Why is Redde Northgate Plc ?
1
Healthy long term growth as Net Sales has grown by an annual rate of 13.47% and Operating profit at 16.96%
2
With a growth in Net Profit of 36.1%, the company declared Very Positive results in Oct 25
- OPERATING CASH FLOW(Y) Highest at GBP 943.02 MM
- OPERATING PROFIT(Q) Highest at GBP 245.72 MM
- INVENTORY TURNOVER RATIO(HY) Highest at 55.66 times
3
With ROE of 17.63%, it has a very attractive valuation with a 0.83 Price to Book Value
- Over the past year, while the stock has generated a return of 27.12%, its profits have fallen by -1%
4
Market Beating Performance
- The stock has generated a return of 27.12% in the last 1 year, much higher than market (FTSE 100) returns of 15.58%
How much should you buy?
- Overall Portfolio exposure to Redde Northgate Plc should be less than 10%
- Overall Portfolio exposure to Finance should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Finance)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Redde Northgate Plc for you?
Medium Risk, Low Return
Absolute
Risk Adjusted
Volatility
Redde Northgate Plc
-100.0%
-0.27
26.40%
FTSE 100
13.98%
1.15
13.60%
Quality key factors
Factor
Value
Sales Growth (5y)
13.47%
EBIT Growth (5y)
16.96%
EBIT to Interest (avg)
6.52
Debt to EBITDA (avg)
Negative Net Debt
Net Debt to Equity (avg)
0
Sales to Capital Employed (avg)
0
Tax Ratio
22.44%
Dividend Payout Ratio
74.24%
Pledged Shares
0
Institutional Holding
0.06%
ROCE (avg)
9.64%
ROE (avg)
10.61%
Valuation Key Factors 
Factor
Value
P/E Ratio
5
Industry P/E
Price to Book Value
0.83
EV to EBIT
11.00
EV to EBITDA
3.65
EV to Capital Employed
0.91
EV to Sales
0.94
PEG Ratio
NA
Dividend Yield
668.65%
ROCE (Latest)
8.24%
ROE (Latest)
17.63%
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bullish
Mildly Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Mildly Bullish
Dow Theory
Mildly Bearish
No Trend
OBV
Mildly Bearish
No Trend
Technical Movement
8What is working for the Company
OPERATING CASH FLOW(Y)
Highest at GBP 943.02 MM
OPERATING PROFIT(Q)
Highest at GBP 245.72 MM
INVENTORY TURNOVER RATIO(HY)
Highest at 55.66 times
NET SALES(Q)
Highest at GBP 929.65 MM
OPERATING PROFIT MARGIN(Q)
Highest at 26.43 %
-2What is not working for the Company
RAW MATERIAL COST(Y)
Grown by 9.34% (YoY
DEBT-EQUITY RATIO
(HY)
Highest at 86.66 %
Here's what is working for Redde Northgate Plc
Operating Cash Flow
Highest at GBP 943.02 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 (GBP MM)
Operating Profit
Highest at GBP 245.72 MM and Grown
In each period in the last five periodsMOJO Watch
Near term Operating Profit trend is quite positive
Operating Profit (GBP MM)
Net Sales
Highest at GBP 929.65 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (GBP MM)
Operating Profit Margin
Highest at 26.43 %
in the last five periodsMOJO Watch
Company's profit margin has improved
Operating Profit to Sales
Inventory Turnover Ratio
Highest at 55.66 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Depreciation
Highest at GBP 162.5 MM
in the last five periodsMOJO Watch
The expenditure on assets done by the company may have gone into operation
Depreciation (GBP MM)
Here's what is not working for Redde Northgate Plc
Debt-Equity Ratio
Highest at 86.66 %
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
Raw Material Cost
Grown by 9.34% (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






