VTEX (Cayman Islands) () 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

Model N, Inc.

Mitek Systems, Inc.

A10 Networks, Inc.

Grid Dynamics Holdings, Inc.

OneSpan, Inc.

VTEX (Cayman Islands)

Accolade, Inc.

3D Systems Corp.

PDF Solutions, Inc.

Applied Digital Corp.

Digimarc Corp.

Why is VTEX (Cayman Islands) ?

Poor Management Efficiency with a low ROE of 1.26%

The company has been able to generate a Return on Equity (avg) of 1.26% signifying low profitability per unit of shareholders funds

The company has declared Positive results for the last 8 consecutive quarters

OPERATING CASH FLOW(Y) Highest at USD 33.28 MM
ROCE(HY) Highest at 5.33%
RAW MATERIAL COST(Y) Fallen by -3.96% (YoY)

With ROE of 6.29%, it has a attractive valuation with a 4.96 Price to Book Value

Over the past year, while the stock has generated a return of -41.57%, its profits have risen by 313.1% ; the PEG ratio of the company is 0.3

Below par performance in long term as well as near term

Along with generating -41.57% 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 hold?

Overall Portfolio exposure to VTEX (Cayman Islands) should be less than 10%
Overall Portfolio exposure to Computers - Software & Consulting should be less than 30%

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

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

Is VTEX (Cayman Islands) for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

VTEX (Cayman Islands)

-22.16%

-0.75

55.73%

S&P 500

16.08%

0.70

20.15%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

39.51%

EBIT Growth (5y)

43.06%

EBIT to Interest (avg)

-0.37

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

-0.83

Sales to Capital Employed (avg)

0.85

Tax Ratio

4.72%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

68.31%

ROCE (avg)

6.06%

ROE (avg)

1.26%

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

2.74

EV to EBIT

29.19

EV to EBITDA

23.99

EV to Capital Employed

11.20

EV to Sales

1.97

PEG Ratio

Dividend Yield

ROCE (Latest)

38.37%

ROE (Latest)

3.34%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bearish

RSI

No Signal

Bollinger Bands

Bullish

Mildly Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bullish

Bearish

Dow Theory

Mildly Bearish

No Trend

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

9What is working for the Company

OPERATING CASH FLOW(Y)

Highest at USD 34.49 MM

PRE-TAX PROFIT(Q)

At USD 2.02 MM has Grown at 230.44%

ROCE(HY)

Highest at 6.53%

RAW MATERIAL COST(Y)

Fallen by -3.84% (YoY

-9What is not working for the Company

NET PROFIT(HY)

At USD 2.89 MM has Grown at -55.08%

DEBTORS TURNOVER RATIO(HY)

Lowest at 3.91 times

Here's what is working for VTEX (Cayman Islands)

Pre-Tax Profit

At USD 2.02 MM has Grown at 230.44%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (USD MM)

Operating Cash Flow

Highest at USD 34.49 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 (USD MM)

Raw Material Cost

Fallen by -3.84% (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 VTEX (Cayman Islands)

Net Profit

At USD 2.89 MM has Grown at -55.08%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (USD MM)

Debtors Turnover Ratio

Lowest at 3.91 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio