Virco Manufacturing Corp. (VIRC) 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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HNI Corp.

Virco Manufacturing Corp.

Why is Virco Manufacturing Corp. ?

With a fall in Net Sales of -9.07%, the company declared Very Negative results in Apr 26

The company has declared negative results for the last 6 consecutive quarters
The company has declared negative results in Jan 25 after 3 consecutive negative quarters
OPERATING CASH FLOW(Y) Lowest at USD 8.84 MM
NET SALES(9M) At USD 104.5 MM has Grown at -27.85%
INTEREST(HY) At USD 0.11 MM has Grown at 76.67%

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 -28.17%, its profits have fallen by -85.4%

Below par performance in long term as well as near term

Along with generating -28.17% returns in the last 1 year, the stock has also underperformed S&P 500 in the last 3 years, 1 year and 3 months

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 Miscellaneous)

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

Is Virco Manufacturing Corp. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Virco Manufacturing Corp.

-28.17%

-1.67

36.41%

S&P 500

22.24%

1.67

13.28%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

4.71%

EBIT Growth (5y)

47.45%

EBIT to Interest (avg)

9.91

Debt to EBITDA (avg)

3.34

Net Debt to Equity (avg)

0.05

Sales to Capital Employed (avg)

2.26

Tax Ratio

23.77%

Dividend Payout Ratio

6.81%

Pledged Shares

Institutional Holding

62.20%

ROCE (avg)

15.04%

ROE (avg)

14.85%

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

0.86

EV to EBIT

15.01

EV to EBITDA

7.06

EV to Capital Employed

0.84

EV to Sales

0.41

PEG Ratio

Dividend Yield

165.09%

ROCE (Latest)

5.61%

ROE (Latest)

3.02%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bearish

Moving Averages

Bearish (Daily)

KST

Mildly Bullish

Bearish

Dow Theory

No Trend

Mildly Bearish

OBV

Mildly Bullish

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

0What is working for the Company

NO KEY POSITIVE TRIGGERS

-31What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at USD 8.84 MM

NET SALES(9M)

At USD 104.5 MM has Grown at -27.85%

INTEREST(HY)

At USD 0.11 MM has Grown at 76.67%

PRE-TAX PROFIT(Q)

At USD -3.58 MM has Fallen at -1,876.24%

NET PROFIT(Q)

At USD -2.65 MM has Fallen at -1,888.12%

ROCE(HY)

Lowest at -0.9%

RAW MATERIAL COST(Y)

Grown by 13.13% (YoY

INVENTORY TURNOVER RATIO(HY)

Lowest at 1.67 times

Here's what is not working for Virco Manufacturing Corp.

Pre-Tax Profit

At USD -3.58 MM has Fallen at -1,876.24%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (USD MM)

Net Profit

At USD -2.65 MM has Fallen at -1,888.12%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (USD MM)

Interest

At USD 0.11 MM has Grown at 76.67%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

Net Sales

At USD 104.5 MM has Grown at -27.85%

Year on Year (YoY)

MOJO Watch

Near term sales trend is very negative

Net Sales (USD MM)

Operating Cash Flow

Lowest at USD 8.84 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (USD MM)

Inventory Turnover Ratio

Lowest at 1.67 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 13.13% (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