to EBITDA (avg)

1.28

Net Debt to Equity (avg)

0.31

Sales to Capital Employed (avg)

3.59

Tax Ratio

23.40%

Dividend Payout Ratio

36.33%

Pledged Shares

Institutional Holding

ROCE (avg)

13.74%

ROE (avg)

16.34%

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

1.58

EV to EBIT

10.42

EV to EBITDA

7.37

EV to Capital Employed

1.41

EV to Sales

0.37

PEG Ratio

Dividend Yield

421.97%

ROCE (Latest)

13.50%

ROE (Latest)

7.81%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bearish

OBV

Mildly Bearish

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

1What is working for the Company

INVENTORY TURNOVER RATIO(HY)

Highest at 10.54 times

-13What is not working for the Company

ROCE(HY)

Lowest at -5.62%

RAW MATERIAL COST(Y)

Grown by 16.87% (YoY

DEBT-EQUITY RATIO (HY)

Highest at 43.65 %

INTEREST(Q)

Highest at GBP 82 MM

PRE-TAX PROFIT(Q)

Lowest at GBP 110 MM

NET PROFIT(Q)

Lowest at GBP -21 MM

Here's what is working for Johnson Matthey Plc

Inventory Turnover Ratio

Highest at 10.54 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Here's what is not working for Johnson Matthey Plc

Pre-Tax Profit

At GBP 110 MM has Fallen at -80.57%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (GBP MM)

Net Profit

At GBP -21 MM has Fallen at -104.18%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (GBP MM)

Interest

Highest at GBP 82 MM

in the last five periods and Increased by 17.14% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (GBP MM)

Pre-Tax Profit

Lowest at GBP 110 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (GBP MM)

Net Profit

Lowest at GBP -21 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (GBP MM)

Debt-Equity Ratio

Highest at 43.65 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Raw Material Cost

Grown by 16.87% (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