ScoreWhy is Prada SpA ?
1
High Management Efficiency with a high ROE of 19.61%
2
Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 63.02
3
Poor long term growth as Net Sales has grown by an annual rate of -2.72% and Operating profit at -21.37% over the last 5 years
4
The company has declared Positive results for the last 3 consecutive quarters
- OPERATING CASH FLOW(Y) Highest at HKD 26,229.96 MM
- RAW MATERIAL COST(Y) Fallen by -21.6% (YoY)
- DEBTORS TURNOVER RATIO(HY) Highest at 11.52%
5
With ROE of 7.36%, it has a Very Expensive valuation with a 3.01 Price to Book Value
- Over the past year, while the stock has generated a return of -26.93%, its profits have fallen by -38.8%
6
Underperformed the market in the last 1 year
- Even though the market (Hang Seng Hong Kong) has generated returns of 26.67% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -26.93% returns
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Prada SpA should be less than 10%
- Overall Portfolio exposure to Miscellaneous should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Miscellaneous)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Prada SpA for you?
Medium Risk, High Return
Absolute
Risk Adjusted
Volatility
Prada SpA
-27.73%
36.80
39.66%
Hang Seng Hong Kong
27.36%
1.03
25.88%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
-2.72%
EBIT Growth (5y)
-21.37%
EBIT to Interest (avg)
63.02
Debt to EBITDA (avg)
Net Debt is too low
Net Debt to Equity (avg)
-0.04
Sales to Capital Employed (avg)
0.78
Tax Ratio
29.93%
Dividend Payout Ratio
51.74%
Pledged Shares
0
Institutional Holding
0.00%
ROCE (avg)
31.93%
ROE (avg)
19.61%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
41
Industry P/E
Price to Book Value
3.01
EV to EBIT
27.24
EV to EBITDA
17.18
EV to Capital Employed
2.98
EV to Sales
3.89
PEG Ratio
NA
Dividend Yield
3.12%
ROCE (Latest)
10.92%
ROE (Latest)
7.36%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bearish
Moving Averages
Bearish (Daily)
KST
Mildly Bullish
Bearish
Dow Theory
No Trend
Mildly Bullish
OBV
Mildly Bearish
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend5What is working for the Company
OPERATING CASH FLOW(Y)
Highest at HKD 26,229.96 MM
RAW MATERIAL COST(Y)
Fallen by -21.6% (YoY
DEBTORS TURNOVER RATIO(HY)
Highest at 11.52%
-5What is not working for the Company
INTEREST COVERAGE RATIO(Q)
Lowest at 2,056.08
CASH AND EQV(HY)
Lowest at HKD 5,510.33 MM
INVENTORY TURNOVER RATIO(HY)
Lowest at 1.64%
INTEREST(Q)
Highest at HKD 420.27 MM
Here's what is working for Prada SpA
Operating Cash Flow
Highest at HKD 26,229.96 MM and Grown
In each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (HKD MM)
Debtors Turnover Ratio
Highest at 11.52%
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Raw Material Cost
Fallen by -21.6% (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
Depreciation
Highest at HKD 3,376.54 MM
in the last five periodsMOJO Watch
The expenditure on assets done by the company may have gone into operation
Depreciation (HKD MM)
Here's what is not working for Prada SpA
Interest Coverage Ratio
Lowest at 2,056.08
in the last five periodsMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Interest
Highest at HKD 420.27 MM
in the last five periods and Increased by 7.65% (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (HKD MM)
Cash and Eqv
Lowest at HKD 5,510.33 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is deteriorating
Cash and Cash Equivalents
Inventory Turnover Ratio
Lowest at 1.64%
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling inventory has slowed
Inventory Turnover Ratio
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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