Methanex Corp. () 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

Tidewater Renewables Ltd.

Methanex Corp.

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Global Helium Corp.

BIOSENTA, Inc.

CO2 Gro, Inc.

Why is Methanex Corp. ?

The company is Net-Debt Free

Poor long term growth as Net Sales has grown by an annual rate of 5.77% and Operating profit at 48.40% over the last 5 years
The company is Net-Debt Free

The company has declared Negative results for the last 3 consecutive quarters

INTEREST(9M) At CAD 238.99 MM has Grown at 32.89%
PRE-TAX PROFIT(Q) At CAD 33.75 MM has Fallen at -68.7%
NET PROFIT(Q) At CAD -18.68 MM has Fallen at -135.6%

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of 48.18%, its profits have fallen by -77.4%

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 Specialty Chemicals)

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

Is Methanex Corp. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Methanex Corp.

48.18%

0.15

49.68%

S&P/TSX 60

29.6%

2.31

12.81%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

5.77%

EBIT Growth (5y)

48.40%

EBIT to Interest (avg)

2.74

Debt to EBITDA (avg)

2.28

Net Debt to Equity (avg)

0.64

Sales to Capital Employed (avg)

0.76

Tax Ratio

17.12%

Dividend Payout Ratio

66.59%

Pledged Shares

Institutional Holding

70.38%

ROCE (avg)

10.89%

ROE (avg)

15.51%

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

1.91

EV to EBIT

21.15

EV to EBITDA

8.94

EV to Capital Employed

1.45

EV to Sales

1.94

PEG Ratio

Dividend Yield

ROCE (Latest)

6.87%

ROE (Latest)

3.46%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

No Trend

OBV

Mildly Bullish

No Trend

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

1What is working for the Company

DEBTORS TURNOVER RATIO(HY)

Highest at 7.93 times

-22What is not working for the Company

INTEREST(9M)

At CAD 238.99 MM has Grown at 32.89%

PRE-TAX PROFIT(Q)

At CAD 33.75 MM has Fallen at -68.7%

NET PROFIT(Q)

At CAD -18.68 MM has Fallen at -135.6%

ROCE(HY)

Lowest at -1.91%

DIVIDEND PAYOUT RATIO(Y)

Lowest at 0%

RAW MATERIAL COST(Y)

Grown by 66.23% (YoY

CASH AND EQV(HY)

Lowest at CAD 1,116.77 MM

Here's what is working for Methanex Corp.

Debtors Turnover Ratio

Highest at 7.93 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Here's what is not working for Methanex Corp.

Pre-Tax Profit

At CAD 33.75 MM has Fallen at -68.7%

over average net sales of the previous four periods of CAD 107.81 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CAD MM)

Net Profit

At CAD -18.68 MM has Fallen at -135.6%

over average net sales of the previous four periods of CAD 52.47 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CAD MM)

Interest

At CAD 238.99 MM has Grown at 32.89%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CAD MM)

Cash and Eqv

Lowest at CAD 1,116.77 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Dividend Payout Ratio

Lowest at 0%

in the last five years

MOJO Watch

Company is distributing lower proportion of profits generated as dividend

DPR (%)

Raw Material Cost

Grown by 66.23% (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