Wal-Mart de México SAB de CV (WALMEX*) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Grupo Gigante SAB de CV

Organización Soriana SAB de CV

Wal-Mart de México SAB de CV

Why is Wal-Mart de México SAB de CV ?

Negative results in Jun 25

OPERATING CASH FLOW(Y) Lowest at MXN 69,842.03 MM
INTEREST(9M) At MXN 8,645.66 MM has Grown at 23.75%
DIVIDEND PAYOUT RATIO(Y) Lowest at 130.13%

With ROE of 23.86%, it has a expensive valuation with a 4.90 Price to Book Value

The stock is trading at a premium compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 3.15%, its profits have fallen by -4.1%

Underperformed the market in the last 1 year

The stock has generated a return of 3.15% in the last 1 year, much lower than market (Mexico IPC) returns of 26.18%

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 Retailing)

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

Is Wal-Mart de México SAB de CV for you?

Medium Risk, High Return

Absolute

Risk Adjusted

Volatility

Wal-Mart de México SAB de CV

-100.0%

62.91

28.81%

Mexico IPC

25.36%

1.61

16.27%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

7.73%

EBIT Growth (5y)

5.73%

EBIT to Interest (avg)

8.67

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.13

Sales to Capital Employed (avg)

4.38

Tax Ratio

22.84%

Dividend Payout Ratio

70.33%

Pledged Shares

Institutional Holding

0.00%

ROCE (avg)

48.72%

ROE (avg)

26.79%

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

4.90

EV to EBIT

13.86

EV to EBITDA

10.49

EV to Capital Employed

5.46

EV to Sales

1.05

PEG Ratio

Dividend Yield

0.07%

ROCE (Latest)

39.43%

ROE (Latest)

23.86%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Mildly Bullish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

Mildly Bearish

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

1What is working for the Company

RAW MATERIAL COST(Y)

Fallen by 0.22% (YoY

-11What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at MXN 69,842.03 MM

INTEREST(9M)

At MXN 8,645.66 MM has Grown at 23.75%

DIVIDEND PAYOUT RATIO(Y)

Lowest at 130.13%

CASH AND EQV(HY)

Lowest at MXN 56,385.08 MM

DEBT-EQUITY RATIO (HY)

Highest at 21.3 %

OPERATING PROFIT MARGIN(Q)

Lowest at 9.43 %

PRE-TAX PROFIT(Q)

Lowest at MXN 15,169.98 MM

NET PROFIT(Q)

Lowest at MXN 11,296.28 MM

EPS(Q)

Lowest at MXN 0.65

Here's what is working for Wal-Mart de México SAB de CV

Raw Material Cost

Fallen by 0.22% (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

Depreciation

Highest at MXN 6,227.73 MM

in the last five periods

MOJO Watch

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

Depreciation (MXN MM)

Here's what is not working for Wal-Mart de México SAB de CV

Interest

At MXN 8,645.66 MM has Grown at 23.75%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (MXN MM)

Operating Cash Flow

Lowest at MXN 69,842.03 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (MXN MM)

Operating Profit Margin

Lowest at 9.43 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at MXN 15,169.98 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (MXN MM)

Net Profit

Lowest at MXN 11,296.28 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (MXN MM)

EPS

Lowest at MXN 0.65

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (MXN)

Cash and Eqv

Lowest at MXN 56,385.08 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debt-Equity Ratio

Highest at 21.3 %

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 130.13%

in the last five years

MOJO Watch

Company is distributing lower proportion of profits generated as dividend

DPR (%)