ScoreWhy is Reach Plc ?
1
Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 32.48
2
Poor long term growth as Net Sales has grown by an annual rate of -3.74% and Operating profit at -12.25% over the last 5 years
3
Flat results in Jun 25
- OPERATING CASH FLOW(Y) Lowest at GBP 48.7 MM
- DEBT-EQUITY RATIO (HY) Highest at 6.84 %
- NET SALES(Q) Lowest at GBP 256 MM
4
With ROE of 9.19%, it has a very attractive valuation with a 0.31 Price to Book Value
- Over the past year, while the stock has generated a return of -37.11%, its profits have risen by 14.5% ; the PEG ratio of the company is 0.2
5
Below par performance in long term as well as near term
- Along with generating -37.11% returns in the last 1 year, the stock has also underperformed FTSE 100 in the last 3 years, 1 year and 3 months
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Reach Plc should be less than 10%
- Overall Portfolio exposure to Media & Entertainment should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Media & Entertainment)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Reach Plc for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Reach Plc
-100.0%
-1.02
38.15%
FTSE 100
17.48%
1.25
12.83%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
-3.74%
EBIT Growth (5y)
-12.25%
EBIT to Interest (avg)
32.48
Debt to EBITDA (avg)
Net Debt is too low
Net Debt to Equity (avg)
0.02
Sales to Capital Employed (avg)
0.88
Tax Ratio
15.01%
Dividend Payout Ratio
43.18%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
17.64%
ROE (avg)
10.84%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
3
Industry P/E
Price to Book Value
0.31
EV to EBIT
3.37
EV to EBITDA
2.64
EV to Capital Employed
0.34
EV to Sales
0.45
PEG Ratio
0.23
Dividend Yield
11.02%
ROCE (Latest)
9.99%
ROE (Latest)
9.19%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Bearish
Dow Theory
No Trend
No Trend
OBV
No Trend
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend1What is working for the Company
RAW MATERIAL COST(Y)
Fallen by -16.84% (YoY
-5What is not working for the Company
OPERATING CASH FLOW(Y)
Lowest at GBP 48.7 MM
DEBT-EQUITY RATIO
(HY)
Highest at 6.84 %
NET SALES(Q)
Lowest at GBP 256 MM
Here's what is working for Reach Plc
Raw Material Cost
Fallen by -16.84% (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
Here's what is not working for Reach Plc
Operating Cash Flow
Lowest at GBP 48.7 MM and Fallen
In each year in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (GBP MM)
Net Sales
Lowest at GBP 256 MM
in the last five periodsMOJO Watch
Near term sales trend is negative
Net Sales (GBP MM)
Debt-Equity Ratio
Highest at 6.84 %
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
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
GET THE MARKETSMOJO APP
Company
Stocks
Portfolio
"Investment in securities markets are subject to market risk. Read all the related documents carefully before investing."
