PPHE Hotel Group Ltd. (PPH) 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

Whitbread Plc

Hydro Hotel Eastbourne Plc

InterContinental Hotels Group Plc

Safestay PLC

PPHE Hotel Group Ltd.

Roadside Real Estate Plc

Minoan Group Plc

Carnival Plc

Mandarin Oriental International Ltd.

Why is PPHE Hotel Group Ltd. ?

Poor Management Efficiency with a low ROCE of 4.32%

The company has been able to generate a Return on Capital Employed (avg) of 4.32% signifying low profitability per unit of total capital (equity and debt)

High Debt Company with a Debt to Equity ratio (avg) at times

Poor long term growth as Net Sales has grown by an annual rate of 35.58% and Operating profit at 30.21% over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times
The company has been able to generate a Return on Equity (avg) of 4.29% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 35.58% and Operating profit at 30.21% over the last 5 years

Negative results in Jun 25

INTEREST COVERAGE RATIO(Q) Lowest at 200.98
RAW MATERIAL COST(Y) Grown by 24.04% (YoY)
CASH AND EQV(HY) Lowest at GBP 93.44 MM

With ROE of 7.97%, it has a very expensive valuation with a 2.25 Price to Book Value

Over the past year, while the stock has generated a return of 27.60%, its profits have fallen by -7.7%

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 Hotels & Resorts)

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

Is PPHE Hotel Group Ltd. for you?

High Risk, Medium Return

Absolute

Risk Adjusted

Volatility

PPHE Hotel Group Ltd.

29.61%

0.58

39.98%

FTSE 100

13.98%

1.15

13.60%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

35.58%

EBIT Growth (5y)

30.21%

EBIT to Interest (avg)

0.79

Debt to EBITDA (avg)

10.98

Net Debt to Equity (avg)

2.44

Sales to Capital Employed (avg)

0.28

Tax Ratio

9.33%

Dividend Payout Ratio

123.77%

Pledged Shares

Institutional Holding

ROCE (avg)

4.32%

ROE (avg)

4.29%

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

2.25

EV to EBIT

16.83

EV to EBITDA

10.92

EV to Capital Employed

1.36

EV to Sales

3.23

PEG Ratio

Dividend Yield

ROCE (Latest)

8.10%

ROE (Latest)

7.97%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

Mildly Bearish

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

3What is working for the Company

OPERATING CASH FLOW(Y)

Highest at GBP 152.82 MM

-14What is not working for the Company

INTEREST COVERAGE RATIO(Q)

Lowest at 200.98

RAW MATERIAL COST(Y)

Grown by 24.04% (YoY

CASH AND EQV(HY)

Lowest at GBP 93.44 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 22.76 %

PRE-TAX PROFIT(Q)

Lowest at GBP -5.33 MM

NET PROFIT(Q)

Lowest at GBP 1.83 MM

EPS(Q)

Lowest at GBP -0.07

Here's what is working for PPHE Hotel Group Ltd.

Operating Cash Flow

Highest at GBP 152.82 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (GBP MM)

Here's what is not working for PPHE Hotel Group Ltd.

Pre-Tax Profit

At GBP -5.33 MM has Fallen at -857.45%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (GBP MM)

Net Profit

At GBP 1.83 MM has Fallen at -53.52%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (GBP MM)

Interest Coverage Ratio

Lowest at 200.98

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Operating Profit Margin

Lowest at 22.76 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at GBP -5.33 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 1.83 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (GBP MM)

EPS

Lowest at GBP -0.07

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (GBP)

Cash and Eqv

Lowest at GBP 93.44 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Raw Material Cost

Grown by 24.04% (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