Trinseo Plc (TSE) 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

Mativ Holdings, Inc.

REX American Resources Corp.

Alto Ingredients, Inc.

Proto Labs, Inc.

TETRA Technologies, Inc.

Westlake Chemical Partners LP

Advansix, Inc.

Valhi, Inc.

FutureFuel Corp.

Trinseo Plc

Lightwave Logic, Inc.

Why is Trinseo Plc ?

With a Negative Book Value, the company has a Weak Long Term Fundamental Strength

Poor long term growth as Net Sales has grown by an annual rate of 0.15% and Operating profit at -4.84% over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times
The company has been able to generate a Return on Capital Employed (avg) of 6.55% signifying low profitability per unit of total capital (equity and debt)

The company has declared Negative results for the last 14 consecutive quarters

NET SALES(Q) Lowest at USD 784.3 MM
RAW MATERIAL COST(Y) Grown by 47.53% (YoY)
CASH AND EQV(HY) Lowest at USD 263.1 MM

Risky - Negative Book Value

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of -89.73%, its profits have risen by 13.3%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -89.73% returns in the last 1 year, the stock has also underperformed S&P 500 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 Specialty Chemicals)

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

Is Trinseo Plc for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Trinseo Plc

-97.4%

-0.83

94.50%

S&P 500

13.68%

0.70

20.15%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

0.45%

EBIT Growth (5y)

-220.59%

EBIT to Interest (avg)

1.47

Debt to EBITDA (avg)

20.76

Net Debt to Equity (avg)

-3.45

Sales to Capital Employed (avg)

1.83

Tax Ratio

9.90%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

93.55%

ROCE (avg)

6.55%

ROE (avg)

9.72%

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

-0.01

EV to EBIT

-21.59

EV to EBITDA

21.73

EV to Capital Employed

1.56

EV to Sales

0.77

PEG Ratio

Dividend Yield

13.70%

ROCE (Latest)

-7.20%

ROE (Latest)

Negative BV

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

RSI

No Signal

Bollinger Bands

Sideways

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

No Trend

Bearish

OBV

No Trend

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

4What is working for the Company

NET PROFIT(HY)

Higher at USD -187.6 MM

DEBTORS TURNOVER RATIO(HY)

Highest at 7.15 times

-20What is not working for the Company

DEBT-EQUITY RATIO (HY)

Highest at -286.82 %

NET SALES(Q)

Lowest at USD 743.2 MM

NET PROFIT(Q)

At USD -108.1 MM has Fallen at -33.58%

RAW MATERIAL COST(Y)

Grown by 52.95% (YoY

CASH AND EQV(HY)

Lowest at USD 249.1 MM

DIVIDEND PER SHARE(HY)

Lowest at USD 7.15

PRE-TAX PROFIT(Q)

At USD -99.8 MM has Fallen at -28.86%

Here's what is working for Trinseo Plc

Debtors Turnover Ratio

Highest at 7.15 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Here's what is not working for Trinseo Plc

Net Sales

Lowest at USD 743.2 MM and Fallen

In each period in the last five periods

MOJO Watch

Near term sales trend is very negative

Net Sales (USD MM)

Net Profit

At USD -108.1 MM has Fallen at -33.58%

over average net sales of the previous four periods of USD -80.93 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (USD MM)

Debt-Equity Ratio

Highest at -286.82 % 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

At USD 743.2 MM has Fallen at -8.76%

over average net sales of the previous four periods of USD 814.58 MM

MOJO Watch

Near term sales trend is negative

Net Sales (USD MM)

Pre-Tax Profit

At USD -99.8 MM has Fallen at -28.86%

over average net sales of the previous four periods of USD -77.45 MM

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (USD MM)

Cash and Eqv

Lowest at USD 249.1 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Dividend per share

Lowest at USD 7.15

in the last five years

MOJO Watch

Company is distributing lower dividend than previous years

DPS (USD)

Raw Material Cost

Grown by 52.95% (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