Transtema Group AB (TRANS) 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

Nodebis Applications AB

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Vertiseit AB

Physitrack Plc

Advenica AB

Arcario Consulting Enterprise Services, Inc.

Transtema Group AB

Adverty AB

Genesis IT AB

Why is Transtema Group AB ?

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

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

The company has declared negative results for the last 5 consecutive quarters

OPERATING CASH FLOW(Y) Lowest at SEK -43.31 MM
ROCE(HY) Lowest at -25.63%
RAW MATERIAL COST(Y) Grown by 688% (YoY)

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 -60.49%, its profits have fallen by -55.9%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -60.49% returns in the last 1 year, the stock has also underperformed OMX Stockholm 30 in each of the last 3 annual periods

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 Computers - Software & Consulting)

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

Is Transtema Group AB for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Transtema Group AB

-60.49%

-1.28

47.41%

OMX Stockholm 30

10.97%

0.59

18.59%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

13.10%

EBIT Growth (5y)

-231.31%

EBIT to Interest (avg)

4.00

Debt to EBITDA (avg)

0.57

Net Debt to Equity (avg)

0.41

Sales to Capital Employed (avg)

3.07

Tax Ratio

53.12%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

20.55%

ROE (avg)

24.40%

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

0.90

EV to EBIT

11.44

EV to EBITDA

4.17

EV to Capital Employed

0.94

EV to Sales

0.30

PEG Ratio

Dividend Yield

ROCE (Latest)

8.19%

ROE (Latest)

4.75%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

Mildly Bearish

OBV

Mildly 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

1What is working for the Company

INVENTORY TURNOVER RATIO(HY)

Highest at 146.45 times

-25What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at SEK -43.31 MM

ROCE(HY)

Lowest at -25.63%

RAW MATERIAL COST(Y)

Grown by 688% (YoY

DEBT-EQUITY RATIO (HY)

Highest at 132.31 %

OPERATING PROFIT(Q)

Lowest at SEK 21.32 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 2.99 %

PRE-TAX PROFIT(Q)

Lowest at SEK -138.92 MM

NET PROFIT(Q)

Lowest at SEK -129.75 MM

EPS(Q)

Lowest at SEK -3.05

Here's what is working for Transtema Group AB

Inventory Turnover Ratio

Highest at 146.45 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Depreciation

Highest at SEK 150.5 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (SEK MM)

Depreciation

At SEK 150.5 MM has Grown at 389.21%

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 (SEK MM)

Here's what is not working for Transtema Group AB

Pre-Tax Profit

At SEK -138.92 MM has Fallen at -6,977.43%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (SEK MM)

Net Profit

At SEK -129.75 MM has Fallen at -2,237.86%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (SEK MM)

Operating Cash Flow

Lowest at SEK -43.31 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (SEK MM)

Operating Profit

Lowest at SEK 21.32 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (SEK MM)

Operating Profit Margin

Lowest at 2.99 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at SEK -138.92 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (SEK MM)

Net Profit

Lowest at SEK -129.75 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (SEK MM)

EPS

Lowest at SEK -3.05

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (SEK)

Debt-Equity Ratio

Highest at 132.31 %

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

Raw Material Cost

Grown by 688% (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