Pan African Resources Plc (PAF) 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

Pan African Resources Plc

Shanta Gold Ltd.

Fresnillo Plc

Hochschild Mining Plc

Anglo Asian Mining Plc

Centamin Plc

Greatland Gold Plc

Griffin Mining Ltd.

Hummingbird Resources Plc

Zinnwald Lithium Plc

SolGold Plc

Why is Pan African Resources Plc ?

High Management Efficiency with a high ROCE of 32.20%

Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 15.05

Healthy long term growth as Net Sales has grown by an annual rate of 20.19%

With a growth in Net Profit of 49%, the company declared Outstanding results in Dec 25

OPERATING CASH FLOW(Y) Highest at GBP 362.5 MM
ROCE(HY) Highest at 43.48%
INTEREST COVERAGE RATIO(Q) Highest at 2,796.57

With ROE of 36.00%, it has a very attractive valuation with a 6.33 Price to Book Value

Over the past year, while the stock has generated a return of 198.24%, its profits have risen by 173.8% ; the PEG ratio of the company is 0.1

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Pan African Resources Plc should be less than 10%
Overall Portfolio exposure to Gems, Jewellery And Watches should be less than 30%

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

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

Is Pan African Resources Plc for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Pan African Resources Plc

196.83%

8.20

52.45%

FTSE 100

13.98%

1.15

13.60%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

20.19%

EBIT Growth (5y)

26.25%

EBIT to Interest (avg)

15.05

Debt to EBITDA (avg)

0.61

Net Debt to Equity (avg)

0.53

Sales to Capital Employed (avg)

0.91

Tax Ratio

23.46%

Dividend Payout Ratio

29.62%

Pledged Shares

Institutional Holding

0.10%

ROCE (avg)

32.20%

ROE (avg)

23.59%

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

6.33

EV to EBIT

10.23

EV to EBITDA

9.26

EV to Capital Employed

6.06

EV to Sales

5.17

PEG Ratio

0.09

Dividend Yield

0.68%

ROCE (Latest)

59.23%

ROE (Latest)

36.00%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

Mildly Bearish

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

28What is working for the Company

OPERATING CASH FLOW(Y)

Highest at GBP 362.5 MM

ROCE(HY)

Highest at 43.48%

INTEREST COVERAGE RATIO(Q)

Highest at 2,796.57

DIVIDEND PAYOUT RATIO(Y)

Highest at 10.05%

RAW MATERIAL COST(Y)

Fallen by -51.97% (YoY

CASH AND EQV(HY)

Highest at GBP 68.84 MM

DEBT-EQUITY RATIO (HY)

Lowest at 6.09 %

DEBTORS TURNOVER RATIO(HY)

Highest at 41.77 times

DIVIDEND PER SHARE(HY)

Highest at GBP 41.77

NET SALES(Q)

Highest at GBP 363.72 MM

OPERATING PROFIT(Q)

Highest at GBP 209.82 MM

OPERATING PROFIT MARGIN(Q)

Highest at 57.69 %

PRE-TAX PROFIT(Q)

Highest at GBP 157.02 MM

NET PROFIT(Q)

Highest at GBP 110.67 MM

EPS(Q)

Highest at GBP 0.05

-2What is not working for the Company

INVENTORY TURNOVER RATIO(HY)

Lowest at 11.4 times

Here's what is working for Pan African Resources Plc

Net Sales

At GBP 363.72 MM has Grown at 147.97%

Year on Year (YoY)

MOJO Watch

Near term sales trend is extremely positive

Net Sales (GBP MM)

Pre-Tax Profit

At GBP 157.02 MM has Grown at 227.79%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (GBP MM)

Net Profit

At GBP 110.67 MM has Grown at 182.17%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (GBP MM)

Operating Cash Flow

Highest at GBP 362.5 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (GBP MM)

Interest Coverage Ratio

Highest at 2,796.57

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Net Sales

Highest at GBP 363.72 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (GBP MM)

Operating Profit

Highest at GBP 209.82 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (GBP MM)

Operating Profit Margin

Highest at 57.69 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at GBP 157.02 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (GBP MM)

Net Profit

Highest at GBP 110.67 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (GBP MM)

EPS

Highest at GBP 0.05

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (GBP)

Cash and Eqv

Highest at GBP 68.84 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio

Lowest at 6.09 %

in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Debtors Turnover Ratio

Highest at 41.77 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Dividend per share

Highest at GBP 41.77

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (GBP)

Dividend Payout Ratio

Highest at 10.05%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Raw Material Cost

Fallen by -51.97% (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 GBP 18.57 MM

in the last five periods

MOJO Watch

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

Depreciation (GBP MM)

Depreciation

At GBP 18.57 MM has Grown at 25.96%

period on period (QoQ)

MOJO Watch

The expenditure on assets done by the company has gone into productive use which should positively reflect in the future sales

Depreciation (GBP MM)

Here's what is not working for Pan African Resources Plc

Inventory Turnover Ratio

Lowest at 11.4 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio