ScoreWhy is Serco Group Plc ?
1
Positive results in Jun 26
- OPERATING CASH FLOW(Y) Highest at GBP 838.5 MM
- ROCE(HY) Highest at 17.58%
- INVENTORY TURNOVER RATIO(HY) Highest at 201.13 times
2
With ROE of 16.67%, it has a fair valuation with a 2.65 Price to Book Value
- Over the past year, while the stock has generated a return of 16.08%, its profits have fallen by -9.5%
3
Company is among the highest 1% of companies rated by MarketsMojo across all 4,000 stocks
4
Consistent Returns over the last 3 years
- Along with generating 16.08% returns in the last 1 year, the stock has outperformed FTSE 100 in each of the last 3 annual periods
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Serco Group Plc should be less than 10%
- Overall Portfolio exposure to Miscellaneous should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Miscellaneous)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Serco Group Plc for you?
Medium Risk, High Return
Absolute
Risk Adjusted
Volatility
Serco Group Plc
16.08%
2.11
22.56%
FTSE 100
16.06%
1.36
11.82%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
4.86%
EBIT Growth (5y)
8.61%
EBIT to Interest (avg)
8.57
Debt to EBITDA (avg)
0.73
Net Debt to Equity (avg)
0.31
Sales to Capital Employed (avg)
3.36
Tax Ratio
32.62%
Dividend Payout Ratio
31.29%
Pledged Shares
0
Institutional Holding
0.01%
ROCE (avg)
22.55%
ROE (avg)
19.91%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
16
Industry P/E
Price to Book Value
2.65
EV to EBIT
9.23
EV to EBITDA
5.24
EV to Capital Employed
2.15
EV to Sales
0.54
PEG Ratio
NA
Dividend Yield
1.99%
ROCE (Latest)
23.34%
ROE (Latest)
16.67%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
No Trend
No Trend
OBV
No Trend
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend11What is working for the Company
OPERATING CASH FLOW(Y)
Highest at GBP 838.5 MM
ROCE(HY)
Highest at 17.58%
INVENTORY TURNOVER RATIO(HY)
Highest at 201.13 times
DIVIDEND PER SHARE(HY)
Highest at GBP 6.92
NET SALES(Q)
Highest at GBP 2,503.4 MM
PRE-TAX PROFIT(Q)
Highest at GBP 105.2 MM
NET PROFIT(Q)
Highest at GBP 96 MM
EPS(Q)
Highest at GBP 0.1
-5What is not working for the Company
DIVIDEND PAYOUT RATIO(Y)
Lowest at 0%
RAW MATERIAL COST(Y)
Grown by 17.62% (YoY
DEBTORS TURNOVER RATIO(HY)
Lowest at 6.92 times
DIVIDEND PER SHARE(HY)
Lowest at GBP 6.92
OPERATING PROFIT MARGIN(Q)
Lowest at 9.56 %
Here's what is working for Serco Group Plc
Operating Cash Flow
Highest at GBP 838.5 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)
Net Sales
Highest at GBP 2,503.4 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (GBP MM)
Pre-Tax Profit
Highest at GBP 105.2 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (GBP MM)
Net Profit
Highest at GBP 96 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (GBP MM)
EPS
Highest at GBP 0.1
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (GBP)
Inventory Turnover Ratio
Highest at 201.13 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Dividend per share
Highest at GBP 6.92
in the last five yearsMOJO Watch
Company is distributing higher dividend from profits generated
DPS (GBP)
Here's what is not working for Serco Group Plc
Operating Profit Margin
Lowest at 9.56 %
in the last five periodsMOJO Watch
Company's profit margin has deteriorated
Operating Profit to Sales
Debtors Turnover Ratio
Lowest at 6.92 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio
Dividend per share
Lowest at GBP 6.92
in the last five yearsMOJO Watch
Company is distributing lower dividend than previous years
DPS (GBP)
Dividend Payout Ratio
Lowest at 0%
in the last five yearsMOJO Watch
Company is distributing lower proportion of profits generated as dividend
DPR (%)
Raw Material Cost
Grown by 17.62% (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
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