ScoreWhy is Montauk Renewables, Inc. ?
1
Poor Management Efficiency with a low ROE of 7.02%
- The company has been able to generate a Return on Equity (avg) of 7.02% signifying low profitability per unit of shareholders funds
2
The company is Net-Debt Free
3
Healthy long term growth as Operating profit has grown by an annual rate 41.74%
4
Flat results in Jun 26
- OPERATING CASH FLOW(Y) Lowest at USD 43.44 MM
- NET PROFIT(Q) At USD 0.29 MM has Fallen at -75.73%
- RAW MATERIAL COST(Y) Grown by 12.58% (YoY)
5
With ROE of 1.89%, it has a fair valuation with a 0.66 Price to Book Value
- The stock is trading at a discount compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of -8.21%, its profits have fallen by -55.6%
6
Majority shareholders : Mutual Funds
7
Consistent Underperformance against the benchmark over the last 3 years
- Along with generating -8.21% returns in the last 1 year, the stock has also underperformed S&P 500 in each of the last 3 annual periods
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Montauk Renewables, Inc. should be less than 10%
- Overall Portfolio exposure to Other Industrial Products should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Other Industrial Products)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Montauk Renewables, Inc. for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Montauk Renewables, Inc.
-8.21%
-1.07
74.30%
S&P 500
22.36%
1.70
13.18%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
12.06%
EBIT Growth (5y)
41.74%
EBIT to Interest (avg)
4.42
Debt to EBITDA (avg)
0.81
Net Debt to Equity (avg)
0.06
Sales to Capital Employed (avg)
0.55
Tax Ratio
18.76%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
16.38%
ROCE (avg)
10.14%
ROE (avg)
7.02%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
35
Industry P/E
Price to Book Value
0.66
EV to EBIT
68.95
EV to EBITDA
8.21
EV to Capital Employed
0.76
EV to Sales
1.60
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
1.10%
ROE (Latest)
1.89%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bullish
RSI
No Signal
Bullish
Bollinger Bands
Mildly Bearish
Mildly Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Mildly Bullish
Dow Theory
No Trend
No Trend
OBV
No Trend
Mildly Bearish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend13What is working for the Company
NET PROFIT(HY)
At USD 1.71 MM has Grown at 148.58%
PRE-TAX PROFIT(Q)
At USD 2.87 MM has Grown at 1,807.49%
DEBTORS TURNOVER RATIO(HY)
Highest at 25.13 times
NET SALES(Q)
Highest at USD 54.02 MM
-13What is not working for the Company
OPERATING CASH FLOW(Y)
Lowest at USD 43.44 MM
NET PROFIT(Q)
At USD 0.29 MM has Fallen at -75.73%
RAW MATERIAL COST(Y)
Grown by 12.58% (YoY
DEBT-EQUITY RATIO
(HY)
Highest at 53.44 %
INTEREST(Q)
Highest at USD 1.53 MM
Here's what is working for Montauk Renewables, Inc.
Pre-Tax Profit
At USD 2.87 MM has Grown at 1,807.49%
over average net sales of the previous four periods of USD 0.15 MMMOJO Watch
Near term Pre-Tax Profit trend is very positive
Pre-Tax Profit (USD MM)
Net Sales
Highest at USD 54.02 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (USD MM)
Net Sales
At USD 54.02 MM has Grown at 19.91%
over average net sales of the previous four periods of USD 45.05 MMMOJO Watch
Near term sales trend is positive
Net Sales (USD MM)
Debtors Turnover Ratio
Highest at 25.13 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Here's what is not working for Montauk Renewables, Inc.
Net Profit
At USD 0.29 MM has Fallen at -75.73%
over average net sales of the previous four periods of USD 1.2 MMMOJO Watch
Near term Net Profit trend is very negative
Net Profit (USD MM)
Operating Cash Flow
Lowest at USD 43.44 MM and Fallen
In each year in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (USD MM)
Interest
At USD 1.53 MM has Grown at 17.14%
period on period (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (USD MM)
Interest
Highest at USD 1.53 MM
in the last five periods and Increased by 17.14% (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (USD MM)
Debt-Equity Ratio
Highest at 53.44 %
in the last five Semi-Annual periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
Raw Material Cost
Grown by 12.58% (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
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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