New Jersey Resources Corp. (NJR) 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

Targa Resources Corp.

Atmos Energy Corp.

Chesapeake Utilities Corp.

Spire Inc.

ONE Gas, Inc.

Cheniere Energy Partners LP

NiSource, Inc.

New Jersey Resources Corp.

Southwest Gas Holdings, Inc.

MDU Resources Group, Inc.

New Fortress Energy, Inc.

Why is New Jersey Resources Corp. ?

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -4.09% 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 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 Gas)

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

Is New Jersey Resources Corp. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

New Jersey Resources Corp.

11.59%

0.31

18.08%

S&P 500

13.68%

0.70

20.15%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

3.64%

EBIT Growth (5y)

22.13%

EBIT to Interest (avg)

3.77

Debt to EBITDA (avg)

5.35

Net Debt to Equity (avg)

1.26

Sales to Capital Employed (avg)

0.34

Tax Ratio

23.68%

Dividend Payout Ratio

54.80%

Pledged Shares

Institutional Holding

80.62%

ROCE (avg)

7.75%

ROE (avg)

11.74%

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

2.26

EV to EBIT

19.54

EV to EBITDA

13.93

EV to Capital Employed

1.50

EV to Sales

4.36

PEG Ratio

Dividend Yield

3.37%

ROCE (Latest)

7.66%

ROE (Latest)

12.87%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Mildly Bearish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

No Trend

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

7What is working for the Company

DIVIDEND PER SHARE(HY)

Highest at USD 5.63

RAW MATERIAL COST(Y)

Fallen by -6.51% (YoY

NET SALES(Q)

At USD 605.62 MM has Grown at 19.14%

OPERATING PROFIT MARGIN(Q)

Highest at 37.96 %

PRE-TAX PROFIT(Q)

At USD 156.02 MM has Grown at 51.22%

NET PROFIT(Q)

At USD 123.37 MM has Grown at 50.24%

-10What is not working for the Company

NET PROFIT(HY)

At USD 137.45 MM has Grown at -39.01%

CASH AND EQV(HY)

Lowest at USD 17.33 MM

INTEREST(Q)

Highest at USD 35.68 MM

Here's what is working for New Jersey Resources Corp.

Dividend per share

Highest at USD 5.63 and Grown

In each year in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (USD)

Net Sales

At USD 605.62 MM has Grown at 19.14%

over average net sales of the previous four periods of USD 508.33 MM

MOJO Watch

Near term sales trend is positive

Net Sales (USD MM)

Operating Profit Margin

Highest at 37.96 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

At USD 156.02 MM has Grown at 51.22%

over average net sales of the previous four periods of USD 103.17 MM

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (USD MM)

Net Profit

At USD 123.37 MM has Grown at 50.24%

over average net sales of the previous four periods of USD 82.11 MM

MOJO Watch

Near term Net Profit trend is positive

Net Profit (USD MM)

Raw Material Cost

Fallen by -6.51% (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 USD 49.58 MM

in the last five periods

MOJO Watch

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

Depreciation (USD MM)

Here's what is not working for New Jersey Resources Corp.

Interest

At USD 35.68 MM has Grown at 17.04%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

Interest

Highest at USD 35.68 MM

in the last five periods and Increased by 17.04% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

Cash and Eqv

Lowest at USD 17.33 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents