OneSpaWorld Holdings Ltd. (OSW) 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

Stride, Inc.

Perdoceo Education Corp.

Mister Car Wash, Inc.

Graham Holdings Co.

Strategic Education, Inc.

OneSpaWorld Holdings Ltd.

Driven Brands Holdings, Inc.

Adtalem Global Education, Inc.

Peloton Interactive, Inc.

Sonder Holdings, Inc.

TripAdvisor, Inc.

Why is OneSpaWorld Holdings Ltd. ?

Poor Management Efficiency with a low ROCE of 5.92%

The company has been able to generate a Return on Capital Employed (avg) of 5.92% signifying low profitability per unit of total capital (equity and debt)

Healthy long term growth as Net Sales has grown by an annual rate of 51.37% and Operating profit at 26.02%

Positive results in Mar 26

OPERATING CASH FLOW(Y) Highest at USD 82.48 MM
ROCE(HY) Highest at 14.22%
DEBTORS TURNOVER RATIO(HY) Highest at 21.06 times

With ROCE of 14.32%, it has a very expensive valuation with a 3.83 Enterprise value to Capital Employed

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 41.76%, its profits have risen by 15.2% ; the PEG ratio of the company is 1.7

High Institutional Holdings at 100%

These investors have better capability and resources to analyse fundamentals of companies than most retail investors.

Consistent Returns over the last 3 years

Along with generating 41.76% returns in the last 1 year, the stock has outperformed S&P 500 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to OneSpaWorld Holdings Ltd. should be less than 10%
Overall Portfolio exposure to Tour, Travel Related Services should be less than 30%

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

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

Is OneSpaWorld Holdings Ltd. for you?

Medium Risk, High Return

Absolute

Risk Adjusted

Volatility

OneSpaWorld Holdings Ltd.

41.76%

2.49

32.87%

S&P 500

25.41%

1.92

13.25%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

51.37%

EBIT Growth (5y)

26.02%

EBIT to Interest (avg)

1.78

Debt to EBITDA (avg)

1.62

Net Debt to Equity (avg)

0.14

Sales to Capital Employed (avg)

1.37

Tax Ratio

5.41%

Dividend Payout Ratio

24.61%

Pledged Shares

Institutional Holding

100.00%

ROCE (avg)

5.92%

ROE (avg)

5.11%

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

4.18

EV to EBIT

26.74

EV to EBITDA

20.73

EV to Capital Employed

3.83

EV to Sales

2.43

PEG Ratio

1.70

Dividend Yield

0.83%

ROCE (Latest)

14.32%

ROE (Latest)

14.09%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Mildly Bearish

Dow Theory

Bullish

OBV

Mildly Bullish

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

8What is working for the Company

OPERATING CASH FLOW(Y)

Highest at USD 82.48 MM

ROCE(HY)

Highest at 14.22%

DEBTORS TURNOVER RATIO(HY)

Highest at 21.06 times

RAW MATERIAL COST(Y)

Fallen by -25.17% (YoY

DIVIDEND PER SHARE(HY)

Highest at USD 21.06

-5What is not working for the Company

INTEREST(HY)

At USD 2.23 MM has Grown at 101.72%

CASH AND EQV(HY)

Lowest at USD 34.78 MM

INVENTORY TURNOVER RATIO(HY)

Lowest at 15.33 times

Here's what is working for OneSpaWorld Holdings Ltd.

Debtors Turnover Ratio

Highest at 21.06 times and Grown

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

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Operating Cash Flow

Highest at USD 82.48 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (USD MM)

Dividend per share

Highest at USD 21.06

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (USD)

Raw Material Cost

Fallen by -25.17% (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 7.74 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 OneSpaWorld Holdings Ltd.

Interest

At USD 2.23 MM has Grown at 101.72%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

Cash and Eqv

Lowest at USD 34.78 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Inventory Turnover Ratio

Lowest at 15.33 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio