Mullen Group Ltd. (MTL) 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

Trican Well Service Ltd.

Total Energy Services, Inc.

TFI International, Inc.

Mullen Group Ltd.

CES Energy Solutions Corp.

North American Construction Group Ltd.

Waste Connections, Inc.

Titanium Transportation Group, Inc.

TerraVest Industries, Inc.

Mattr Corp.

Why is Mullen Group Ltd. ?

High Debt Company with a Debt to Equity ratio (avg) at times

High Debt Company with a Debt to Equity ratio (avg) at times
The company has been able to generate a Return on Equity (avg) of 11.77% signifying low profitability per unit of shareholders funds

Negative results in Jun 25

NET PROFIT(9M) At CAD 59.32 MM has Grown at -26.52%
ROCE(HY) Lowest at 9.99%
DEBT-EQUITY RATIO (HY) Highest at 99.47 %

With ROE of 9.78%, it has a very attractive valuation with a 1.21 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 -2.78%, its profits have fallen by -13.2%

Majority shareholders : Mutual Funds

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -2.78% returns in the last 1 year, the stock has also underperformed S&P/TSX 60 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Mullen Group Ltd. should be less than 10%
Overall Portfolio exposure to Transport Services should be less than 30%

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

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

Is Mullen Group Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Mullen Group Ltd.

-2.11%

0.24

23.30%

S&P/TSX 60

19.1%

1.54

14.62%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

12.18%

EBIT Growth (5y)

11.56%

EBIT to Interest (avg)

4.93

Debt to EBITDA (avg)

2.24

Net Debt to Equity (avg)

0.68

Sales to Capital Employed (avg)

1.11

Tax Ratio

27.63%

Dividend Payout Ratio

60.26%

Pledged Shares

Institutional Holding

0.35%

ROCE (avg)

10.91%

ROE (avg)

11.77%

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

1.22

EV to EBIT

11.19

EV to EBITDA

6.38

EV to Capital Employed

1.12

EV to Sales

1.00

PEG Ratio

Dividend Yield

ROCE (Latest)

10.04%

ROE (Latest)

9.78%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bullish

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Bearish

Dow Theory

Mildly Bullish

OBV

Mildly Bullish

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

3What is working for the Company

DIVIDEND PAYOUT RATIO(Y)

Highest at 71.75%

DIVIDEND PER SHARE(HY)

Highest at CAD 6.46

NET SALES(Q)

Highest at CAD 540.9 MM

-13What is not working for the Company

NET PROFIT(9M)

At CAD 59.32 MM has Grown at -26.52%

ROCE(HY)

Lowest at 9.99%

DEBT-EQUITY RATIO (HY)

Highest at 99.47 %

DEBTORS TURNOVER RATIO(HY)

Lowest at 6.46%

INTEREST(Q)

Highest at CAD 12.67 MM

Here's what is working for Mullen Group Ltd.

Net Sales

Highest at CAD 540.9 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (CAD MM)

Dividend per share

Highest at CAD 6.46

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (CAD)

Dividend Payout Ratio

Highest at 71.75%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Depreciation

Highest at CAD 35.49 MM

in the last five periods

MOJO Watch

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

Depreciation (CAD MM)

Here's what is not working for Mullen Group Ltd.

Interest

At CAD 12.67 MM has Grown at 10.62%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CAD MM)

Net Profit

At CAD 59.32 MM has Grown at -26.52%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CAD MM)

Interest

Highest at CAD 12.67 MM

in the last five periods and Increased by 10.62% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CAD MM)

Debt-Equity Ratio

Highest at 99.47 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Debtors Turnover Ratio

Lowest at 6.46%

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio