Varsav Game Studios SA (VAR) 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

Comperia.pl SA

Betacom SA

Varsav Game Studios SA

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Vivid Games SA

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ManyDev Studio SE

CreativeForge Games SA

Polyslash SA

Why is Varsav Game Studios SA ?

Poor Management Efficiency with a low ROE of 8.16%

The company has been able to generate a Return on Equity (avg) of 8.16% signifying low profitability per unit of shareholders funds

Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of 0.08

Poor long term growth as Net Sales has grown by an annual rate of 19.23% over the last 5 years
Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of 0.08
The company has been able to generate a Return on Equity (avg) of 8.16% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 19.23% over the last 5 years

Flat results in Jun 26

INTEREST(HY) At PLN 0.23 MM has Grown at 412.92%
OPERATING CASH FLOW(Y) Lowest at PLN -3.56 MM
PRE-TAX PROFIT(Q) At PLN 0.13 MM has Fallen at -71.47%

With ROE of 11.00%, it has a very attractive valuation with a 1.07 Price to Book Value

Over the past year, while the stock has generated a return of 98.81%, its profits have risen by 105% ; the PEG ratio of the company is 0

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Varsav Game Studios SA should be less than 10%
Overall Portfolio exposure to Software Products should be less than 30%

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

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

Is Varsav Game Studios SA for you?

High Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Varsav Game Studios SA

132.51%

0.63

69.33%

Poland WIG

37.09%

2.22

16.70%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

19.23%

EBIT Growth (5y)

21.61%

EBIT to Interest (avg)

0.46

Debt to EBITDA (avg)

0.63

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

0.13

Tax Ratio

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

4.43%

ROE (avg)

8.16%

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

1.07

EV to EBIT

9.91

EV to EBITDA

9.39

EV to Capital Employed

1.07

EV to Sales

6.09

PEG Ratio

0.01

Dividend Yield

ROCE (Latest)

10.84%

ROE (Latest)

10.99%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

Bearish

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bullish

OBV

Bullish

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

NET SALES(HY)

At PLN 0.89 MM has Grown at 64.38%

NET PROFIT(9M)

Higher at PLN 0.85 MM

-12What is not working for the Company

INTEREST(HY)

At PLN 0.23 MM has Grown at 412.92%

OPERATING CASH FLOW(Y)

Lowest at PLN -3.56 MM

PRE-TAX PROFIT(Q)

At PLN 0.13 MM has Fallen at -71.47%

NET PROFIT(Q)

At PLN 0.13 MM has Fallen at -71.47%

RAW MATERIAL COST(Y)

Grown by 33.26% (YoY

INVENTORY TURNOVER RATIO(HY)

Lowest at 0.08 times

Here's what is working for Varsav Game Studios SA

Net Sales

At PLN 0.89 MM has Grown at 64.38%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (PLN MM)

Here's what is not working for Varsav Game Studios SA

Interest

At PLN 0.23 MM has Grown at 412.92%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (PLN MM)

Pre-Tax Profit

At PLN 0.13 MM has Fallen at -71.47%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (PLN MM)

Net Profit

At PLN 0.13 MM has Fallen at -71.47%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (PLN MM)

Operating Cash Flow

Lowest at PLN -3.56 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (PLN MM)

Inventory Turnover Ratio

Lowest at 0.08 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 33.26% (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