United International Transportation Co. Ltd. (4260) 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

United International Transportation Co. Ltd.

Why is United International Transportation Co. Ltd. ?

Poor Management Efficiency with a low ROCE of 12.80%

The company has been able to generate a Return on Capital Employed (avg) of 12.80% signifying low profitability per unit of total capital (equity and debt)

The company is Net-Debt Free

Poor long term growth as Net Sales has grown by an annual rate of 19.37% and Operating profit at 22.72% over the last 5 years
The company is Net-Debt Free
The company has been able to generate a Return on Equity (avg) of 13.84% signifying low profitability per unit of shareholders funds

Negative results in Mar 26

ROCE(HY) Lowest at 10.33%
RAW MATERIAL COST(Y) Grown by 31.66% (YoY)
INVENTORY TURNOVER RATIO(HY) Lowest at 22.75 times

With ROE of 12.44%, it has a very attractive valuation with a 1.56 Price to Book Value

Over the past year, while the stock has generated a return of -49.07%, its profits have risen by 26.2% ; the PEG ratio of the company is 0.5

Below par performance in long term as well as near term

Along with generating -49.07% returns in the last 1 year, the stock has also underperformed Saudi Arabia All Share TASI in the last 3 years, 1 year and 3 months

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 Finance)

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

Is United International Transportation Co. Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

United International Transportation Co. Ltd.

-100.0%

-1.32

39.96%

Saudi Arabia All Share TASI

-0.13%

-0.01

13.67%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

19.37%

EBIT Growth (5y)

22.72%

EBIT to Interest (avg)

39.70

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

Tax Ratio

3.31%

Dividend Payout Ratio

45.21%

Pledged Shares

Institutional Holding

ROCE (avg)

12.80%

ROE (avg)

13.84%

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

1.56

EV to EBIT

15.32

EV to EBITDA

6.27

EV to Capital Employed

1.37

EV to Sales

2.53

PEG Ratio

0.48

Dividend Yield

0.60%

ROCE (Latest)

8.91%

ROE (Latest)

12.44%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bullish

Bollinger Bands

Mildly Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

Mildly Bearish

No Trend

OBV

Mildly Bearish

No Trend

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

2What is working for the Company

OPERATING CASH FLOW(Y)

Highest at SAR 142.61 MM

-11What is not working for the Company

ROCE(HY)

Lowest at 10.33%

RAW MATERIAL COST(Y)

Grown by 31.66% (YoY

INVENTORY TURNOVER RATIO(HY)

Lowest at 22.75 times

OPERATING PROFIT(Q)

Lowest at SAR 199.34 MM

PRE-TAX PROFIT(Q)

Lowest at SAR 32.49 MM

NET PROFIT(Q)

Lowest at SAR 33.06 MM

EPS(Q)

Lowest at SAR 0.33

Here's what is working for United International Transportation Co. Ltd.

Operating Cash Flow

Highest at SAR 142.61 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (SAR MM)

Depreciation

Highest at SAR 157.27 MM

in the last five periods

MOJO Watch

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

Depreciation (SAR MM)

Here's what is not working for United International Transportation Co. Ltd.

Pre-Tax Profit

At SAR 32.49 MM has Fallen at -63.05%

over average net sales of the previous four periods of SAR 87.94 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (SAR MM)

Operating Profit

Lowest at SAR 199.34 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (SAR MM)

Pre-Tax Profit

Lowest at SAR 32.49 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (SAR MM)

Net Profit

Lowest at SAR 33.06 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (SAR MM)

Net Profit

At SAR 33.06 MM has Fallen at -61.93%

over average net sales of the previous four periods of SAR 86.84 MM

MOJO Watch

Near term Net Profit trend is negative

Net Profit (SAR MM)

EPS

Lowest at SAR 0.33

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (SAR)

Inventory Turnover Ratio

Lowest at 22.75 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Raw Material Cost

Grown by 31.66% (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

Non Operating Income

Highest at SAR 0.44 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income