Tariq Corp. Ltd. (HSM) 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

Mehran Sugar Mills Ltd.

Al-Noor Sugar Mills Ltd.

Noon Sugar Mills Ltd.

Imperial Ltd. (Pakistan)

Faran Sugar Mills Ltd.

Shahtaj Sugar Mills Ltd.

Habib Rice Products Ltd.

Tariq Corp. Ltd.

Premier Sugar Mills & Distillery Co. Ltd.

Chashma Sugar Mills Ltd.

Mirpurkhas Sugar Mills Ltd.

Why is Tariq Corp. Ltd. ?

Poor Management Efficiency with a low ROCE of 2.16%

The company has been able to generate a Return on Capital Employed (avg) of 2.16% signifying low profitability per unit of total capital (equity and debt)

High Debt Company with a Debt to Equity ratio (avg) at 0 times

High Debt Company with a Debt to Equity ratio (avg) at 0 times
The company has been able to generate a Return on Equity (avg) of 2.87% signifying low profitability per unit of shareholders funds

Weak Long Term Fundamental Strength with an average Return on Capital Employed (ROCE) of 2.16%

Positive results in Mar 25

NET PROFIT(HY) Higher at PKR 33.47 MM
RAW MATERIAL COST(Y) Fallen by -101.26% (YoY)
NET SALES(Q) Highest at PKR 4,863.78

With ROE of 14.3, it has a expensive valuation with a 0.3 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 0%, its profits have risen by 305.8% ; the PEG ratio of the company is 0

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

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

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Tariq Corp. Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Tariq Corp. Ltd.

12.79%

0.23

57.60%

Pakistan KSE 100 Share

26.26%

2.81

22.77%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

13.15%

EBIT Growth (5y)

-197.42%

EBIT to Interest (avg)

0.17

Debt to EBITDA (avg)

5.70

Net Debt to Equity (avg)

0.17

Sales to Capital Employed (avg)

1.76

Tax Ratio

Tax Ratio is Negative%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

3.19%

ROE (avg)

4.00%

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

0.33

EV to EBIT

-3.88

EV to EBITDA

-6.65

EV to Capital Employed

0.41

EV to Sales

0.23

PEG Ratio

0.01

Dividend Yield

ROCE (Latest)

-10.49%

ROE (Latest)

13.98%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bullish

OBV

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

2What is working for the Company

NET SALES(Q)

At PKR 2,714.5 MM has Grown at 43.78%

NET PROFIT(Q)

At PKR 25.32 MM has Grown at 176.57%

-16What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at PKR -332.53 MM

NET PROFIT(HY)

At PKR 54.22 MM has Grown at -90.67%

DEBTORS TURNOVER RATIO(HY)

Lowest at 4.25 times

INTEREST(Q)

At PKR 34.27 MM has Grown at 16.64%

RAW MATERIAL COST(Y)

Grown by 14.76% (YoY

CASH AND EQV(HY)

Lowest at PKR 30.59 MM

Here's what is working for Tariq Corp. Ltd.

Net Sales

At PKR 2,714.5 MM has Grown at 43.78%

over average net sales of the previous four periods of PKR 1,887.97 MM

MOJO Watch

Near term sales trend is positive

Net Sales (PKR MM)

Net Profit

At PKR 25.32 MM has Grown at 176.57%

over average net sales of the previous four periods of PKR 9.15 MM

MOJO Watch

Near term Net Profit trend is positive

Net Profit (PKR MM)

Here's what is not working for Tariq Corp. Ltd.

Operating Cash Flow

Lowest at PKR -332.53 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (PKR MM)

Interest

At PKR 34.27 MM has Grown at 16.64%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (PKR MM)

Debtors Turnover Ratio

Lowest at 4.25 times and Fallen

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

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Cash and Eqv

Lowest at PKR 30.59 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Raw Material Cost

Grown by 14.76% (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