RWS Holdings Plc (RWS) 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

Intertek Group Plc

Ascential Plc

Serco Group Plc

Wise Plc

Rentokil Initial Plc

MITIE Group Plc

GlobalData Plc

John Wood Group Plc

RWS Holdings Plc

IWG Plc

Keywords Studios Plc

Why is RWS Holdings Plc ?

Poor Management Efficiency with a low ROE of 5.53%

The company has been able to generate a Return on Equity (avg) of 5.53% signifying low profitability per unit of shareholders funds

Negative results in Sep 25

PRE-TAX PROFIT(Q) At GBP 21 MM has Fallen at -69.61%
NET PROFIT(Q) At GBP 19.5 MM has Fallen at -66.9%
OPERATING CASH FLOW(Y) Lowest at GBP 136.2 MM

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of -38.61%, its profits have fallen by -78.6%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -38.61% returns in the last 1 year, the stock has also underperformed FTSE 100 in each of the last 3 annual periods

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 RWS Holdings Plc for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

RWS Holdings Plc

-39.64%

-0.90

59.93%

FTSE 100

13.98%

1.15

13.60%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

14.17%

EBIT Growth (5y)

-16.32%

EBIT to Interest (avg)

22.87

Debt to EBITDA (avg)

0.12

Net Debt to Equity (avg)

0.04

Sales to Capital Employed (avg)

0.68

Tax Ratio

16.33%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

0.04%

ROCE (avg)

7.48%

ROE (avg)

5.53%

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

0.37

EV to EBIT

14.59

EV to EBITDA

3.25

EV to Capital Employed

0.40

EV to Sales

0.45

PEG Ratio

Dividend Yield

9.22%

ROCE (Latest)

2.71%

ROE (Latest)

2.06%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bullish

Dow Theory

No Trend

OBV

Mildly Bullish

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

0What is working for the Company

NO KEY POSITIVE TRIGGERS

-14What is not working for the Company

PRE-TAX PROFIT(Q)

At GBP 21 MM has Fallen at -69.61%

NET PROFIT(Q)

At GBP 19.5 MM has Fallen at -66.9%

OPERATING CASH FLOW(Y)

Lowest at GBP 136.2 MM

ROCE(HY)

Lowest at -12%

RAW MATERIAL COST(Y)

Grown by 7.46% (YoY

CASH AND EQV(HY)

Lowest at GBP 32.6 MM

DIVIDEND PER SHARE(HY)

Lowest at GBP 3.52

EPS(Q)

Lowest at GBP -0.24

Here's what is not working for RWS Holdings Plc

Pre-Tax Profit

At GBP 21 MM has Fallen at -69.61%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (GBP MM)

Net Profit

At GBP 19.5 MM has Fallen at -66.9%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (GBP MM)

Operating Cash Flow

Lowest at GBP 136.2 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (GBP MM)

EPS

Lowest at GBP -0.24

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (GBP)

Cash and Eqv

Lowest at GBP 32.6 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Dividend per share

Lowest at GBP 3.52

in the last five years

MOJO Watch

Company is distributing lower dividend than previous years

DPS (GBP)

Raw Material Cost

Grown by 7.46% (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