Polenergia SA (PEP) 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

TAURON Polska Energia SA

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ZE PAK SA

EC BEDZIN SA

Polenergia SA

Why is Polenergia SA ?

Low ability to service debt as the company has a high Debt to EBITDA ratio of 6.07 times

Low ability to service debt as the company has a high Debt to EBITDA ratio of 6.07 times
The company has been able to generate a Return on Equity (avg) of 8.92% signifying low profitability per unit of shareholders funds

With a fall in PBT of -1003.36%, the company declared Very Negative results in Sep 25

INTEREST(HY) At PLN 142.76 MM has Grown at 195.11%
OPERATING CASH FLOW(Y) Lowest at PLN 446.52 MM
ROCE(HY) Lowest at -1.04%

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of -29.21%, its profits have fallen by -60.4%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -29.21% returns in the last 1 year, the stock has also underperformed Poland WIG in each of the last 3 annual periods

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 Power)

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

Is Polenergia SA for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Polenergia SA

-29.21%

-1.03

26.25%

Poland WIG

27.62%

1.38

19.95%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

18.06%

EBIT Growth (5y)

12.40%

EBIT to Interest (avg)

4.21

Debt to EBITDA (avg)

0.97

Net Debt to Equity (avg)

0.26

Sales to Capital Employed (avg)

0.87

Tax Ratio

25.52%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

10.08%

ROE (avg)

8.92%

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

1.09

EV to EBIT

17.48

EV to EBITDA

11.91

EV to Capital Employed

1.06

EV to Sales

1.47

PEG Ratio

Dividend Yield

ROCE (Latest)

6.06%

ROE (Latest)

3.18%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

Mildly Bearish

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

1What is working for the Company

INVENTORY TURNOVER RATIO(HY)

Highest at 67.3 times

-31What is not working for the Company

INTEREST(HY)

At PLN 142.76 MM has Grown at 195.11%

OPERATING CASH FLOW(Y)

Lowest at PLN 446.52 MM

ROCE(HY)

Lowest at -1.04%

NET SALES(Q)

At PLN 915.36 MM has Fallen at -19.22%

RAW MATERIAL COST(Y)

Grown by 33.98% (YoY

DEBT-EQUITY RATIO (HY)

Highest at 54.05 %

OPERATING PROFIT(Q)

Lowest at PLN 88.3 MM

PRE-TAX PROFIT(Q)

Lowest at PLN 5.63 MM

NET PROFIT(Q)

Lowest at PLN -5.33 MM

Here's what is working for Polenergia SA

Inventory Turnover Ratio

Highest at 67.3 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Depreciation

Highest at PLN 46.14 MM

in the last five periods

MOJO Watch

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

Depreciation (PLN MM)

Here's what is not working for Polenergia SA

Pre-Tax Profit

At PLN 5.63 MM has Fallen at -90.06%

over average net sales of the previous four periods of PLN 56.63 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (PLN MM)

Net Profit

At PLN -5.33 MM has Fallen at -115.9%

over average net sales of the previous four periods of PLN 33.5 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (PLN MM)

Interest

At PLN 142.76 MM has Grown at 195.11%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (PLN MM)

Net Sales

At PLN 915.36 MM has Fallen at -19.22%

over average net sales of the previous four periods of PLN 1,133.09 MM

MOJO Watch

Near term sales trend is very negative

Net Sales (PLN MM)

Operating Cash Flow

Lowest at PLN 446.52 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (PLN MM)

Operating Profit

Lowest at PLN 88.3 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (PLN MM)

Pre-Tax Profit

Lowest at PLN 5.63 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (PLN MM)

Net Profit

Lowest at PLN -5.33 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (PLN MM)

Debt-Equity Ratio

Highest at 54.05 %

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 33.98% (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