London Stock Exchange Group plc (LSE) 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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Numis Corp. Plc

Why is London Stock Exchange Group plc ?

Strong Long Term Fundamental Strength with a 30.76% CAGR growth in Net Sales

With a growth in Operating Profit of 2.38%, the company declared Very Positive results in Dec 25

The company has declared positive results for the last 3 consecutive quarters
OPERATING CASH FLOW(Y) Highest at GBP 7,045 MM
ROCE(HY) Highest at 5.84%
DIVIDEND PER SHARE(HY) Highest at GBP 0.01

With ROE of 7.66%, it has a expensive valuation with a 2.10 Price to Book Value

Over the past year, while the stock has generated a return of -22.03%, its profits have risen by 17.4% ; the PEG ratio of the company is 1.3

Below par performance in long term as well as near term

Along with generating -22.03% returns in the last 1 year, the stock has also underperformed FTSE 100 in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to London Stock Exchange Group plc should be less than 10%
Overall Portfolio exposure to Computers - Software & Consulting should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Computers - Software & Consulting)

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

Is London Stock Exchange Group plc for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

London Stock Exchange Group plc

-22.03%

-0.17

33.03%

FTSE 100

17.87%

1.52

11.77%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

30.76%

EBIT Growth (5y)

18.79%

EBIT to Interest (avg)

9.24

Debt to EBITDA (avg)

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

0.34

Tax Ratio

27.29%

Dividend Payout Ratio

62.93%

Pledged Shares

Institutional Holding

0.03%

ROCE (avg)

17.48%

ROE (avg)

7.36%

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

2.10

EV to EBIT

17.07

EV to EBITDA

8.47

EV to Capital Employed

2.38

EV to Sales

4.01

PEG Ratio

1.28

Dividend Yield

1.84%

ROCE (Latest)

13.98%

ROE (Latest)

7.66%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bearish

RSI

No Signal

Bollinger Bands

Sideways

Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Bearish

Dow Theory

Mildly Bearish

No Trend

OBV

Mildly Bullish

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

12What is working for the Company

OPERATING CASH FLOW(Y)

Highest at GBP 7,045 MM

ROCE(HY)

Highest at 5.84%

DIVIDEND PER SHARE(HY)

Highest at GBP 0.01

NET SALES(Q)

Highest at GBP 4,689 MM

RAW MATERIAL COST(Y)

Fallen by -7.21% (YoY

CASH AND EQV(HY)

Highest at GBP 4,088 MM

DEBTORS TURNOVER RATIO(HY)

Highest at 0.01 times

-2What is not working for the Company

DIVIDEND PAYOUT RATIO(Y)

Lowest at 91.06%

DEBT-EQUITY RATIO (HY)

Highest at 38.58 %

Here's what is working for London Stock Exchange Group plc

Operating Cash Flow

Highest at GBP 7,045 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (GBP MM)

Net Sales

Highest at GBP 4,689 MM and Grown

In each period in the last five periods

MOJO Watch

Near term sales trend is very positive

Net Sales (GBP MM)

Dividend per share

Highest at GBP 0.01 and Grown

In each year in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (GBP)

Cash and Eqv

Highest at GBP 4,088 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debtors Turnover Ratio

Highest at 0.01 times

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 -7.21% (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 GBP 1,139 MM

in the last five periods

MOJO Watch

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

Depreciation (GBP MM)

Here's what is not working for London Stock Exchange Group plc

Debt-Equity Ratio

Highest at 38.58 %

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

Dividend Payout Ratio

Lowest at 91.06%

in the last five years

MOJO Watch

Company is distributing lower proportion of profits generated as dividend

DPR (%)