ScoreWhy is WH Smith Plc ?
1
High Debt company with Weak Long Term Fundamental Strength
- Poor long term growth as Operating profit has grown by an annual rate 7.42% of over the last 5 years
- High Debt Company with a Debt to Equity ratio (avg) at times
2
Flat results in Feb 25
- ROCE(HY) Lowest at 2.46%
- DEBTORS TURNOVER RATIO(HY) Lowest at 14.78%
- CASH AND EQV(HY) Lowest at GBP 39 MM
3
With ROE of 41.04%, it has a very expensive valuation with a 2.84 Price to Book Value
- Over the past year, while the stock has generated a return of -45.14%, its profits have risen by 31.2% ; the PEG ratio of the company is 0.2
4
Consistent Underperformance against the benchmark over the last 3 years
- Along with generating -45.14% returns in the last 1 year, the stock has also underperformed FTSE 100 in each of the last 3 annual periods
Real-Time Research ReportHow 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 WH Smith Plc for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
WH Smith Plc
-45.14%
-0.79
53.11%
FTSE 100
15.94%
1.23
12.99%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
6.04%
EBIT Growth (5y)
7.42%
EBIT to Interest (avg)
-0.76
Debt to EBITDA (avg)
2.16
Net Debt to Equity (avg)
2.01
Sales to Capital Employed (avg)
1.69
Tax Ratio
52.78%
Dividend Payout Ratio
64.69%
Pledged Shares
0
Institutional Holding
0.17%
ROCE (avg)
12.51%
ROE (avg)
23.84%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
7
Industry P/E
Price to Book Value
2.84
EV to EBIT
7.19
EV to EBITDA
3.83
EV to Capital Employed
1.61
EV to Sales
0.76
PEG Ratio
0.21
Dividend Yield
342.65%
ROCE (Latest)
22.39%
ROE (Latest)
41.04%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Mildly Bearish
Moving Averages
Mildly Bearish (Daily)
KST
Mildly Bullish
Bearish
Dow Theory
Mildly Bullish
Mildly Bearish
OBV
No Trend
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend5What is working for the Company
OPERATING CASH FLOW(Y)
Highest at GBP 561 MM
RAW MATERIAL COST(Y)
Fallen by 0% (YoY
NET PROFIT(Q)
At GBP 40 MM has Grown at 70.73%
-6What is not working for the Company
ROCE(HY)
Lowest at 2.46%
DEBTORS TURNOVER RATIO(HY)
Lowest at 14.78%
CASH AND EQV(HY)
Lowest at GBP 39 MM
EPS(Q)
Lowest at GBP -0.34
Here's what is working for WH Smith Plc
Operating Cash Flow
Highest at GBP 561 MM and Grown
In each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (GBP MM)
Net Profit
At GBP 40 MM has Grown at 70.73%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is positive
Net Profit (GBP MM)
Raw Material Cost
Fallen by 0% (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 WH Smith Plc
Debtors Turnover Ratio
Lowest at 14.78% and Fallen
In each half year in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio
EPS
Lowest at GBP -0.34
in the last five periodsMOJO Watch
Declining profitability; company has created lower earnings for shareholders
EPS (GBP)
Cash and Eqv
Lowest at GBP 39 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is deteriorating
Cash and Cash Equivalents
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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