Sygnity SA (SGN) 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

Comp SA

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Sygnity SA

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Opteam SA

Yarrl SA

Comarch SA

Cloud Technologies SA

Atende SA

Why is Sygnity SA ?

Strong Long Term Fundamental Strength with a 18.77% CAGR growth in Operating Profits

Poor long term growth as Net Sales has grown by an annual rate of 7.71% over the last 5 years

With a growth in Net Sales of 18.59%, the company declared Very Positive results in Sep 25

OPERATING CASH FLOW(Y) Highest at PLN 109.14 MM
ROCE(HY) Highest at 27.85%
DEBT-EQUITY RATIO (HY) Lowest at -45.34 %

With ROE of 23.54%, it has a fair valuation with a 7.39 Price to Book Value

The stock is trading at a premium compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -8.06%, its profits have risen by 67.8% ; the PEG ratio of the company is 0.5

Underperformed the market in the last 1 year

Even though the market (Poland WIG) has generated returns of 27.62% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -8.06% returns

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Sygnity SA should be less than 10%
Overall Portfolio exposure to Computers - Software & Consulting should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Computers - Software & Consulting)

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

Is Sygnity SA for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Sygnity SA

-8.06%

0.17

35.31%

Poland WIG

27.62%

1.38

19.95%

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)

18.77%

EBIT to Interest (avg)

13.04

Debt to EBITDA (avg)

Net Debt is too low

Net Debt to Equity (avg)

-0.41

Sales to Capital Employed (avg)

0.98

Tax Ratio

14.30%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

25.45%

ROE (avg)

17.90%

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

7.39

EV to EBIT

26.79

EV to EBITDA

22.78

EV to Capital Employed

12.58

EV to Sales

6.78

PEG Ratio

0.46

Dividend Yield

ROCE (Latest)

46.97%

ROE (Latest)

23.54%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly Bearish

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

12What is working for the Company

OPERATING CASH FLOW(Y)

Highest at PLN 109.14 MM

ROCE(HY)

Highest at 27.85%

DEBT-EQUITY RATIO (HY)

Lowest at -45.34 %

DEBTORS TURNOVER RATIO(HY)

Highest at 8.21 times

INTEREST COVERAGE RATIO(Q)

Highest at 10,811.21

RAW MATERIAL COST(Y)

Fallen by -10.91% (YoY

CASH AND EQV(HY)

Highest at PLN 310.74 MM

0What is not working for the Company

NO KEY NEGATIVE TRIGGERS

Here's what is working for Sygnity SA

Interest Coverage Ratio

Highest at 10,811.21

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Debt-Equity Ratio

Lowest at -45.34 % and Grown

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

MOJO Watch

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

Debt-Equity Ratio

Debtors Turnover Ratio

Highest at 8.21 times and Grown

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

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Operating Cash Flow

Highest at PLN 109.14 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (PLN MM)

Cash and Eqv

Highest at PLN 310.74 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Raw Material Cost

Fallen by -10.91% (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