Vercom SA () 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

Opteam SA

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XPLUS SA

Comp SA

Vercom SA

Cloud Technologies SA

Comarch SA

Atende SA

Why is Vercom SA ?

Flat results in Mar 26

INTEREST(Q) At PLN 1.03 MM has Grown at 13.52%

With ROE of 21.11%, it has a very expensive valuation with a 6.22 Price to Book Value

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 1.49%, its profits have risen by 11% ; the PEG ratio of the company is 2.7

Underperformed the market in the last 1 year

The stock has generated a return of 1.49% in the last 1 year, much lower than market (Poland WIG) returns of 29.94%

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 Computers - Software & Consulting)

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

Is Vercom SA for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Vercom SA

0.33%

-0.27

36.92%

Poland WIG

29.57%

1.74

17.24%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

29.62%

EBIT Growth (5y)

36.28%

EBIT to Interest (avg)

12.81

Debt to EBITDA (avg)

0.57

Net Debt to Equity (avg)

-0.06

Sales to Capital Employed (avg)

0.93

Tax Ratio

13.00%

Dividend Payout Ratio

67.15%

Pledged Shares

Institutional Holding

ROCE (avg)

23.39%

ROE (avg)

25.12%

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

6.22

EV to EBIT

22.85

EV to EBITDA

20.25

EV to Capital Employed

6.55

EV to Sales

5.57

PEG Ratio

2.68

Dividend Yield

ROCE (Latest)

28.67%

ROE (Latest)

21.11%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Mildly Bullish

Mildly Bearish

Dow Theory

Mildly Bullish

OBV

Mildly Bullish

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 PLN 125.62 MM

RAW MATERIAL COST(Y)

Fallen by -7.52% (YoY

DEBT-EQUITY RATIO (HY)

Lowest at -4.99 %

-4What is not working for the Company

INTEREST(Q)

At PLN 1.03 MM has Grown at 13.52%

Here's what is working for Vercom SA

Operating Cash Flow

Highest at PLN 125.62 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 (PLN MM)

Debt-Equity Ratio

Lowest at -4.99 %

in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Raw Material Cost

Fallen by -7.52% (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 Vercom SA

Interest

At PLN 1.03 MM has Grown at 13.52%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (PLN MM)