ScoreWhy is The Weir Group Plc ?
1
Low ability to service debt as the company has a high Debt to EBITDA ratio of 2.74 times
- Poor long term growth as Operating profit has grown by an annual rate 13.59% of over the last 5 years
- Low ability to service debt as the company has a high Debt to EBITDA ratio of 2.74 times
- The company has been able to generate a Return on Equity (avg) of 15.19% signifying low profitability per unit of shareholders funds
2
Poor long term growth as Operating profit has grown by an annual rate 13.59% of over the last 5 years
3
Flat results in Dec 25
- INTEREST COVERAGE RATIO(Q) Lowest at 644.25
- NET PROFIT(Q) At GBP 158.63 MM has Fallen at -34.56%
- INTEREST(Q) Highest at GBP 51.3 MM
4
With ROE of 15.66%, it has a expensive valuation with a 3.31 Price to Book Value
- Over the past year, while the stock has generated a return of -1.46%, its profits have fallen by -19.7%
5
Underperformed the market in the last 1 year
- Even though the market (FTSE 100) has generated returns of 17.87% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -1.46% returns
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to The Weir Group Plc should be less than 10%
- Overall Portfolio exposure to Automobiles should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Automobiles)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is The Weir Group Plc for you?
Medium Risk, High Return
Absolute
Risk Adjusted
Volatility
The Weir Group Plc
-1.46%
1.28
29.38%
FTSE 100
17.87%
1.52
11.77%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
5.47%
EBIT Growth (5y)
13.59%
EBIT to Interest (avg)
5.96
Debt to EBITDA (avg)
1.59
Net Debt to Equity (avg)
0.23
Sales to Capital Employed (avg)
0.79
Tax Ratio
9.18%
Dividend Payout Ratio
43.57%
Pledged Shares
0
Institutional Holding
0.04%
ROCE (avg)
15.18%
ROE (avg)
15.19%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
21
Industry P/E
Price to Book Value
3.31
EV to EBIT
15.33
EV to EBITDA
12.36
EV to Capital Employed
2.45
EV to Sales
2.90
PEG Ratio
NA
Dividend Yield
171.60%
ROCE (Latest)
15.96%
ROE (Latest)
15.66%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
Bullish
No Signal
Bollinger Bands
Bearish
Mildly Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Bullish
Bullish
Dow Theory
Mildly Bearish
Bullish
OBV
Mildly Bearish
Mildly Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend8What is working for the Company
OPERATING CASH FLOW(Y)
Highest at GBP 730.5 MM
RAW MATERIAL COST(Y)
Fallen by -7.23% (YoY
NET SALES(Q)
Highest at GBP 1,369.7 MM
OPERATING PROFIT(Q)
Highest at GBP 330.5 MM
OPERATING PROFIT MARGIN(Q)
Highest at 24.13 %
PRE-TAX PROFIT(Q)
Highest at GBP 235.3 MM
-8What is not working for the Company
INTEREST COVERAGE RATIO(Q)
Lowest at 644.25
NET PROFIT(Q)
At GBP 158.63 MM has Fallen at -34.56%
INTEREST(Q)
Highest at GBP 51.3 MM
Here's what is working for The Weir Group Plc
Operating Cash Flow
Highest at GBP 730.5 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 (GBP MM)
Net Sales
Highest at GBP 1,369.7 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (GBP MM)
Operating Profit
Highest at GBP 330.5 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (GBP MM)
Operating Profit Margin
Highest at 24.13 %
in the last five periodsMOJO Watch
Company's profit margin has improved
Operating Profit to Sales
Pre-Tax Profit
Highest at GBP 235.3 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (GBP MM)
Raw Material Cost
Fallen by -7.23% (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 69.9 MM
in the last five periodsMOJO Watch
The expenditure on assets done by the company may have gone into operation
Depreciation (GBP MM)
Depreciation
At GBP 69.9 MM has Grown at 49.04%
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 (GBP MM)
Here's what is not working for The Weir Group Plc
Interest Coverage Ratio
Lowest at 644.25
in the last five periodsMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Net Profit
At GBP 158.63 MM has Fallen at -34.56%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is very negative
Net Profit (GBP MM)
Interest
Highest at GBP 51.3 MM
in the last five periods and Increased by 48.27% (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (GBP MM)
Non Operating Income
Highest at GBP 0.13 MM
in the last five periodsMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating income
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