Southwest Petrovietnam Fertilizer & Chemicals JSC (PSW) 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

Ninh Binh Phosphate Fertilizer JSC

Petrovietnam Fertilizer & Chemicals Corp.

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Southern Fertilizer JSC

Southwest Petrovietnam Fertilizer & Chemicals JSC

Binh Dien Fertilizer JSC

Sunstar Investment JSC

Lam Thao Fertilizers & Chemicals JSC

Quang Binh Import Export JSC

General Materials Biochemistry Fertilizer JSC

Why is Southwest Petrovietnam Fertilizer & Chemicals JSC ?

Company has very low debt and has enough cash to service the debt requirements

Low Debt Company with Strong Long Term Fundamental Strength

The company has declared Negative results for the last 3 consecutive quarters

INTEREST(HY) At VND 1,233.45 MM has Grown at 271.26%
NET SALES(HY) At VND 1,569,413.68 MM has Grown at -12.46%
INVENTORY TURNOVER RATIO(HY) Lowest at 11.12 times

With ROE of 9.62%, it has a attractive valuation with a 0.67 Price to Book Value

Over the past year, while the stock has generated a return of -2.50%, its profits have risen by 110.8% ; the PEG ratio of the company is 0.1
At the current price, the company has a high dividend yield of 6.1

Company is among the highest 1% of companies rated by MarketsMojo across all 4,000 stocks

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -2.50% returns in the last 1 year, the stock has also underperformed Vietnam VN Ho Chi Minh Index in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Southwest Petrovietnam Fertilizer & Chemicals JSC should be less than 10%
Overall Portfolio exposure to Chemicals & Petrochemicals should be less than 30%

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

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

Is Southwest Petrovietnam Fertilizer & Chemicals JSC for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Southwest Petrovietnam Fertilizer & Chemicals JSC

-2.5%

-0.35

26.33%

Vietnam VN Ho Chi Minh Index

38.87%

1.81

21.48%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

13.10%

EBIT Growth (5y)

37.81%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.04

Sales to Capital Employed (avg)

14.36

Tax Ratio

21.36%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

18.77%

ROE (avg)

7.82%

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

0.67

EV to EBIT

3.73

EV to EBITDA

3.43

EV to Capital Employed

0.51

EV to Sales

0.02

PEG Ratio

0.06

Dividend Yield

6.10%

ROCE (Latest)

13.81%

ROE (Latest)

9.62%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bullish

RSI

Bearish

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Mildly Bearish

Bearish

Dow Theory

Bearish

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

7What is working for the Company

OPERATING CASH FLOW(Y)

Highest at VND 83,979.38 MM

RAW MATERIAL COST(Y)

Fallen by -60.95% (YoY

DEBT-EQUITY RATIO (HY)

Lowest at -38.61 %

PRE-TAX PROFIT(Q)

At VND 8,800.55 MM has Grown at 60.29%

NET PROFIT(Q)

At VND 7,040.44 MM has Grown at 60.29%

-15What is not working for the Company

INTEREST(HY)

At VND 1,233.45 MM has Grown at 271.26%

NET SALES(HY)

At VND 1,569,413.68 MM has Grown at -12.46%

INVENTORY TURNOVER RATIO(HY)

Lowest at 11.12 times

Here's what is working for Southwest Petrovietnam Fertilizer & Chemicals JSC

Operating Cash Flow

Highest at VND 83,979.38 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (VND MM)

Pre-Tax Profit

At VND 8,800.55 MM has Grown at 60.29%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (VND MM)

Net Profit

At VND 7,040.44 MM has Grown at 60.29%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is positive

Net Profit (VND MM)

Debt-Equity Ratio

Lowest at -38.61 %

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 -60.95% (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 Southwest Petrovietnam Fertilizer & Chemicals JSC

Interest

At VND 1,233.45 MM has Grown at 271.26%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (VND MM)

Net Sales

At VND 1,569,413.68 MM has Grown at -12.46%

Year on Year (YoY)

MOJO Watch

Near term sales trend is negative

Net Sales (VND MM)

Inventory Turnover Ratio

Lowest at 11.12 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio