LPP SA (LPP) 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

CDRL SA

MONNARI TRADE SA

LPP SA

ESOTIQ & Henderson SA

Solar Co. SA

CCC SA

Hurtimex SA

Why is LPP SA ?

With ROE of 26.74%, it has a expensive valuation with a 5.64 Price to Book Value

Over the past year, while the stock has generated a return of 24.16%, its profits have fallen by -5.3%

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

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

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is LPP SA for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

LPP SA

24.61%

0.18

35.40%

Poland WIG

29.57%

1.74

17.24%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

21.24%

EBIT Growth (5y)

35.50%

EBIT to Interest (avg)

8.37

Debt to EBITDA (avg)

0.15

Net Debt to Equity (avg)

0.10

Sales to Capital Employed (avg)

2.65

Tax Ratio

22.39%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

0.23%

ROCE (avg)

39.07%

ROE (avg)

24.35%

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

5.64

EV to EBIT

15.06

EV to EBITDA

7.97

EV to Capital Employed

4.18

EV to Sales

1.57

PEG Ratio

Dividend Yield

3.94%

ROCE (Latest)

27.79%

ROE (Latest)

26.74%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

No Trend

Mildly Bearish

OBV

Mildly Bearish

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

4What is working for the Company

OPERATING CASH FLOW(Y)

Highest at PLN 4,854 MM

RAW MATERIAL COST(Y)

Fallen by -7.35% (YoY

DEBTORS TURNOVER RATIO(HY)

Highest at 31.07 times

-4What is not working for the Company

DEBT-EQUITY RATIO (HY)

Highest at 115.99 %

INVENTORY TURNOVER RATIO(HY)

Lowest at 2.7 times

Here's what is working for LPP SA

Operating Cash Flow

Highest at PLN 4,854 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (PLN MM)

Debtors Turnover Ratio

Highest at 31.07 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 -7.35% (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 PLN 594 MM

in the last five periods

MOJO Watch

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

Depreciation (PLN MM)

Here's what is not working for LPP SA

Debt-Equity Ratio

Highest at 115.99 % and Grown

In each half year 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

Inventory Turnover Ratio

Lowest at 2.7 times and Fallen

In each half year in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio