Traphaco JSC (TRA) 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

Central Pharmaceutical JSC No. 3

DHG Pharmaceutical JSC

Traphaco JSC

Domesco Medical Import-Export JSC

OPC Pharmaceutical JSC

Binh Dinh Pharmaceutical & Medical Equipment JSC

Cuu Long Pharmaceutical JSC

Why is Traphaco JSC ?

High Management Efficiency with a high ROE of 19.49%

Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 98.15

Poor long term growth as Operating profit has grown by an annual rate 4.75% of over the last 5 years

Flat results in Sep 25

DEBTORS TURNOVER RATIO(HY) Lowest at 6.66 times
INTEREST(Q) Highest at VND 2,107.22 MM

With ROE of 15.63%, it has a expensive valuation with a 1.91 Price to Book Value

The stock is trading at a premium compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -7.14%, its profits have fallen by -1.7%
At the current price, the company has a high dividend yield of 6

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -7.14% returns in the last 1 year, the stock has also underperformed Vietnam VN Ho Chi Minh Index in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Traphaco JSC 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 Traphaco JSC for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Traphaco JSC

-100.0%

-0.66

19.21%

Vietnam VN Ho Chi Minh Index

38.87%

1.90

22.90%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

7.13%

EBIT Growth (5y)

4.75%

EBIT to Interest (avg)

98.15

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.27

Sales to Capital Employed (avg)

1.51

Tax Ratio

20.72%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

40.79%

ROE (avg)

19.49%

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

1.97

EV to EBIT

7.24

EV to EBITDA

5.66

EV to Capital Employed

2.50

EV to Sales

0.95

PEG Ratio

0.57

Dividend Yield

5.64%

ROCE (Latest)

34.46%

ROE (Latest)

16.55%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Mildly Bullish

Dow Theory

Mildly Bullish

OBV

Mildly Bearish

Mildly Bullish

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

8What is working for the Company

OPERATING CASH FLOW(Y)

Highest at VND 377,107.77 MM

ROCE(HY)

Highest at 16.6%

RAW MATERIAL COST(Y)

Fallen by -11.81% (YoY

CASH AND EQV(HY)

Highest at VND 1,424,667.42 MM

OPERATING PROFIT MARGIN(Q)

Highest at 18.58 %

-8What is not working for the Company

INTEREST COVERAGE RATIO(Q)

Lowest at 4,054.95

INVENTORY TURNOVER RATIO(HY)

Lowest at 0 times

DEBTORS TURNOVER RATIO(HY)

Lowest at 0 times

NET SALES(Q)

At VND 624,074.18 MM has Fallen at -7.03%

INTEREST(Q)

Highest at VND 2,290.96 MM

Here's what is working for Traphaco JSC

Operating Cash Flow

Highest at VND 377,107.77 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (VND MM)

Operating Profit Margin

Highest at 18.58 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Cash and Eqv

Highest at VND 1,424,667.42 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Raw Material Cost

Fallen by -11.81% (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 Traphaco JSC

Interest

At VND 2,290.96 MM has Grown at 62.41%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (VND MM)

Interest Coverage Ratio

Lowest at 4,054.95

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Net Sales

At VND 624,074.18 MM has Fallen at -7.03%

over average net sales of the previous four periods of VND 671,292.7 MM

MOJO Watch

Near term sales trend is negative

Net Sales (VND MM)

Interest

Highest at VND 2,290.96 MM

in the last five periods and Increased by 62.41% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (VND MM)

Inventory Turnover Ratio

Lowest at 0 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Debtors Turnover Ratio

Lowest at 0 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio