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
Flat results in Dec 25
- INTEREST COVERAGE RATIO(Q) Lowest at 2,036
- DEBT-EQUITY RATIO (HY) Highest at 76.71 %
- INVENTORY TURNOVER RATIO(HY) Lowest at 2.01 times
5
With ROE of 7.36%, it has a Very Expensive valuation with a 2.62 Price to Book Value
- Over the past year, while the stock has generated a return of -27.08%, its profits have fallen by -38.8%
6
Below par performance in long term as well as near term
- Along with generating -27.08% returns in the last 1 year, the stock has also underperformed Hang Seng Hong Kong in the last 3 years, 1 year and 3 months
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
-27.08%
33.36
34.27%
Hang Seng Hong Kong
8.76%
0.45
19.63%
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)
0.75
Tax Ratio
29.93%
Dividend Payout Ratio
51.29%
Pledged Shares
0
Institutional Holding
0.04%
ROCE (avg)
31.93%
ROE (avg)
19.61%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
36
Industry P/E
Price to Book Value
2.62
EV to EBIT
23.69
EV to EBITDA
14.93
EV to Capital Employed
2.59
EV to Sales
3.38
PEG Ratio
NA
Dividend Yield
3.60%
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
Mildly Bearish
Mildly Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Bearish
Dow Theory
Mildly Bullish
No Trend
OBV
Mildly Bullish
Mildly Bearish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend12What is working for the Company
OPERATING CASH FLOW(Y)
Highest at HKD 28,970.59 MM
DIVIDEND PER SHARE(HY)
Highest at HKD 10.61
RAW MATERIAL COST(Y)
Fallen by 0.21% (YoY
CASH AND EQV(HY)
Highest at HKD 11,533.4 MM
NET SALES(Q)
Highest at HKD 27,083.1 MM
OPERATING PROFIT(Q)
Highest at HKD 10,085.1 MM
PRE-TAX PROFIT(Q)
Highest at HKD 5,839.55 MM
NET PROFIT(Q)
Highest at HKD 4,232.56 MM
EPS(Q)
Highest at HKD 1.66
-8What is not working for the Company
INTEREST COVERAGE RATIO(Q)
Lowest at 2,036
DEBT-EQUITY RATIO
(HY)
Highest at 76.71 %
INVENTORY TURNOVER RATIO(HY)
Lowest at 2.01 times
INTEREST(Q)
Highest at HKD 495.34 MM
Here's what is working for Prada SpA
Operating Cash Flow
Highest at HKD 28,970.59 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)
Dividend per share
Highest at HKD 10.61 and Grown
In each year in the last five yearsMOJO Watch
Company is distributing higher dividend from profits generated
DPS (HKD)
Net Sales
Highest at HKD 27,083.1 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (HKD MM)
Operating Profit
Highest at HKD 10,085.1 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (HKD MM)
Pre-Tax Profit
Highest at HKD 5,839.55 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (HKD MM)
Net Profit
Highest at HKD 4,232.56 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (HKD MM)
EPS
Highest at HKD 1.66
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (HKD)
Cash and Eqv
Highest at HKD 11,533.4 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Raw Material Cost
Fallen by 0.21% (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 3,805.51 MM
in the last five periodsMOJO Watch
The expenditure on assets done by the company may have gone into operation
Depreciation (HKD MM)
Depreciation
At HKD 3,805.51 MM has Grown at 12.7%
period on period (QoQ)MOJO Watch
The expenditure on assets done by the company has gone into productive use which should positively reflect in the future sales
Depreciation (HKD MM)
Here's what is not working for Prada SpA
Interest Coverage Ratio
Lowest at 2,036
in the last five periodsMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Interest
Highest at HKD 495.34 MM
in the last five periods and Increased by 19.17% (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (HKD MM)
Debt-Equity Ratio
Highest at 76.71 %
in the last five Semi-Annual periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
Inventory Turnover Ratio
Lowest at 2.01 times
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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