ScoreWhy is The Pennant Group, Inc. ?
1
Low Debt Company with Strong Long Term Fundamental Strength
2
The company has declared Positive results for the last 8 consecutive quarters
- OPERATING CASH FLOW(Y) Highest at USD 37.75 MM
- NET PROFIT(HY) At USD 15.93 MM has Grown at 51.19%
- NET SALES(Q) Highest at USD 219.5 MM
3
With ROCE of 11.79%, it has a very expensive valuation with a 2.93 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 -8.15%, its profits have risen by 72.1% ; the PEG ratio of the company is 0.7
4
High Institutional Holdings at 99.08%
- These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
- Their stake has increased by 2.21% over the previous quarter.
5
Underperformed the market in the last 1 year
- Even though the market (S&P 500) has generated returns of 12.33% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -8.15% returns
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to The Pennant Group, Inc. should be less than 10%
- Overall Portfolio exposure to Pharmaceuticals & Biotechnology should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Pharmaceuticals & Biotechnology)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is The Pennant Group, Inc. for you?
Medium Risk, High Return
Absolute
Risk Adjusted
Volatility
The Pennant Group, Inc.
-6.62%
0.60
37.92%
S&P 500
13.22%
0.61
20.17%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
17.12%
EBIT Growth (5y)
16.36%
EBIT to Interest (avg)
6.96
Debt to EBITDA (avg)
2.88
Net Debt to Equity (avg)
0.22
Sales to Capital Employed (avg)
2.32
Tax Ratio
22.61%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
99.08%
ROCE (avg)
10.48%
ROE (avg)
9.26%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
35
Industry P/E
Price to Book Value
3.36
EV to EBIT
24.80
EV to EBITDA
21.52
EV to Capital Employed
2.93
EV to Sales
1.45
PEG Ratio
0.70
Dividend Yield
NA
ROCE (Latest)
11.79%
ROE (Latest)
9.54%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Mildly Bearish (Daily)
KST
Bullish
Mildly Bearish
Dow Theory
Mildly Bullish
No Trend
OBV
Bullish
Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend19What is working for the Company
OPERATING CASH FLOW(Y)
Highest at USD 37.75 MM
NET PROFIT(HY)
At USD 15.93 MM has Grown at 51.19%
NET SALES(Q)
Highest at USD 219.5 MM
PRE-TAX PROFIT(Q)
Highest at USD 11.71 MM
RAW MATERIAL COST(Y)
Fallen by -0.68% (YoY
CASH AND EQV(HY)
Highest at USD 19.61 MM
0What is not working for the Company
NO KEY NEGATIVE TRIGGERS
Here's what is working for The Pennant Group, Inc.
Operating Cash Flow
Highest at USD 37.75 MM and Grown
In each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (USD MM)
Net Sales
Highest at USD 219.5 MM and Grown
In each period in the last five periodsMOJO Watch
Near term sales trend is very positive
Net Sales (USD MM)
Pre-Tax Profit
Highest at USD 11.71 MM and Grown
In each period in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is very positive
Pre-Tax Profit (USD MM)
Net Profit
At USD 15.93 MM has Grown at 51.19%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is positive
Net Profit (USD MM)
Net Sales
At USD 219.5 MM has Grown at 17.35%
over average net sales of the previous four periods of USD 187.04 MMMOJO Watch
Near term sales trend is positive
Net Sales (USD MM)
Cash and Eqv
Highest at USD 19.61 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Raw Material Cost
Fallen by -0.68% (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 2.22 MM
in the last five periodsMOJO Watch
The expenditure on assets done by the company may have gone into operation
Depreciation (USD MM)
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