Why is Johnson Service Group Plc ?
1
Poor Management Efficiency with a low ROE of 6.45%
- The company has been able to generate a Return on Equity (avg) of 6.45% signifying low profitability per unit of shareholders funds
2
Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of 4.08
- Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of 4.08
- The company has been able to generate a Return on Equity (avg) of 6.45% signifying low profitability per unit of shareholders funds
3
Poor long term growth as Operating profit has grown by an annual rate 32.43% of over the last 5 years
4
Flat results in Jun 26
- INTEREST COVERAGE RATIO(Q) Lowest at 1,693.48
- CASH AND EQV(HY) Lowest at GBP 6.4 MM
- DEBT-EQUITY RATIO (HY) Highest at 70.03 %
5
With ROE of 15.30%, it has a fair valuation with a 2.17 Price to Book Value
- Over the past year, while the stock has generated a return of -3.80%, its profits have risen by 17.5% ; the PEG ratio of the company is 0.5
6
Below par performance in long term as well as near term
- Along with generating -3.80% returns in the last 1 year, the stock has also underperformed FTSE 100 in the last 3 years, 1 year and 3 months
How much should you hold?
- Overall Portfolio exposure to Johnson Service Group Plc should be less than 10%
- Overall Portfolio exposure to Miscellaneous should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Miscellaneous)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Johnson Service Group Plc for you?
Medium Risk, Low Return
Absolute
Risk Adjusted
Volatility
Johnson Service Group Plc
-100.0%
-0.55
28.78%
FTSE 100
16.07%
1.36
11.82%
Quality key factors
Factor
Value
Sales Growth (5y)
18.43%
EBIT Growth (5y)
32.43%
EBIT to Interest (avg)
7.98
Debt to EBITDA (avg)
0.56
Net Debt to Equity (avg)
0.24
Sales to Capital Employed (avg)
1.23
Tax Ratio
27.85%
Dividend Payout Ratio
51.89%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
12.72%
ROE (avg)
6.45%
Valuation Key Factors 
Factor
Value
P/E Ratio
14
Industry P/E
Price to Book Value
2.17
EV to EBIT
12.62
EV to EBITDA
4.52
EV to Capital Employed
1.82
EV to Sales
1.34
PEG Ratio
0.52
Dividend Yield
3.13%
ROCE (Latest)
14.38%
ROE (Latest)
15.30%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Sideways
Mildly Bearish
Moving Averages
Mildly Bearish (Daily)
KST
Bearish
Bearish
Dow Theory
Mildly Bullish
No Trend
OBV
No Trend
No Trend
Technical Movement
6What is working for the Company
OPERATING CASH FLOW(Y)
Highest at GBP 280.2 MM
ROCE(HY)
Highest at 13.25%
RAW MATERIAL COST(Y)
Fallen by -358.8% (YoY
-6What is not working for the Company
INTEREST COVERAGE RATIO(Q)
Lowest at 1,693.48
CASH AND EQV(HY)
Lowest at GBP 6.4 MM
DEBT-EQUITY RATIO
(HY)
Highest at 70.03 %
INVENTORY TURNOVER RATIO(HY)
Lowest at 69.54 times
DEBTORS TURNOVER RATIO(HY)
Lowest at 5.64 times
Here's what is working for Johnson Service Group Plc
Operating Cash Flow
Highest at GBP 280.2 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)
Raw Material Cost
Fallen by -358.8% (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
Here's what is not working for Johnson Service Group Plc
Interest Coverage Ratio
Lowest at 1,693.48
in the last five periodsMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Cash and Eqv
Lowest at GBP 6.4 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is deteriorating
Cash and Cash Equivalents
Debt-Equity Ratio
Highest at 70.03 %
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
Inventory Turnover Ratio
Lowest at 69.54 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling inventory has slowed
Inventory Turnover Ratio
Debtors Turnover Ratio
Lowest at 5.64 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio
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