ScoreWhy is L B Finance Plc ?
1
Strong Long Term Fundamental Strength with an average Return on Equity (ROE) of 23.03%
2
With ROE of 19.70%, it has a attractive valuation with a 1.71 Price to Book Value
- The stock is trading at a discount compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 83.50%, its profits have risen by 12% ; the PEG ratio of the company is 0.7
- At the current price, the company has a high dividend yield of 0.1
3
Market Beating Performance
- The stock has generated a return of 83.50% in the last 1 year, much higher than market (Sri Lanka CSE All Share) returns of 41.16%
Real-Time Research ReportHow much should you buy?
- Overall Portfolio exposure to L B Finance Plc should be less than 10%
- Overall Portfolio exposure to Capital Markets should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Capital Markets)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is L B Finance Plc for you?
Medium Risk, High Return
Absolute
Risk Adjusted
Volatility
L B Finance Plc
82.68%
4.78
26.90%
Sri Lanka CSE All Share
41.16%
2.63
15.67%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
8.10%
EBIT Growth (5y)
8.36%
EBIT to Interest (avg)
5.69
Debt to EBITDA (avg)
Negative Net Debt
Net Debt to Equity (avg)
0
Sales to Capital Employed (avg)
0
Tax Ratio
33.82%
Dividend Payout Ratio
33.16%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
53.50%
ROE (avg)
23.03%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
9
Industry P/E
Price to Book Value
1.71
EV to EBIT
3.84
EV to EBITDA
3.66
EV to Capital Employed
2.10
EV to Sales
1.75
PEG Ratio
0.73
Dividend Yield
0.12%
ROCE (Latest)
54.58%
ROE (Latest)
19.70%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Mildly Bullish
Moving Averages
Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
No Trend
No Trend
OBV
No Trend
Mildly Bearish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend5What is working for the Company
NET SALES(Q)
Highest at LKR 14,921.76 MM
CASH AND EQV(HY)
Highest at LKR 34,210.57 MM
PRE-TAX PROFIT(Q)
Highest at LKR 5,110.06 MM
-5What is not working for the Company
OPERATING CASH FLOW(Y)
Lowest at LKR -3,049.87 MM
DEBT-EQUITY RATIO
(HY)
Highest at 185.09 %
Here's what is working for L B Finance Plc
Net Sales
Highest at LKR 14,921.76 MM and Grown
In each period in the last five periodsMOJO Watch
Near term sales trend is very positive
Net Sales (LKR MM)
Net Sales
At LKR 14,921.76 MM has Grown at 27.7%
over average net sales of the previous four periods of LKR 11,684.94 MMMOJO Watch
Near term sales trend is positive
Net Sales (LKR MM)
Pre-Tax Profit
Highest at LKR 5,110.06 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (LKR MM)
Cash and Eqv
Highest at LKR 34,210.57 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Depreciation
Highest at LKR 308.03 MM
in the last five periodsMOJO Watch
The expenditure on assets done by the company may have gone into operation
Depreciation (LKR MM)
Here's what is not working for L B Finance Plc
Operating Cash Flow
Lowest at LKR -3,049.87 MM and Fallen
In each year in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (LKR MM)
Debt-Equity Ratio
Highest at 185.09 % 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
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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