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

Energa SA

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ONE SA

PGE Polska Grupa Energetyczna SA

ZE PAK SA

Zespol Elektrocieplowni Wroclawskich Kogeneracja 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 0.97 times

Low ability to service debt as the company has a high Debt to EBITDA ratio of 0.97 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 Net Profit of -42.58%, the company declared Very Negative results in Mar 25

ROCE(HY) Lowest at 4.81%
RAW MATERIAL COST(Y) Grown by 33.98% (YoY)
DEBT-EQUITY RATIO (HY) Highest at 31.47 %

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 -24.57%, its profits have fallen by -60.4%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -24.57% 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

-24.36%

-0.85

27.76%

Poland WIG

34.87%

1.84

20.56%

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

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

Mildly Bearish

OBV

Mildly Bearish

Bullish

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 55.48%

-15What is not working for the Company

ROCE(HY)

Lowest at 4.81%

RAW MATERIAL COST(Y)

Grown by 33.98% (YoY

DEBT-EQUITY RATIO (HY)

Highest at 31.47 %

INTEREST(Q)

Highest at PLN 52.42 MM

NET PROFIT(Q)

At PLN 44.38 MM has Fallen at -41.49%

Here's what is working for Polenergia SA

Inventory Turnover Ratio

Highest at 55.48%

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Here's what is not working for Polenergia SA

Interest

At PLN 52.42 MM has Grown at 41.29%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (PLN MM)

Interest

Highest at PLN 52.42 MM

in the last five periods and Increased by 41.29% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (PLN MM)

Net Profit

At PLN 44.38 MM has Fallen at -41.49%

over average net sales of the previous four periods of PLN 75.85 MM

MOJO Watch

Near term Net Profit trend is negative

Net Profit (PLN MM)

Debt-Equity Ratio

Highest at 31.47 %

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