Journey Energy, Inc. (JOY) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Africa Oil Corp.

Valeura Energy, Inc.

Journey Energy, Inc.

Headwater Exploration, Inc.

Birchcliff Energy Ltd.

PetroTal Corp.

Pipestone Energy Corp.

Kelt Exploration Ltd.

Tamarack Valley Energy Ltd.

Logan Energy Corp.

Lucero Energy Corp.

Why is Journey Energy, Inc. ?

High Management Efficiency with a high ROCE of 11.53%

High Debt company with Weak Long Term Fundamental Strength

The company has declared Negative results for the last 7 consecutive quarters

OPERATING CASH FLOW(Y) Lowest at CAD 44.14 MM
INTEREST(Q) At CAD 2.08 MM has Grown at 22.51%
DEBT-EQUITY RATIO (HY) Highest at 15.23 %

With ROE of 4.77%, it has a fair valuation with a 0.62 Price to Book Value

The stock is trading at a fair value compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 32.26%, its profits have risen by 21.8% ; the PEG ratio of the company is 1.1

Majority shareholders : FIIs

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Journey Energy, Inc. should be less than 10%
Overall Portfolio exposure to Oil should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Oil)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Journey Energy, Inc. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Journey Energy, Inc.

69.68%

2.24

51.07%

S&P/TSX 60

20.39%

1.54

14.62%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

17.08%

EBIT Growth (5y)

21.31%

EBIT to Interest (avg)

2.74

Debt to EBITDA (avg)

0.97

Net Debt to Equity (avg)

0.12

Sales to Capital Employed (avg)

0.49

Tax Ratio

23.03%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

0.02%

ROCE (avg)

11.53%

ROE (avg)

16.30%

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

0.64

EV to EBIT

15.33

EV to EBITDA

4.18

EV to Capital Employed

0.69

EV to Sales

1.62

PEG Ratio

1.18

Dividend Yield

ROCE (Latest)

4.47%

ROE (Latest)

4.77%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Mildly Bearish

Mildly Bullish

Dow Theory

Mildly Bullish

No Trend

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

17What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -182.43% (YoY

DEBTORS TURNOVER RATIO(HY)

Highest at 7.72%

NET SALES(Q)

Highest at CAD 42.63 MM

OPERATING PROFIT(Q)

Highest at CAD 19.59 MM

OPERATING PROFIT MARGIN(Q)

Highest at 45.96 %

PRE-TAX PROFIT(Q)

At CAD 5.39 MM has Grown at 69.69%

NET PROFIT(Q)

At CAD 4.07 MM has Grown at 65.94%

-6What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at CAD 44.14 MM

INTEREST(Q)

At CAD 2.08 MM has Grown at 22.51%

DEBT-EQUITY RATIO (HY)

Highest at 15.23 %

Here's what is working for Journey Energy, Inc.

Net Sales

Highest at CAD 42.63 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (CAD MM)

Operating Profit

Highest at CAD 19.59 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (CAD MM)

Operating Profit Margin

Highest at 45.96 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

At CAD 5.39 MM has Grown at 69.69%

over average net sales of the previous four periods of CAD 3.18 MM

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CAD MM)

Net Profit

At CAD 4.07 MM has Grown at 65.94%

over average net sales of the previous four periods of CAD 2.45 MM

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CAD MM)

Debtors Turnover Ratio

Highest at 7.72%

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by -182.43% (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 CAD 12.12 MM

in the last five periods

MOJO Watch

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

Depreciation (CAD MM)

Here's what is not working for Journey Energy, Inc.

Operating Cash Flow

Lowest at CAD 44.14 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CAD MM)

Interest

At CAD 2.08 MM has Grown at 22.51%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CAD MM)

Debt-Equity Ratio

Highest at 15.23 %

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