Valvoline, Inc. (VVV) 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

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Valvoline, Inc.

Why is Valvoline, Inc. ?

CASH AND EQV(HY) Lowest at USD 130.6 MM

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -23.02% 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 Tour, Travel Related Services)

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

Is Valvoline, Inc. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Valvoline, Inc.

-6.18%

-0.81

30.88%

S&P 500

16.12%

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)

-6.03%

EBIT Growth (5y)

-6.95%

EBIT to Interest (avg)

5.28

Debt to EBITDA (avg)

2.16

Net Debt to Equity (avg)

4.07

Sales to Capital Employed (avg)

1.10

Tax Ratio

24.85%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

100.00%

ROCE (avg)

31.67%

ROE (avg)

174.68%

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

13.96

EV to EBIT

19.36

EV to EBITDA

13.73

EV to Capital Employed

3.10

EV to Sales

3.35

PEG Ratio

Dividend Yield

ROCE (Latest)

15.99%

ROE (Latest)

30.77%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bullish

Bearish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

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

5What is working for the Company

OPERATING CASH FLOW(Y)

Highest at USD 320.8 MM

RAW MATERIAL COST(Y)

Fallen by -1.23% (YoY

NET SALES(Q)

Highest at USD 461.8 MM

-29What is not working for the Company

ROCE(HY)

Lowest at 33.01%

INTEREST COVERAGE RATIO(Q)

Lowest at 389.02

INVENTORY TURNOVER RATIO(HY)

Lowest at 24.96 times

INTEREST(Q)

Highest at USD 25.5 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 21.48 %

PRE-TAX PROFIT(Q)

Lowest at USD -0.8 MM

NET PROFIT(Q)

Lowest at USD -27 MM

EPS(Q)

Lowest at USD -0.26

Here's what is working for Valvoline, Inc.

Operating Cash Flow

Highest at USD 320.8 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 (USD MM)

Net Sales

Highest at USD 461.8 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (USD MM)

Raw Material Cost

Fallen by -1.23% (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

Depreciation

Highest at USD 33.5 MM

in the last five periods

MOJO Watch

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

Depreciation (USD MM)

Here's what is not working for Valvoline, Inc.

Pre-Tax Profit

At USD -0.8 MM has Fallen at -101.09%

over average net sales of the previous four periods of USD 73.42 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (USD MM)

Net Profit

At USD -27 MM has Fallen at -150.03%

over average net sales of the previous four periods of USD 53.96 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (USD MM)

Interest

At USD 25.5 MM has Grown at 21.43%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

Interest Coverage Ratio

Lowest at 389.02

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Interest

Highest at USD 25.5 MM

in the last five periods and Increased by 21.43% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

Operating Profit Margin

Lowest at 21.48 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at USD -0.8 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (USD MM)

Net Profit

Lowest at USD -27 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (USD MM)

EPS

Lowest at USD -0.26

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (USD)

Inventory Turnover Ratio

Lowest at 24.96 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio