Polaris Renewable Energy, Inc. (PIF) 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

Polaris Renewable Energy, Inc.

Maxim Power Corp.

Greenlane Renewables, Inc.

Replenish Nutrients Holding Corp.

Charbone Hydrogen Corp.

Etrion Corp.

Why is Polaris Renewable Energy, Inc. ?

Low ability to service debt as the company has a high Debt to EBITDA ratio of 3.79 times

Low ability to service debt as the company has a high Debt to EBITDA ratio of 3.79 times
The company has been able to generate a Return on Equity (avg) of 1.75% signifying low profitability per unit of shareholders funds

Poor long term growth as Operating profit has grown by an annual rate 1.62% of over the last 5 years

Negative results in Jun 26

OPERATING CASH FLOW(Y) Lowest at CAD 44.62 MM
OPERATING PROFIT MARGIN(Q) Lowest at 68.29 %
PRE-TAX PROFIT(Q) At CAD 1.35 MM has Fallen at -38.04%

With ROE of 3.85%, it has a very attractive valuation with a 0.92 Price to Book Value

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 23.60%, its profits have risen by 220% ; the PEG ratio of the company is 0.1

Company is among the highest 1% of companies rated by MarketsMojo across all 4,000 stocks

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Polaris Renewable Energy, Inc. 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 Polaris Renewable Energy, Inc. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Polaris Renewable Energy, Inc.

21.26%

0.63

23.37%

S&P/TSX 60

29.63%

2.33

12.07%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

3.53%

EBIT Growth (5y)

1.62%

EBIT to Interest (avg)

1.08

Debt to EBITDA (avg)

2.37

Net Debt to Equity (avg)

0.54

Sales to Capital Employed (avg)

0.17

Tax Ratio

Tax Ratio is Negative%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

6.17%

ROE (avg)

1.75%

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

0.92

EV to EBIT

12.73

EV to EBITDA

6.03

EV to Capital Employed

0.95

EV to Sales

4.38

PEG Ratio

0.11

Dividend Yield

ROCE (Latest)

7.46%

ROE (Latest)

3.85%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

No Trend

OBV

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

7What is working for the Company

NET PROFIT(HY)

At CAD -2.04 MM has Grown at 82.91%

-14What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at CAD 44.62 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 68.29 %

PRE-TAX PROFIT(Q)

At CAD 1.35 MM has Fallen at -38.04%

RAW MATERIAL COST(Y)

Grown by 13.64% (YoY

OPERATING PROFIT(Q)

Lowest at CAD 18.85 MM

NET PROFIT(Q)

Lowest at CAD -1.17 MM

EPS(Q)

Lowest at CAD -0.06

Here's what is working for Polaris Renewable Energy, Inc.

Depreciation

Highest at CAD 10.79 MM

in the last five periods

MOJO Watch

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

Depreciation (CAD MM)

Here's what is not working for Polaris Renewable Energy, Inc.

Net Profit

At CAD -1.17 MM has Fallen at -136.4%

over average net sales of the previous four periods of CAD 3.23 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CAD MM)

Operating Cash Flow

Lowest at CAD 44.62 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 (CAD MM)

Operating Profit Margin

Lowest at 68.29 % and Fallen

In each period in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

At CAD 1.35 MM has Fallen at -38.04%

over average net sales of the previous four periods of CAD 2.18 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CAD MM)

Operating Profit

Lowest at CAD 18.85 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CAD MM)

Net Profit

Lowest at CAD -1.17 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CAD MM)

EPS

Lowest at CAD -0.06

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (CAD)

Raw Material Cost

Grown by 13.64% (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