National Central Cooling Co. PJSC (TABREED) 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

National Central Cooling Co. PJSC

Why is National Central Cooling Co. PJSC ?

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

Poor long term growth as Net Sales has grown by an annual rate of 7.13% and Operating profit at 4.34% over the last 5 years
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 9.53% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 7.13% and Operating profit at 4.34% over the last 5 years

OPERATING CASH FLOW(Y) Lowest at AED 861.85 MM
INTEREST COVERAGE RATIO(Q) Lowest at 342.14
INVENTORY TURNOVER RATIO(HY) Lowest at 17.32 times

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 Other Utilities)

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

Is National Central Cooling Co. PJSC for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

National Central Cooling Co. PJSC

3.75%

-0.41

25.93%

Abu Dhabi Securities Exchange

2.2%

0.18

12.34%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

7.13%

EBIT Growth (5y)

4.34%

EBIT to Interest (avg)

3.01

Debt to EBITDA (avg)

4.93

Net Debt to Equity (avg)

0.73

Sales to Capital Employed (avg)

0.20

Tax Ratio

9.68%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

1.81%

ROCE (avg)

6.84%

ROE (avg)

9.53%

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

1.25

EV to EBIT

16.82

EV to EBITDA

11.66

EV to Capital Employed

1.13

EV to Sales

5.42

PEG Ratio

Dividend Yield

8.24%

ROCE (Latest)

6.71%

ROE (Latest)

8.16%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bullish

RSI

Bullish

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bullish

Dow Theory

Mildly Bearish

OBV

Mildly Bearish

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

2What is working for the Company

RAW MATERIAL COST(Y)

Fallen by 1.71% (YoY

DEBTORS TURNOVER RATIO(HY)

Highest at 2.65 times

-20What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at AED 861.85 MM

INTEREST COVERAGE RATIO(Q)

Lowest at 342.14

INVENTORY TURNOVER RATIO(HY)

Lowest at 17.32 times

DIVIDEND PAYOUT RATIO(Y)

Lowest at 0%

CASH AND EQV(HY)

Lowest at AED 1,320.63 MM

DEBT-EQUITY RATIO (HY)

Highest at 96.16 %

DIVIDEND PER SHARE(HY)

Lowest at AED 2.65

PRE-TAX PROFIT(Q)

Lowest at AED 81 MM

NET PROFIT(Q)

Lowest at AED 45.46 MM

EPS(Q)

Lowest at AED 0.02

Here's what is working for National Central Cooling Co. PJSC

Debtors Turnover Ratio

Highest at 2.65 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by 1.71% (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

Here's what is not working for National Central Cooling Co. PJSC

Interest Coverage Ratio

Lowest at 342.14 and Fallen

In each period in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Operating Cash Flow

Lowest at AED 861.85 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 (AED MM)

Net Profit

At AED 45.46 MM has Fallen at -68.66%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (AED MM)

Inventory Turnover Ratio

Lowest at 17.32 times and Fallen

In each half year in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Pre-Tax Profit

Lowest at AED 81 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (AED MM)

Pre-Tax Profit

Fallen at -50.02%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (AED MM)

Net Profit

Lowest at AED 45.46 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (AED MM)

EPS

Lowest at AED 0.02

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (AED)

Cash and Eqv

Lowest at AED 1,320.63 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debt-Equity Ratio

Highest at 96.16 %

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

Dividend per share

Lowest at AED 2.65

in the last five years

MOJO Watch

Company is distributing lower dividend than previous years

DPS (AED)

Dividend Payout Ratio

Lowest at 0%

in the last five years

MOJO Watch

Company is distributing lower proportion of profits generated as dividend

DPR (%)