ScoreWhy is Tesco Plc ?
1
Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of 3.68
- Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of 3.68
- The company has been able to generate a Return on Equity (avg) of 12.27% signifying low profitability per unit of shareholders funds
2
Poor long term growth as Net Sales has grown by an annual rate of 2.94% over the last 5 years
3
Positive results in Feb 25
- RAW MATERIAL COST(Y) Fallen by -21.28% (YoY)
- DIVIDEND PER SHARE(HY) Highest at GBP 0
- NET SALES(Q) Highest at GBP 35,143 MM
4
With ROE of 15.27%, it has a expensive valuation with a 2.41 Price to Book Value
- Over the past year, while the stock has generated a return of 21.80%, its profits have risen by 15.6% ; the PEG ratio of the company is 0.8
5
Consistent Returns over the last 3 years
- Along with generating 21.80% returns in the last 1 year, the stock has outperformed FTSE 100 in each of the last 3 annual periods
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Tesco Plc should be less than 10%
- Overall Portfolio exposure to Retailing should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Retailing)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Tesco Plc for you?
Medium Risk, High Return
Absolute
Risk Adjusted
Volatility
Tesco Plc
21.8%
1.99
23.03%
FTSE 100
15.94%
1.23
12.99%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
2.94%
EBIT Growth (5y)
1.81%
EBIT to Interest (avg)
3.68
Debt to EBITDA (avg)
0.80
Net Debt to Equity (avg)
0.25
Sales to Capital Employed (avg)
3.20
Tax Ratio
27.53%
Dividend Payout Ratio
56.78%
Pledged Shares
0
Institutional Holding
0.04%
ROCE (avg)
16.22%
ROE (avg)
12.27%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
16
Industry P/E
Price to Book Value
2.41
EV to EBIT
10.16
EV to EBITDA
6.42
EV to Capital Employed
2.12
EV to Sales
0.44
PEG Ratio
0.75
Dividend Yield
348.14%
ROCE (Latest)
20.90%
ROE (Latest)
15.27%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
Mildly Bullish
No Trend
OBV
Mildly Bearish
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend3What is working for the Company
RAW MATERIAL COST(Y)
Fallen by -21.28% (YoY
DIVIDEND PER SHARE(HY)
Highest at GBP 0
NET SALES(Q)
Highest at GBP 35,143 MM
0What is not working for the Company
NO KEY NEGATIVE TRIGGERS
Here's what is working for Tesco Plc
Net Sales
Highest at GBP 35,143 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (GBP MM)
Dividend per share
Highest at GBP 0
in the last five yearsMOJO Watch
Company is distributing higher dividend from profits generated
DPS (GBP)
Raw Material Cost
Fallen by -21.28% (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 GBP 908 MM
in the last five periodsMOJO Watch
The expenditure on assets done by the company may have gone into operation
Depreciation (GBP MM)
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