Victrex Plc (VCT) 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

Iofina Plc

Elementis Plc

Symphony Environmental Technologies Plc

Itaconix Plc

Victrex Plc

Versarien Plc

Johnson Matthey Plc

Why is Victrex Plc ?

Poor long term growth as Operating profit has grown by an annual rate -9.91% of over the last 5 years

Flat results in Mar 26

ROCE(HY) Lowest at -4.95%
DIVIDEND PAYOUT RATIO(Y) Lowest at 0%
RAW MATERIAL COST(Y) Grown by 9.46% (YoY)

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of -20.18%, its profits have risen by 3.4% ; the PEG ratio of the company is 5.5

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -20.18% returns in the last 1 year, the stock has also underperformed FTSE 100 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 Chemicals & Petrochemicals)

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

Is Victrex Plc for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Victrex Plc

-20.18%

-2.51

31.46%

FTSE 100

17.87%

1.52

11.77%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

2.06%

EBIT Growth (5y)

-9.91%

EBIT to Interest (avg)

68.20

Debt to EBITDA (avg)

0.17

Net Debt to Equity (avg)

0.08

Sales to Capital Employed (avg)

0.61

Tax Ratio

17.78%

Dividend Payout Ratio

186.36%

Pledged Shares

Institutional Holding

0.24%

ROCE (avg)

16.89%

ROE (avg)

12.62%

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

1.47

EV to EBIT

13.60

EV to EBITDA

8.52

EV to Capital Employed

1.42

EV to Sales

1.94

PEG Ratio

5.47

Dividend Yield

9.77%

ROCE (Latest)

10.45%

ROE (Latest)

7.95%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bullish

RSI

No Signal

Bullish

Bollinger Bands

Mildly Bearish

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

Mildly Bearish

OBV

No Trend

Mildly 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

4What is working for the Company

INVENTORY TURNOVER RATIO(HY)

Highest at 1.52 times

NET PROFIT(Q)

Highest at GBP 29.7 MM

-9What is not working for the Company

ROCE(HY)

Lowest at -4.95%

DIVIDEND PAYOUT RATIO(Y)

Lowest at 0%

RAW MATERIAL COST(Y)

Grown by 9.46% (YoY

DEBT-EQUITY RATIO (HY)

Highest at 12.54 %

OPERATING PROFIT(Q)

Lowest at GBP 31.6 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 21.48 %

PRE-TAX PROFIT(Q)

Lowest at GBP 18 MM

EPS(Q)

Lowest at GBP -0.37

Here's what is working for Victrex Plc

Inventory Turnover Ratio

Highest at 1.52 times and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Net Profit

Highest at GBP 29.7 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (GBP MM)

Net Profit

At GBP 29.7 MM has Grown at 63.15%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is positive

Net Profit (GBP MM)

Depreciation

Highest at GBP 12.6 MM

in the last five periods

MOJO Watch

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

Depreciation (GBP MM)

Here's what is not working for Victrex Plc

Operating Profit

Lowest at GBP 31.6 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (GBP 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 GBP 18 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (GBP MM)

EPS

Lowest at GBP -0.37

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (GBP)

Debt-Equity Ratio

Highest at 12.54 %

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

Dividend Payout Ratio

Lowest at 0%

in the last five years

MOJO Watch

Company is distributing lower proportion of profits generated as dividend

DPR (%)

Raw Material Cost

Grown by 9.46% (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