MJ Gleeson Plc (GLE) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Mears Group Plc

Galliford Try Holdings Plc

MJ Gleeson Plc

Henry Boot Plc

Bellway Plc

Barratt Developments Plc

Redrow Plc

Taylor Wimpey Plc

Vistry Group Plc

Persimmon Plc

Crest Nicholson Holdings Plc

Why is MJ Gleeson Plc ?

Poor Management Efficiency with a low ROE of 8.16%

The company has been able to generate a Return on Equity (avg) of 8.16% signifying low profitability per unit of shareholders funds

Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 14.93

Weak Long Term Fundamental Strength with an average Return on Equity (ROE) of 8.16%

Flat results in Dec 24

OPERATING CASH FLOW(Y) Lowest at GBP -10.41 MM
ROCE(HY) Lowest at 5.65%
INTEREST COVERAGE RATIO(Q) Lowest at 465.91

With ROE of 5.14%, it has a attractive valuation with a 0.73 Price to Book Value

Over the past year, while the stock has generated a return of -23.85%, its profits have fallen by -18.1%

Underperformed the market in the last 1 year

Even though the market (FTSE 100) has generated returns of 16.09% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -23.85% returns

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to MJ Gleeson Plc should be less than 10%
Overall Portfolio exposure to Furniture, Home Furnishing should be less than 30%

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

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

Is MJ Gleeson Plc for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

MJ Gleeson Plc

-23.85%

-0.78

37.39%

FTSE 100

16.09%

1.25

12.83%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

19.97%

EBIT Growth (5y)

32.28%

EBIT to Interest (avg)

14.93

Debt to EBITDA (avg)

0.25

Net Debt to Equity (avg)

0.06

Sales to Capital Employed (avg)

1.15

Tax Ratio

22.30%

Dividend Payout Ratio

40.58%

Pledged Shares

Institutional Holding

ROCE (avg)

11.39%

ROE (avg)

8.16%

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

0.73

EV to EBIT

9.49

EV to EBITDA

8.05

EV to Capital Employed

0.74

EV to Sales

0.62

PEG Ratio

Dividend Yield

283.82%

ROCE (Latest)

7.75%

ROE (Latest)

5.14%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bearish

RSI

No Signal

Bollinger Bands

Bullish

Mildly Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Bullish

Bearish

Dow Theory

Mildly Bullish

No Trend

OBV

No Trend

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

Not enough Data to analyse Financial Trend

Here's what is working for MJ Gleeson Plc

Debtors Turnover Ratio

Highest at 38.96%

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Dividend Payout Ratio

Highest at 83.33%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Here's what is not working for MJ Gleeson Plc

Pre-Tax Profit

At GBP 3.63 MM has Fallen at -49.71%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (GBP MM)

Net Profit

At GBP 2.8 MM has Fallen at -49.93%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (GBP MM)

Operating Cash Flow

Lowest at GBP -10.41 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (GBP MM)

Interest Coverage Ratio

Lowest at 465.91

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Operating Profit

Lowest at GBP 7.19 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (GBP MM)

Operating Profit Margin

Lowest at 4.55 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at GBP 3.63 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (GBP MM)

Net Profit

Lowest at GBP 2.8 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (GBP MM)

EPS

Lowest at GBP 0.05

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (GBP)

Raw Material Cost

Grown by 31.03% (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