ScoreWhy is Marks & Spencer Group Plc ?
1
Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of 2.84
- Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of 2.84
- The company has been able to generate a Return on Equity (avg) of 8.73% signifying low profitability per unit of shareholders funds
2
Poor long term growth as Operating profit has grown by an annual rate 50.24% of over the last 5 years
- OPERATING CASH FLOW(Y) Highest at GBP 2,234.7 MM
- NET PROFIT(Q) At GBP 255.26 MM has Grown at 1,724.54%
- PRE-TAX PROFIT(Q) At GBP 364.2 MM has Grown at 155.4%
3
With ROE of 8.04%, it has a very expensive valuation with a 2.55 Price to Book Value
- The stock is trading at a premium compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 21.31%, its profits have fallen by -16.4%
4
Market Beating performance in long term as well as near term
- Along with generating 21.31% returns in the last 1 year, the stock has outperformed FTSE 100 in the last 3 years, 1 year and 3 months
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Marks & Spencer Group Plc should be less than 10%
- Overall Portfolio exposure to Retailing should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Retailing)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Marks & Spencer Group Plc for you?
Medium Risk, High Return
Absolute
Risk Adjusted
Volatility
Marks & Spencer Group Plc
21.31%
2.56
31.13%
FTSE 100
18.59%
1.58
11.75%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
13.54%
EBIT Growth (5y)
50.24%
EBIT to Interest (avg)
3.46
Debt to EBITDA (avg)
0.18
Net Debt to Equity (avg)
-0.08
Sales to Capital Employed (avg)
2.63
Tax Ratio
35.22%
Dividend Payout Ratio
33.04%
Pledged Shares
0
Institutional Holding
0.04%
ROCE (avg)
20.86%
ROE (avg)
8.73%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
32
Industry P/E
Price to Book Value
2.55
EV to EBIT
14.44
EV to EBITDA
6.17
EV to Capital Employed
2.58
EV to Sales
0.45
PEG Ratio
NA
Dividend Yield
1.11%
ROCE (Latest)
17.90%
ROE (Latest)
8.04%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Mildly Bullish (Daily)
KST
Bullish
Mildly Bearish
Dow Theory
Mildly Bearish
Mildly Bullish
OBV
No Trend
Mildly Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend13What is working for the Company
OPERATING CASH FLOW(Y)
Highest at GBP 2,234.7 MM
NET PROFIT(Q)
At GBP 255.26 MM has Grown at 1,724.54%
PRE-TAX PROFIT(Q)
At GBP 364.2 MM has Grown at 155.4%
RAW MATERIAL COST(Y)
Fallen by 0% (YoY
NET SALES(Q)
Highest at GBP 9,331.3 MM
OPERATING PROFIT(Q)
Highest at GBP 846.5 MM
0What is not working for the Company
NO KEY NEGATIVE TRIGGERS
Here's what is working for Marks & Spencer Group Plc
Net Profit
At GBP 255.26 MM has Grown at 1,724.54%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is very positive
Net Profit (GBP MM)
Operating Cash Flow
Highest at GBP 2,234.7 MM and Grown
In each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (GBP MM)
Pre-Tax Profit
At GBP 364.2 MM has Grown at 155.4%
Year on Year (YoY)MOJO Watch
Near term Pre-Tax Profit trend is very positive
Pre-Tax Profit (GBP MM)
Net Sales
Highest at GBP 9,331.3 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (GBP MM)
Operating Profit
Highest at GBP 846.5 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (GBP MM)
Raw Material Cost
Fallen by 0% (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 400.8 MM
in the last five periodsMOJO Watch
The expenditure on assets done by the company may have gone into operation
Depreciation (GBP MM)
Depreciation
At GBP 400.8 MM has Grown at 25.68%
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 (GBP MM)
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