Premium Textile Mills Ltd. (PRET) 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

Azgard Nine Ltd.

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Gadoon Textile Mills Ltd.

Faisal Spinning Mills Ltd.

Blessed Textiles Ltd.

Din Textile Mills Ltd.

Premium Textile Mills Ltd.

Nishat Chunian Ltd.

Fazal Cloth Mills Ltd.

Why is Premium Textile Mills Ltd. ?

Poor Management Efficiency with a low ROCE of 14.62%

The company has been able to generate a Return on Capital Employed (avg) of 14.62% signifying low profitability per unit of total capital (equity and debt)

High Debt Company with a Debt to Equity ratio (avg) at 0 times

High Debt Company with a Debt to Equity ratio (avg) at 0 times
The company has been able to generate a Return on Capital Employed (avg) of 14.62% signifying low profitability per unit of total capital (equity and debt)

Flat results in Mar 25

NET PROFIT(Q) At PKR 1.22 MM has Fallen at -94.85%
OPERATING CASH FLOW(Y) Lowest at PKR -2,701.51 MM
DEBT-EQUITY RATIO (HY) Highest at 209 %

With ROE of 3.5, it has a attractive valuation with a 0.3 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 0%, its profits have risen by 192.6% ; the PEG ratio of the company is 0

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 Garments & Apparels)

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

Is Premium Textile Mills Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Premium Textile Mills Ltd.

-100.0%

0.68

51.14%

Pakistan KSE 100 Share

26.26%

2.81

22.77%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

21.94%

EBIT Growth (5y)

14.53%

EBIT to Interest (avg)

2.52

Debt to EBITDA (avg)

3.93

Net Debt to Equity (avg)

2.09

Sales to Capital Employed (avg)

1.07

Tax Ratio

Tax Ratio is Negative%

Dividend Payout Ratio

6.46%

Pledged Shares

Institutional Holding

ROCE (avg)

14.62%

ROE (avg)

19.75%

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

0.33

EV to EBIT

8.11

EV to EBITDA

4.98

EV to Capital Employed

0.77

EV to Sales

0.67

PEG Ratio

0.11

Dividend Yield

0.43%

ROCE (Latest)

9.46%

ROE (Latest)

2.18%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Bearish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Bearish

No Trend

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

7What is working for the Company

OPERATING CASH FLOW(Y)

Highest at PKR 5,018.7 MM

INVENTORY TURNOVER RATIO(HY)

Highest at 3.29 times

INTEREST COVERAGE RATIO(Q)

Highest at 219.22

DEBT-EQUITY RATIO (HY)

Lowest at 154.28 %

-9What is not working for the Company

NET PROFIT(HY)

At PKR -98.04 MM has Grown at -266.22%

NET SALES(Q)

Lowest at PKR 5,867.92 MM

DEBTORS TURNOVER RATIO(HY)

Lowest at 4.05 times

OPERATING PROFIT(Q)

Lowest at PKR 813.81 MM

Here's what is working for Premium Textile Mills Ltd.

Interest Coverage Ratio

Highest at 219.22

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Inventory Turnover Ratio

Highest at 3.29 times and Grown

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

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Operating Cash Flow

Highest at PKR 5,018.7 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (PKR MM)

Debt-Equity Ratio

Lowest at 154.28 %

in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Here's what is not working for Premium Textile Mills Ltd.

Net Profit

At PKR -98.04 MM has Grown at -266.22%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (PKR MM)

Net Sales

Lowest at PKR 5,867.92 MM and Fallen

In each period in the last five periods

MOJO Watch

Near term sales trend is very negative

Net Sales (PKR MM)

Net Sales

At PKR 5,867.92 MM has Fallen at -19.1%

over average net sales of the previous four periods of PKR 7,253.1 MM

MOJO Watch

Near term sales trend is negative

Net Sales (PKR MM)

Operating Profit

Lowest at PKR 813.81 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (PKR MM)

Debtors Turnover Ratio

Lowest at 4.05 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio