Otter Tail Corp. (OTTR) 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

The AES Corp.

Pinnacle West Capital Corp.

Ormat Technologies, Inc.

Otter Tail Corp.

Avangrid, Inc.

IDACORP, Inc.

Portland General Electric Co.

Black Hills Corp.

OGE Energy Corp.

PNM Resources, Inc.

NRG Energy, Inc.

Why is Otter Tail Corp. ?

The company is Net-Debt Free

Healthy long term growth as Operating profit has grown by an annual rate 18.18%

Positive results in Mar 26

DIVIDEND PER SHARE(HY) Highest at USD 7.15
DIVIDEND PAYOUT RATIO(Y) Highest at 33.46%
RAW MATERIAL COST(Y) Fallen by 1.19% (YoY)

With ROCE of 13.48%, it has a fair valuation with a 1.69 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 12.86%, its profits have fallen by -10.1%

High Institutional Holdings at 70.19%

These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
Their stake has increased by 0.69% over the previous quarter.

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Otter Tail Corp. should be less than 10%
Overall Portfolio exposure to Power should be less than 30%

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

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

Is Otter Tail Corp. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Otter Tail Corp.

12.86%

0.08

22.21%

S&P 500

22.24%

1.67

13.28%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

7.94%

EBIT Growth (5y)

18.18%

EBIT to Interest (avg)

8.29

Debt to EBITDA (avg)

2.13

Net Debt to Equity (avg)

0.45

Sales to Capital Employed (avg)

0.51

Tax Ratio

16.29%

Dividend Payout Ratio

32.06%

Pledged Shares

Institutional Holding

70.19%

ROCE (avg)

15.08%

ROE (avg)

18.35%

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

1.93

EV to EBIT

12.52

EV to EBITDA

9.30

EV to Capital Employed

1.69

EV to Sales

3.27

PEG Ratio

Dividend Yield

2.49%

ROCE (Latest)

13.48%

ROE (Latest)

14.61%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Sideways

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly 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

6What is working for the Company

DIVIDEND PER SHARE(HY)

Highest at USD 7.15

DIVIDEND PAYOUT RATIO(Y)

Highest at 33.46%

RAW MATERIAL COST(Y)

Fallen by 1.19% (YoY

CASH AND EQV(HY)

Highest at USD 843.75 MM

NET SALES(Q)

Highest at USD 347.03 MM

-5What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at USD 417.13 MM

ROCE(HY)

Lowest at 15.47%

Here's what is working for Otter Tail Corp.

Dividend per share

Highest at USD 7.15 and Grown

In each year in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (USD)

Net Sales

Highest at USD 347.03 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (USD MM)

Cash and Eqv

Highest at USD 843.75 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Dividend Payout Ratio

Highest at 33.46%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Raw Material Cost

Fallen by 1.19% (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 29.98 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 Otter Tail Corp.

Operating Cash Flow

Lowest at USD 417.13 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 (USD MM)