Why is Sappi Ltd. ?
1
High Debt Company with a Debt to Equity ratio (avg) at times
- Poor long term growth as Net Sales has grown by an annual rate of 5.77% and Operating profit at 46.00% over the last 5 years
- High Debt Company with a Debt to Equity ratio (avg) at times
- The company has been able to generate a Return on Equity (avg) of 7.95% signifying low profitability per unit of shareholders funds
2
With ROE of 4.44%, it has a Very Expensive valuation with a 0.31 Price to Book Value
- Over the past year, while the stock has generated a return of -52.21%, its profits have risen by 531.8% ; the PEG ratio of the company is 0
3
Below par performance in long term as well as near term
- Along with generating -52.21% returns in the last 1 year, the stock has also underperformed FTSE JSE 40 in the last 3 years, 1 year and 3 months
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 Paper, Forest & Jute Products)
When to re-enter? - We will constantly monitor the company and review our call based on new data
No Data Found
Quality key factors
Factor
Value
Sales Growth (5y)
5.77%
EBIT Growth (5y)
46.00%
EBIT to Interest (avg)
4.25
Debt to EBITDA (avg)
Negative Net Debt
Net Debt to Equity (avg)
0.65
Sales to Capital Employed (avg)
0
Tax Ratio
29.21%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
11.73%
ROE (avg)
7.95%
Valuation Key Factors 
Factor
Value
P/E Ratio
7
Industry P/E
Price to Book Value
0.31
EV to EBIT
8.90
EV to EBITDA
4.07
EV to Capital Employed
0.61
EV to Sales
0.47
PEG Ratio
0.01
Dividend Yield
4.10%
ROCE (Latest)
6.85%
ROE (Latest)
4.44%
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Mildly Bearish
Moving Averages
Mildly Bearish (Daily)
KST
Mildly Bullish
Bearish
Dow Theory
No Trend
No Trend
OBV
No Trend
Bearish






