Persimmon Plc (PSN) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Mears Group Plc

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Barratt Developments Plc

Redrow Plc

Taylor Wimpey Plc

Vistry Group Plc

Persimmon Plc

Crest Nicholson Holdings Plc

Why is Persimmon Plc ?

Poor long term growth as Net Sales has grown by an annual rate of 1.88% and Operating profit at -14.09% over the last 5 years

The company has declared Negative results for the last 5 consecutive quarters

OPERATING CASH FLOW(Y) Lowest at GBP 121 MM
INTEREST COVERAGE RATIO(Q) Lowest at 1,616.5
ROCE(HY) Lowest at 7.44%

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 Furniture, Home Furnishing)

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

Is Persimmon Plc for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Persimmon Plc

7.82%

-1.65

28.43%

FTSE 100

15.94%

1.23

12.99%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

1.88%

EBIT Growth (5y)

-14.09%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.02

Sales to Capital Employed (avg)

0.91

Tax Ratio

25.62%

Dividend Payout Ratio

71.80%

Pledged Shares

Institutional Holding

0.00%

ROCE (avg)

23.47%

ROE (avg)

14.48%

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

1.07

EV to EBIT

9.86

EV to EBITDA

9.35

EV to Capital Employed

1.07

EV to Sales

1.12

PEG Ratio

Dividend Yield

175.29%

ROCE (Latest)

10.81%

ROE (Latest)

7.57%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Bearish

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

1What is working for the Company

DEBTORS TURNOVER RATIO(HY)

Highest at 20.34%

-19What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at GBP 121 MM

INTEREST COVERAGE RATIO(Q)

Lowest at 1,616.5

ROCE(HY)

Lowest at 7.44%

RAW MATERIAL COST(Y)

Grown by 14.45% (YoY

CASH AND EQV(HY)

Lowest at GBP 123 MM

DEBT-EQUITY RATIO (HY)

Highest at 1.86 %

INTEREST(Q)

Highest at GBP 10.3 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 11.08 %

PRE-TAX PROFIT(Q)

Lowest at GBP 148.7 MM

NET PROFIT(Q)

Lowest at GBP 101.36 MM

EPS(Q)

Lowest at GBP 0.31

Here's what is working for Persimmon Plc

Debtors Turnover Ratio

Highest at 20.34%

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Depreciation

Highest at GBP 10.7 MM

in the last five periods

MOJO Watch

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

Depreciation (GBP MM)

Here's what is not working for Persimmon Plc

Interest Coverage Ratio

Lowest at 1,616.5 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 GBP 121 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 (GBP MM)

Interest

Highest at GBP 10.3 MM

in the last five periods and Increased by 27.16% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (GBP MM)

Operating Profit Margin

Lowest at 11.08 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at GBP 148.7 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (GBP MM)

Net Profit

Lowest at GBP 101.36 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (GBP MM)

EPS

Lowest at GBP 0.31

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (GBP)

Cash and Eqv

Lowest at GBP 123 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debt-Equity Ratio

Highest at 1.86 %

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

Raw Material Cost

Grown by 14.45% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales