SJW Group (SJW) 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

Consolidated Water Co. Ltd.

Artesian Resources Corp.

SJW Group

California Water Service Group

American States Water Co.

Middlesex Water Co.

Essential Utilities, Inc.

Aris Water Solutions, Inc.

The York Water Co.

American Water Works Co., Inc.

Select Water Solutions, Inc.

Why is SJW Group ?

Positive results in Jun 25

OPERATING CASH FLOW(Y) Highest at USD 199.01 MM
DIVIDEND PER SHARE(HY) Highest at USD 5.52
RAW MATERIAL COST(Y) Fallen by -0.44% (YoY)

With ROCE of 5.52%, it has a fair valuation with a 1.11 Enterprise value to Capital Employed

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -8.93%, its profits have risen by 16% ; the PEG ratio of the company is 1.5

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -8.93% returns in the last 1 year, the stock has also underperformed S&P 500 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to SJW Group should be less than 10%
Overall Portfolio exposure to Other Utilities should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Other Utilities)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is SJW Group for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

SJW Group

10.11%

-0.29

26.35%

S&P 500

20.12%

0.70

20.15%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

7.71%

EBIT Growth (5y)

11.44%

EBIT to Interest (avg)

2.21

Debt to EBITDA (avg)

6.92

Net Debt to Equity (avg)

1.32

Sales to Capital Employed (avg)

0.23

Tax Ratio

9.36%

Dividend Payout Ratio

55.82%

Pledged Shares

Institutional Holding

88.96%

ROCE (avg)

4.85%

ROE (avg)

6.70%

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

1.23

EV to EBIT

20.11

EV to EBITDA

12.20

EV to Capital Employed

1.10

EV to Sales

4.63

PEG Ratio

1.27

Dividend Yield

1.52%

ROCE (Latest)

5.48%

ROE (Latest)

7.01%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

Bearish

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Mildly Bullish

Dow Theory

Mildly Bullish

OBV

Mildly Bullish

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

14What is working for the Company

OPERATING CASH FLOW(Y)

Highest at USD 222.75 MM

DIVIDEND PER SHARE(HY)

Highest at USD 4.91

INTEREST COVERAGE RATIO(Q)

Highest at 528.88

RAW MATERIAL COST(Y)

Fallen by -3.05% (YoY

DEBT-EQUITY RATIO (HY)

Lowest at 124.04 %

NET SALES(Q)

Highest at USD 240.55 MM

OPERATING PROFIT(Q)

Highest at USD 94.66 MM

OPERATING PROFIT MARGIN(Q)

Highest at 39.35 %

PRE-TAX PROFIT(Q)

Highest at USD 50.92 MM

NET PROFIT(Q)

Highest at USD 45.13 MM

EPS(Q)

Highest at USD 1.27

-1What is not working for the Company

DIVIDEND PAYOUT RATIO(Y)

Lowest at 33.17%

Here's what is working for SJW Group

Interest Coverage Ratio

Highest at 528.88

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Dividend per share

Highest at USD 4.91 and Grown

In each year in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (USD)

Operating Cash Flow

Highest at USD 222.75 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (USD MM)

Net Sales

Highest at USD 240.55 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (USD MM)

Operating Profit

Highest at USD 94.66 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (USD MM)

Operating Profit Margin

Highest at 39.35 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at USD 50.92 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (USD MM)

Net Profit

Highest at USD 45.13 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (USD MM)

EPS

Highest at USD 1.27

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (USD)

Debt-Equity Ratio

Lowest at 124.04 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Raw Material Cost

Fallen by -3.05% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Here's what is not working for SJW Group

Dividend Payout Ratio

Lowest at 33.17%

in the last five years

MOJO Watch

Company is distributing lower proportion of profits generated as dividend

DPR (%)