ScoreWhy is La Française des Jeux SA ?
1
Strong Long Term Fundamental Strength with an average Return on Equity (ROE) of 35.26%
- Healthy long term growth as Net Sales has grown by an annual rate of 13.50% and Operating profit at 18.15%
- Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 43.38
2
The company has declared Positive results for the last 3 consecutive quarters
- OPERATING CASH FLOW(Y) Highest at EUR 1,541.9 MM
- NET SALES(Q) Highest at EUR 1,866.7 MM
- OPERATING PROFIT(Q) Highest at EUR 441 MM
3
With ROE of 38.78%, it has a Very Expensive valuation with a 5.75 Price to Book Value
- Over the past year, while the stock has generated a return of -40.15%, its profits have fallen by -23.4%
4
Below par performance in long term as well as near term
- Along with generating -40.15% returns in the last 1 year, the stock has also underperformed France CAC 40 in the last 3 years, 1 year and 3 months
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to La Française des Jeux SA should be less than 10%
- Overall Portfolio exposure to Leisure Services should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Leisure Services)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
No Data Found
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
13.50%
EBIT Growth (5y)
18.15%
EBIT to Interest (avg)
43.38
Debt to EBITDA (avg)
0.41
Net Debt to Equity (avg)
1.37
Sales to Capital Employed (avg)
1.66
Tax Ratio
25.83%
Dividend Payout Ratio
94.96%
Pledged Shares
0
Institutional Holding
0.01%
ROCE (avg)
64.92%
ROE (avg)
35.26%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
15
Industry P/E
Price to Book Value
5.75
EV to EBIT
12.53
EV to EBITDA
8.08
EV to Capital Employed
2.61
EV to Sales
1.97
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
20.87%
ROE (Latest)
38.78%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Bearish
RSI
No Signal
Bullish
Bollinger Bands
Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Bearish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
No Trend
Mildly Bearish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend8What is working for the Company
OPERATING CASH FLOW(Y)
Highest at EUR 1,541.9 MM
NET SALES(Q)
Highest at EUR 1,866.7 MM
OPERATING PROFIT(Q)
Highest at EUR 441 MM
INVENTORY TURNOVER RATIO(HY)
Highest at 100.86%
-17What is not working for the Company
ROCE(HY)
Lowest at 33.73%
DEBT-EQUITY RATIO
(HY)
Highest at 203.28 %
INTEREST COVERAGE RATIO(Q)
Lowest at 1,078.24
RAW MATERIAL COST(Y)
Grown by 23.42% (YoY
CASH AND EQV(HY)
Lowest at EUR 515.8 MM
INTEREST(Q)
Highest at EUR 40.9 MM
OPERATING PROFIT MARGIN(Q)
Lowest at 23.62 %
PRE-TAX PROFIT(Q)
Lowest at EUR 221.8 MM
NET PROFIT(Q)
Lowest at EUR 134.87 MM
EPS(Q)
Lowest at EUR 0.73
Here's what is working for La Française des Jeux SA
Net Sales
Highest at EUR 1,866.7 MM and Grown
In each period in the last five periodsMOJO Watch
Near term sales trend is very positive
Net Sales (EUR MM)
Operating Profit
Highest at EUR 441 MM and Grown
In each period in the last five periodsMOJO Watch
Near term Operating Profit trend is quite positive
Operating Profit (EUR MM)
Operating Cash Flow
Highest at EUR 1,541.9 MM
in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (EUR MM)
Net Sales
At EUR 1,866.7 MM has Grown at 30.69%
Year on Year (YoY)MOJO Watch
Near term sales trend is positive
Net Sales (EUR MM)
Inventory Turnover Ratio
Highest at 100.86%
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Depreciation
Highest at EUR 171.4 MM
in the last five periodsMOJO Watch
The expenditure on assets done by the company may have gone into operation
Depreciation (EUR MM)
Depreciation
At EUR 171.4 MM has Grown at 29.55%
period on period (QoQ)MOJO Watch
The expenditure on assets done by the company has gone into productive use which should positively reflect in the future sales
Depreciation (EUR MM)
Here's what is not working for La Française des Jeux SA
Interest Coverage Ratio
Lowest at 1,078.24
in the last five periodsMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Debt-Equity Ratio
Highest at 203.28 % 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 EUR 40.9 MM
in the last five periods and Increased by 22.46% (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (EUR MM)
Operating Profit Margin
Lowest at 23.62 %
in the last five periodsMOJO Watch
Company's profit margin has deteriorated
Operating Profit to Sales
Pre-Tax Profit
Lowest at EUR 221.8 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is negative
Pre-Tax Profit (EUR MM)
Net Profit
Lowest at EUR 134.87 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is negative
Net Profit (EUR MM)
EPS
Lowest at EUR 0.73
in the last five periodsMOJO Watch
Declining profitability; company has created lower earnings for shareholders
EPS (EUR)
Cash and Eqv
Lowest at EUR 515.8 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is deteriorating
Cash and Cash Equivalents
Raw Material Cost
Grown by 23.42% (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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