Persistence Resources Group Ltd. () 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

Persistence Resources Group Ltd.

Why is Persistence Resources Group Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of 8.09% and Operating profit at 7.03% over the last 5 years

Flat results in Jun 25

INTEREST COVERAGE RATIO(Q) Lowest at 5,248.53
DEBT-EQUITY RATIO (HY) Highest at -53.36 %
INTEREST(Q) Highest at HKD 3.25 MM

With ROE of 16.21%, it has a Very Expensive valuation with a 3.08 Price to Book Value

Over the past year, while the stock has generated a return of 24.42%, its profits have risen by 21.1% ; the PEG ratio of the company is 0.9

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Persistence Resources Group Ltd. 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 Persistence Resources Group Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Persistence Resources Group Ltd.

10.87%

0.70

72.13%

Hang Seng Hong Kong

27.08%

1.35

20.07%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

8.09%

EBIT Growth (5y)

7.03%

EBIT to Interest (avg)

62.60

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.66

Sales to Capital Employed (avg)

0.57

Tax Ratio

31.43%

Dividend Payout Ratio

51.94%

Pledged Shares

Institutional Holding

ROCE (avg)

71.40%

ROE (avg)

17.10%

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

3.08

EV to EBIT

11.05

EV to EBITDA

8.44

EV to Capital Employed

7.09

EV to Sales

4.38

PEG Ratio

0.90

Dividend Yield

ROCE (Latest)

64.16%

ROE (Latest)

16.21%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bearish

Moving Averages

Bearish (Daily)

KST

Mildly Bullish

Dow Theory

Mildly Bullish

No Trend

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

RAW MATERIAL COST(Y)

Fallen by -10.47% (YoY

CASH AND EQV(HY)

Highest at HKD 756.02 MM

NET SALES(Q)

Highest at HKD 326 MM

OPERATING PROFIT(Q)

Highest at HKD 170.65 MM

PRE-TAX PROFIT(Q)

Highest at HKD 138.18 MM

NET PROFIT(Q)

Highest at HKD 67.42 MM

EPS(Q)

Highest at HKD 0.03

-9What is not working for the Company

INTEREST COVERAGE RATIO(Q)

Lowest at 5,248.53

DEBT-EQUITY RATIO (HY)

Highest at -53.36 %

INTEREST(Q)

Highest at HKD 3.25 MM

Here's what is working for Persistence Resources Group Ltd.

Net Sales

Highest at HKD 326 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (HKD MM)

Net Sales

At HKD 326 MM has Grown at 27.38%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (HKD MM)

Operating Profit

Highest at HKD 170.65 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (HKD MM)

Pre-Tax Profit

Highest at HKD 138.18 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (HKD MM)

Net Profit

Highest at HKD 67.42 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (HKD MM)

EPS

Highest at HKD 0.03

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (HKD)

Cash and Eqv

Highest at HKD 756.02 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Raw Material Cost

Fallen by -10.47% (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

Here's what is not working for Persistence Resources Group Ltd.

Interest Coverage Ratio

Lowest at 5,248.53

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Interest

Highest at HKD 3.25 MM

in the last five periods and Increased by 182.76% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (HKD MM)

Debt-Equity Ratio

Highest at -53.36 %

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