Sunoco LP () 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

Sunoco LP

Fastenal Co.

Applied Industrial Technologies, Inc.

Core & Main, Inc.

UGI Corp.

WESCO International, Inc.

Pool Corp.

MSC Industrial Direct Co., Inc.

Genuine Parts Co.

Boise Cascade Co.

Beacon Roofing Supply, Inc.

Why is Sunoco LP ?

Healthy long term growth as Net Sales has grown by an annual rate of 9.39%

Flat results in Jun 25

PRE-TAX PROFIT(Q) At USD 103 MM has Fallen at -59.57%
NET PROFIT(Q) At USD 54.25 MM has Fallen at -68.59%
INTEREST(HY) At USD 244 MM has Grown at 54.43%

With ROCE of 7.14%, it has a very attractive valuation with a 1.35 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 0.60%, its profits have risen by 93.4% ; the PEG ratio of the company is 0.6

Underperformed the market in the last 1 year

The stock has generated a return of 0.60% in the last 1 year, much lower than market (S&P 500) returns of 14.11%

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Sunoco LP should be less than 10%
Overall Portfolio exposure to Trading & Distributors should be less than 30%

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

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

Is Sunoco LP for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Sunoco LP

23.52%

0.02

25.27%

S&P 500

22.78%

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)

18.67%

EBIT Growth (5y)

17.54%

EBIT to Interest (avg)

3.39

Debt to EBITDA (avg)

4.20

Net Debt to Equity (avg)

1.81

Sales to Capital Employed (avg)

2.68

Tax Ratio

16.32%

Dividend Payout Ratio

158.37%

Pledged Shares

Institutional Holding

50.41%

ROCE (avg)

14.50%

ROE (avg)

39.81%

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

1.71

EV to EBIT

28.12

EV to EBITDA

16.24

EV to Capital Employed

1.28

EV to Sales

1.05

PEG Ratio

Dividend Yield

ROCE (Latest)

4.54%

ROE (Latest)

4.69%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Bullish

OBV

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

41What is working for the Company

OPERATING CASH FLOW(Y)

Highest at USD 1,549 MM

NET SALES(Q)

Highest at USD 10,690 MM

INTEREST COVERAGE RATIO(Q)

Highest at 600.5

RAW MATERIAL COST(Y)

Fallen by -47.44% (YoY

CASH AND EQV(HY)

Highest at USD 1,609 MM

DIVIDEND PER SHARE(HY)

Highest at USD 13.73

OPERATING PROFIT(Q)

Highest at USD 1,207 MM

OPERATING PROFIT MARGIN(Q)

Highest at 11.29 %

PRE-TAX PROFIT(Q)

Highest at USD 736 MM

NET PROFIT(Q)

Highest at USD 625.06 MM

EPS(Q)

Highest at USD 2.85

-14What is not working for the Company

INVENTORY TURNOVER RATIO(HY)

Lowest at 15.98 times

DIVIDEND PAYOUT RATIO(Y)

Lowest at 32.69%

DEBTORS TURNOVER RATIO(HY)

Lowest at 13.73 times

INTEREST(Q)

Highest at USD 201 MM

Here's what is working for Sunoco LP

Net Sales

At USD 10,690 MM has Grown at 69.68%

over average net sales of the previous four periods of USD 6,300.25 MM

MOJO Watch

Near term sales trend is extremely positive

Net Sales (USD MM)

Pre-Tax Profit

At USD 736 MM has Grown at 366.56%

over average net sales of the previous four periods of USD 157.75 MM

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (USD MM)

Net Profit

At USD 625.06 MM has Grown at 565.04%

over average net sales of the previous four periods of USD 93.99 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (USD MM)

Net Sales

Highest at USD 10,690 MM and Grown

In each period in the last five periods

MOJO Watch

Near term sales trend is very positive

Net Sales (USD MM)

Interest Coverage Ratio

Highest at 600.5

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Operating Cash Flow

Highest at USD 1,549 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (USD MM)

Operating Profit

Highest at USD 1,207 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (USD MM)

Operating Profit Margin

Highest at 11.29 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at USD 736 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 625.06 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (USD MM)

EPS

Highest at USD 2.85

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (USD)

Cash and Eqv

Highest at USD 1,609 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Dividend per share

Highest at USD 13.73

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (USD)

Raw Material Cost

Fallen by -47.44% (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

Depreciation

Highest at USD 286 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (USD MM)

Depreciation

At USD 286 MM has Grown at 30.59%

period on period (QoQ)

MOJO Watch

The expenditure on assets done by the company has gone into productive use which should positively reflect in the future sales

Depreciation (USD MM)

Here's what is not working for Sunoco LP

Interest

At USD 201 MM has Grown at 21.08%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

Inventory Turnover Ratio

Lowest at 15.98 times and Fallen

In each half year in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Interest

Highest at USD 201 MM

in the last five periods and Increased by 21.08% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

Debtors Turnover Ratio

Lowest at 13.73 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Dividend Payout Ratio

Lowest at 32.69%

in the last five years

MOJO Watch

Company is distributing lower proportion of profits generated as dividend

DPR (%)