Premium Brands Holdings Corp. (PBH) 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

Rogers Sugar, Inc.

Maple Leaf Foods, Inc.

Lassonde Industries, Inc.

High Liner Foods, Inc.

Blender Bites Ltd.

Premium Brands Holdings Corp.

Else Nutrition Holdings, Inc.

Burcon NutraScience Corp.

DLC Holdings Corp.

Planet Based Foods Global, Inc.

Vice Health & Wellness, Inc.

Why is Premium Brands Holdings Corp. ?

Poor Management Efficiency with a low ROCE of 7.75%

The company has been able to generate a Return on Capital Employed (avg) of 7.75% signifying low profitability per unit of total capital (equity and debt)

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

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 7.14% signifying low profitability per unit of shareholders funds

Healthy long term growth as Net Sales has grown by an annual rate of 12.44%

Flat results in Jun 25

NET PROFIT(HY) At CAD 24.38 MM has Grown at -51.2%
OPERATING CASH FLOW(Y) Lowest at CAD 143.7 MM
RAW MATERIAL COST(Y) Grown by 9.57% (YoY)

With ROE of 5.28%, it has a very attractive valuation with a 2.43 Price to Book Value

The stock is trading at a fair value compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -6.08%, its profits have fallen by -17.9%

Majority shareholders : Mutual Funds

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 Retailing)

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

Is Premium Brands Holdings Corp. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Premium Brands Holdings Corp.

13.54%

0.02

25.60%

S&P/TSX 60

21.87%

1.54

14.62%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

12.69%

EBIT Growth (5y)

18.09%

EBIT to Interest (avg)

2.59

Debt to EBITDA (avg)

4.35

Net Debt to Equity (avg)

1.46

Sales to Capital Employed (avg)

1.61

Tax Ratio

21.83%

Dividend Payout Ratio

124.25%

Pledged Shares

Institutional Holding

0.02%

ROCE (avg)

7.75%

ROE (avg)

7.14%

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

3.00

EV to EBIT

18.31

EV to EBITDA

12.43

EV to Capital Employed

1.81

EV to Sales

1.04

PEG Ratio

Dividend Yield

ROCE (Latest)

9.88%

ROE (Latest)

3.79%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bearish

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

4What is working for the Company

DEBTORS TURNOVER RATIO(HY)

Highest at 14.39 times

NET SALES(Q)

Highest at CAD 1,986 MM

OPERATING PROFIT(Q)

Highest at CAD 163.4 MM

-21What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at CAD 70.2 MM

NET PROFIT(Q)

At CAD -0.23 MM has Fallen at -101%

ROCE(HY)

Lowest at 3.86%

DEBT-EQUITY RATIO (HY)

Highest at 200.42 %

DIVIDEND PAYOUT RATIO(Y)

Lowest at 0%

RAW MATERIAL COST(Y)

Grown by 5.84% (YoY

EPS(Q)

Lowest at CAD -0.04

Here's what is working for Premium Brands Holdings Corp.

Debtors Turnover Ratio

Highest at 14.39 times and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Net Sales

Highest at CAD 1,986 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (CAD MM)

Operating Profit

Highest at CAD 163.4 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (CAD MM)

Depreciation

Highest at CAD 53.1 MM

in the last five periods

MOJO Watch

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

Depreciation (CAD MM)

Here's what is not working for Premium Brands Holdings Corp.

Net Profit

At CAD -0.23 MM has Fallen at -101%

over average net sales of the previous four periods of CAD 22.73 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CAD MM)

Operating Cash Flow

Lowest at CAD 70.2 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CAD MM)

Debt-Equity Ratio

Highest at 200.42 % and Grown

In each half year 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

EPS

Lowest at CAD -0.04

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (CAD)

Dividend Payout Ratio

Lowest at 0%

in the last five years

MOJO Watch

Company is distributing lower proportion of profits generated as dividend

DPR (%)

Raw Material Cost

Grown by 5.84% (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