MITIE Group Plc (MTO) 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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Why is MITIE Group Plc ?

Strong Long Term Fundamental Strength with an average Return on Equity (ROE) of 23.73%

Healthy long term growth as Net Sales has grown by an annual rate of 17.59%
Strong ability to service debt as the company has a low Debt to EBITDA ratio of 1.30 times

Flat results in Mar 26

ROCE(HY) Lowest at 17.87%
INTEREST COVERAGE RATIO(Q) Lowest at 1,031.67
CASH AND EQV(HY) Lowest at GBP 108.9 MM

With ROE of 22.72%, it has a fair valuation with a 3.92 Price to Book Value

Over the past year, while the stock has generated a return of 44.48%, its profits have fallen by -10.7%

Consistent Returns over the last 3 years

Along with generating 44.48% returns in the last 1 year, the stock has outperformed FTSE 100 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to MITIE Group Plc should be less than 10%
Overall Portfolio exposure to Miscellaneous should be less than 30%

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

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

Is MITIE Group Plc for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

MITIE Group Plc

44.48%

1.57

46.80%

FTSE 100

18.59%

1.58

11.75%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

17.59%

EBIT Growth (5y)

30.55%

EBIT to Interest (avg)

8.53

Debt to EBITDA (avg)

0.23

Net Debt to Equity (avg)

0.12

Sales to Capital Employed (avg)

6.29

Tax Ratio

26.91%

Dividend Payout Ratio

67.87%

Pledged Shares

Institutional Holding

ROCE (avg)

36.61%

ROE (avg)

23.73%

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

3.92

EV to EBIT

12.49

EV to EBITDA

7.20

EV to Capital Employed

2.82

EV to Sales

0.41

PEG Ratio

Dividend Yield

0.92%

ROCE (Latest)

22.58%

ROE (Latest)

22.72%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bearish

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bullish

Mildly Bearish

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

8What is working for the Company

OPERATING CASH FLOW(Y)

Highest at GBP 472.1 MM

NET SALES(Q)

Highest at GBP 2,941.4 MM

DIVIDEND PAYOUT RATIO(Y)

Highest at 76.35%

RAW MATERIAL COST(Y)

Fallen by -3.39% (YoY

OPERATING PROFIT(Q)

Highest at GBP 185.7 MM

-10What is not working for the Company

ROCE(HY)

Lowest at 17.87%

INTEREST COVERAGE RATIO(Q)

Lowest at 1,031.67

CASH AND EQV(HY)

Lowest at GBP 108.9 MM

INTEREST(Q)

Highest at GBP 18 MM

Here's what is working for MITIE Group Plc

Operating Cash Flow

Highest at GBP 472.1 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 2,941.4 MM and Grown

In each period in the last five periods

MOJO Watch

Near term sales trend is very positive

Net Sales (GBP MM)

Operating Profit

Highest at GBP 185.7 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (GBP MM)

Dividend Payout Ratio

Highest at 76.35%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Raw Material Cost

Fallen by -3.39% (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 76.5 MM

in the last five periods

MOJO Watch

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

Depreciation (GBP MM)

Depreciation

At GBP 76.5 MM has Grown at 26.45%

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)

Here's what is not working for MITIE Group Plc

Interest Coverage Ratio

Lowest at 1,031.67

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Interest

Highest at GBP 18 MM

in the last five periods and Increased by 38.46% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (GBP MM)

Cash and Eqv

Lowest at GBP 108.9 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents