Reply SpA (REY) 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

A.L.A. SpA

Moltiply Group SpA

BasicNet SpA

Reply SpA

Fiera Milano SpA

GPI SpA

Italian Exhibition Group SpA

Spindox SpA

Integrated System Credit Consulting Fintech SpA

Servizi Italia SpA

Alkemy SpA

Why is Reply SpA ?

Weak Long Term Fundamental Strength as the company has not declared results in the last 6 months

With ROE of -0.09%, it has a Very Expensive valuation with a 2.46 Price to Book Value

Over the past year, while the stock has generated a return of -19.38%, its profits have fallen by -223%

Underperformed the market in the last 1 year

Even though the market (Italy FTSE MIB) has generated returns of 25.14% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -19.38% returns

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 Miscellaneous)

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

Is Reply SpA for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Reply SpA

-20.2%

2.06

37.68%

Italy FTSE MIB

27.29%

1.54

16.37%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

13.20%

EBIT Growth (5y)

12.70%

EBIT to Interest (avg)

25.41

Debt to EBITDA (avg)

Net Debt is too low

Net Debt to Equity (avg)

-0.33

Sales to Capital Employed (avg)

0.56

Tax Ratio

Dividend Payout Ratio

20.06%

Pledged Shares

Institutional Holding

0.00%

ROCE (avg)

25.08%

ROE (avg)

1.98%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

2.46

EV to EBIT

54.97

EV to EBITDA

48.14

EV to Capital Employed

3.35

EV to Sales

4.91

PEG Ratio

Dividend Yield

10.60%

ROCE (Latest)

6.10%

ROE (Latest)

-0.09%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bullish

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

Mildly Bearish

OBV

Mildly Bearish

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

10What is working for the Company

OPERATING CASH FLOW(Y)

Highest at EUR 672.19 MM

NET SALES(Q)

Highest at EUR 1,239.87 MM

DIVIDEND PAYOUT RATIO(Y)

Highest at 39.9%

CASH AND EQV(HY)

Highest at EUR 641.87 MM

DEBT-EQUITY RATIO (HY)

Lowest at -31.42 %

DIVIDEND PER SHARE(HY)

Highest at EUR 2.8

PRE-TAX PROFIT(Q)

Highest at EUR 204.32 MM

EPS(Q)

Highest at EUR 3.38

-1What is not working for the Company

RAW MATERIAL COST(Y)

Grown by 8.4% (YoY

Here's what is working for Reply SpA

Net Sales

Highest at EUR 1,239.87 MM and Grown

In each period in the last five periods

MOJO Watch

Near term sales trend is very positive

Net Sales (EUR MM)

Operating Cash Flow

Highest at EUR 672.19 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (EUR MM)

Pre-Tax Profit

Highest at EUR 204.32 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (EUR MM)

EPS

Highest at EUR 3.38

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (EUR)

Cash and Eqv

Highest at EUR 641.87 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio

Lowest at -31.42 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Dividend per share

Highest at EUR 2.8

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (EUR)

Dividend Payout Ratio

Highest at 39.9%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Here's what is not working for Reply SpA

Raw Material Cost

Grown by 8.4% (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

Non Operating Income

Highest at EUR 0.28 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income