THG Plc (THG) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Funding Circle Holdings Plc

AO World Plc

Virgin Wines UK PLC

THG Plc

Sosandar Plc

ASOS Plc

musicMagpie Plc

CMO Group PLC

Mobile Streams Plc

Dispensa Group Plc

Itsarm Plc

Why is THG Plc ?

Poor Management Efficiency with a low ROCE of 0%

The company has reported losses and also has negative networth. This is not a good sign for the investors. Either company will have to raise fresh capital or report profits to sustain going forward

Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of -2.28

Poor long term growth as Operating profit has grown by an annual rate 19.26% of over the last 5 years
Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of -2.28
The company has reported losses. Due to this company has reported negative ROE

Flat results in Dec 24

DEBT-EQUITY RATIO (HY) Highest at 110.3 %
NET SALES(Q) Lowest at GBP 817.43 MM

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of -2.57%, its profits have risen by 81.5%

Underperformed the market in the last 1 year

Even though the market (FTSE 100) has generated returns of 15.94% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -2.57% returns

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 E-Retail/ E-Commerce)

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

Is THG Plc for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

THG Plc

-100.0%

-0.61

59.64%

FTSE 100

16.5%

1.23

12.99%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-4.15%

EBIT Growth (5y)

19.26%

EBIT to Interest (avg)

-2.28

Debt to EBITDA (avg)

2.95

Net Debt to Equity (avg)

1.00

Sales to Capital Employed (avg)

1.21

Tax Ratio

10.80%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

0.01%

ROCE (avg)

ROE (avg)

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

1.17

EV to EBIT

130.85

EV to EBITDA

5.48

EV to Capital Employed

1.09

EV to Sales

0.53

PEG Ratio

Dividend Yield

ROCE (Latest)

0.84%

ROE (Latest)

-10.07%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

No Signal

Bearish

Bollinger Bands

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Mildly Bullish

Dow Theory

Mildly Bearish

No Trend

OBV

Mildly Bullish

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

Not enough Data to analyse Financial Trend

Here's what is working for THG Plc

Pre-Tax Profit

At GBP -6.32 MM has Grown at 94.96%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (GBP MM)

Net Profit

At GBP 18.68 MM has Grown at 115.36%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (GBP MM)

Operating Profit

Highest at GBP 132.54 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (GBP MM)

Operating Profit Margin

Highest at 16.21 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at GBP -6.32 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (GBP MM)

Net Profit

Highest at GBP 18.68 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (GBP MM)

Raw Material Cost

Fallen by -5.7% (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

Here's what is not working for THG Plc

Net Sales

At GBP 817.43 MM has Fallen at -24.04%

Year on Year (YoY)

MOJO Watch

Near term sales trend is very negative

Net Sales (GBP MM)

Debt-Equity Ratio

Highest at 110.3 % and Grown

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

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Net Sales

Lowest at GBP 817.43 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (GBP MM)