Vanquis Banking Group Plc (PFG) 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

Redde Northgate Plc

Mortgage Advice Bureau (Holdings) plc

International Personal Finance Plc

S&U Plc

Vp Plc

H&T Group Plc

Vanquis Banking Group Plc

Ashtead Technology Holdings Plc

Speedy Hire Plc

Burford Capital Ltd.

Ashtead Group Plc

Why is Vanquis Banking Group Plc ?

Strong Long Term Fundamental Strength with an average Return on Equity (ROE) of 7.90%

Poor long term growth as Net Sales has grown by an annual rate of -5.58% and Operating profit at -2.05%

The company has declared Negative results for the last 5 consecutive quarters

DEBT-EQUITY RATIO (HY) Highest at 463.7 %
DEBTORS TURNOVER RATIO(HY) Lowest at 0.26 times

With ROE of -21.03%, it has a expensive valuation with a 0.59 Price to Book Value

Over the past year, while the stock has generated a return of 91.61%, its profits have risen by 107.2%

Market Beating Performance

The stock has generated a return of 91.61% in the last 1 year, much higher than market (FTSE 100) returns of 15.58%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Vanquis Banking Group Plc should be less than 10%
Overall Portfolio exposure to Finance should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Finance)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Vanquis Banking Group Plc for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Vanquis Banking Group Plc

-100.0%

-1.99

39.47%

FTSE 100

13.98%

1.15

13.60%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-5.58%

EBIT Growth (5y)

-2.05%

EBIT to Interest (avg)

3.87

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

Tax Ratio

12.47%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

2.65%

ROCE (avg)

182.60%

ROE (avg)

7.90%

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

0.59

EV to EBIT

-2.29

EV to EBITDA

-2.18

EV to Capital Employed

1.35

EV to Sales

-1.28

PEG Ratio

Dividend Yield

ROCE (Latest)

-58.90%

ROE (Latest)

-21.03%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Mildly Bullish

RSI

No Signal

Bearish

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

No Trend

OBV

Mildly 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

10What is working for the Company

OPERATING CASH FLOW(Y)

Highest at GBP 1,086.9 MM

PRE-TAX PROFIT(Q)

At GBP 6.2 MM has Grown at 120.67%

NET PROFIT(Q)

At GBP 4.9 MM has Grown at 125.39%

RAW MATERIAL COST(Y)

Fallen by -20.38% (YoY

EPS(Q)

Highest at GBP 0.02

-3What is not working for the Company

DEBT-EQUITY RATIO (HY)

Highest at 463.7 %

DEBTORS TURNOVER RATIO(HY)

Lowest at 0.26 times

Here's what is working for Vanquis Banking Group Plc

Pre-Tax Profit

At GBP 6.2 MM has Grown at 120.67%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (GBP MM)

Net Profit

At GBP 4.9 MM has Grown at 125.39%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (GBP MM)

Operating Cash Flow

Highest at GBP 1,086.9 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (GBP MM)

EPS

Highest at GBP 0.02

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (GBP)

Raw Material Cost

Fallen by -20.38% (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

At GBP 8.4 MM has Grown at 40%

period on period (QoQ)

MOJO Watch

The expenditure on assets done by the company has gone into productive use which should positively reflect in the future sales

Depreciation (GBP MM)

Here's what is not working for Vanquis Banking Group Plc

Debt-Equity Ratio

Highest at 463.7 % 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

Debtors Turnover Ratio

Lowest at 0.26 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio