Why is United Foods Co. PSC ?
1
The company has declared Positive results for the last 3 consecutive quarters
- ROCE(HY) Highest at 14.88%
- NET SALES(Q) Highest at AED 270.78 MM
- OPERATING PROFIT(Q) Highest at AED 21.63 MM
2
With ROE of 10.37%, it has a expensive valuation with a 1.06 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 -33.51%, its profits have risen by 53.1% ; the PEG ratio of the company is 0.2
3
Underperformed the market in the last 1 year
- Even though the market (Abu Dhabi Securities Exchange) generated negative returns of -1.29% in the last 1 year, its fall in the stock was much higher with a return of -33.51%
How much should you hold?
- Overall Portfolio exposure to United Foods Co. PSC should be less than 10%
- Overall Portfolio exposure to FMCG should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in FMCG)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is United Foods Co. PSC for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
United Foods Co. PSC
-100.0%
0.25
50.48%
Abu Dhabi Securities Exchange
-1.29%
-0.10
12.44%
Quality key factors
Factor
Value
Sales Growth (5y)
9.71%
EBIT Growth (5y)
5.11%
EBIT to Interest (avg)
20.82
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.28
Sales to Capital Employed (avg)
1.74
Tax Ratio
8.88%
Dividend Payout Ratio
52.75%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
8.83%
ROE (avg)
7.14%
Valuation Key Factors 
Factor
Value
P/E Ratio
10
Industry P/E
Price to Book Value
1.06
EV to EBIT
8.27
EV to EBITDA
6.01
EV to Capital Employed
1.08
EV to Sales
0.42
PEG Ratio
0.19
Dividend Yield
3.97%
ROCE (Latest)
13.11%
ROE (Latest)
10.37%
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Mildly Bearish
Moving Averages
Mildly Bearish (Daily)
KST
Bearish
Mildly Bearish
Dow Theory
Mildly Bullish
No Trend
OBV
Mildly Bearish
Mildly Bearish
Technical Movement
26What is working for the Company
ROCE(HY)
Highest at 14.88%
NET SALES(Q)
Highest at AED 270.78 MM
OPERATING PROFIT(Q)
Highest at AED 21.63 MM
PRE-TAX PROFIT(Q)
Highest at AED 20.45 MM
NET PROFIT(Q)
Highest at AED 18.62 MM
RAW MATERIAL COST(Y)
Fallen by -13.57% (YoY
DEBTORS TURNOVER RATIO(HY)
Highest at 6 times
EPS(Q)
Highest at AED 0.62
-7What is not working for the Company
OPERATING CASH FLOW(Y)
Lowest at AED -20.84 MM
DEBT-EQUITY RATIO
(HY)
Highest at -6.73 %
Here's what is working for United Foods Co. PSC
Net Sales
Highest at AED 270.78 MM and Grown
In each period in the last five periodsMOJO Watch
Near term sales trend is very positive
Net Sales (AED MM)
Operating Profit
Highest at AED 21.63 MM and Grown
In each period in the last five periodsMOJO Watch
Near term Operating Profit trend is quite positive
Operating Profit (AED MM)
Pre-Tax Profit
Highest at AED 20.45 MM and Grown
In each period in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is very positive
Pre-Tax Profit (AED MM)
Net Profit
Highest at AED 18.62 MM and Grown
In each period in the last five periodsMOJO Watch
Near term Net Profit trend is very positive
Net Profit (AED MM)
Net Sales
At AED 270.78 MM has Grown at 58.7%
over average net sales of the previous four periods of AED 170.62 MMMOJO Watch
Near term sales trend is positive
Net Sales (AED MM)
Pre-Tax Profit
At AED 20.45 MM has Grown at 100.32%
over average net sales of the previous four periods of AED 10.21 MMMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (AED MM)
Net Profit
At AED 18.62 MM has Grown at 100.18%
over average net sales of the previous four periods of AED 9.3 MMMOJO Watch
Near term Net Profit trend is positive
Net Profit (AED MM)
EPS
Highest at AED 0.62
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (AED)
Debtors Turnover Ratio
Highest at 6 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Raw Material Cost
Fallen by -13.57% (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 United Foods Co. PSC
Operating Cash Flow
Lowest at AED -20.84 MM and Fallen
In each year in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (AED MM)
Debt-Equity Ratio
Highest at -6.73 %
in the last five Semi-Annual periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio






