RAINBOW TOURS SA (RBW) 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

RAINBOW TOURS SA

SUNDRAGON SA

Why is RAINBOW TOURS SA ?

The company is Net-Debt Free

Poor long term growth as Operating profit has grown by an annual rate 61.04% of over the last 5 years
The company is Net-Debt Free
The company has been able to generate a Return on Capital Employed (avg) of 60.33% signifying low profitability per unit of total capital (equity and debt)

Positive results in Sep 25

OPERATING CASH FLOW(Y) Highest at PLN 434.24 MM
CASH AND EQV(HY) Highest at PLN 1,016.64 MM
NET SALES(Q) Highest at PLN 1,956.53 MM

With ROE of 51.07%, it has a fair valuation with a 4.49 Price to Book Value

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -19.55%, its profits have risen by 1% ; the PEG ratio of the company is 8.8

Underperformed the market in the last 1 year

Even though the market (Poland WIG) has generated returns of 27.26% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -19.55% returns

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to RAINBOW TOURS SA should be less than 10%
Overall Portfolio exposure to Tour, Travel Related Services should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Tour, Travel Related Services)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is RAINBOW TOURS SA for you?

Medium Risk, Medium Return

Absolute

Risk Adjusted

Volatility

RAINBOW TOURS SA

-100.0%

0.80

36.07%

Poland WIG

27.26%

1.56

17.47%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

45.54%

EBIT Growth (5y)

61.04%

EBIT to Interest (avg)

25.53

Debt to EBITDA (avg)

0.49

Net Debt to Equity (avg)

-0.58

Sales to Capital Employed (avg)

9.70

Tax Ratio

19.94%

Dividend Payout Ratio

48.28%

Pledged Shares

Institutional Holding

ROCE (avg)

60.33%

ROE (avg)

37.56%

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

4.49

EV to EBIT

5.52

EV to EBITDA

5.13

EV to Capital Employed

33.52

EV to Sales

0.42

PEG Ratio

8.80

Dividend Yield

4.74%

ROCE (Latest)

606.71%

ROE (Latest)

51.07%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bullish

Bollinger Bands

Bearish

Sideways

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

No Trend

OBV

Mildly Bullish

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 PLN 434.24 MM

CASH AND EQV(HY)

Highest at PLN 1,016.64 MM

NET SALES(Q)

Highest at PLN 1,956.53 MM

NET PROFIT(Q)

Highest at PLN 160.05 MM

EPS(Q)

Highest at PLN 11

-6What is not working for the Company

ROCE(HY)

Lowest at 57.25%

RAW MATERIAL COST(Y)

Grown by 8.59% (YoY

INVENTORY TURNOVER RATIO(HY)

Lowest at 4,264.9 times

Here's what is working for RAINBOW TOURS SA

Operating Cash Flow

Highest at PLN 434.24 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (PLN MM)

Net Sales

Highest at PLN 1,956.53 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (PLN MM)

Net Profit

Highest at PLN 160.05 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (PLN MM)

EPS

Highest at PLN 11

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (PLN)

Cash and Eqv

Highest at PLN 1,016.64 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Depreciation

Highest at PLN 7.4 MM

in the last five periods

MOJO Watch

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

Depreciation (PLN MM)

Here's what is not working for RAINBOW TOURS SA

Inventory Turnover Ratio

Lowest at 4,264.9 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Raw Material Cost

Grown by 8.59% (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