Prospect Commodities Limited
Prospect Commodities Limited Fundamental Analysis
Prospect Commodities Limited (PCL.BO) shows weak financial fundamentals with a PE ratio of 22.14, profit margin of 5.81%, and ROE of 4.16%. The company generates $0.2B in annual revenue with N/A year-over-year growth of N/A.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 50.4/100 based on profitability, valuation, growth, and balance sheet metrics. The C grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze PCL.BO's fundamental strength across five key dimensions:
Efficiency Score
WeakPCL.BO struggles to generate sufficient returns from assets.
Valuation Score
ExcellentPCL.BO trades at attractive valuation levels.
Growth Score
ModeratePCL.BO shows steady but slowing expansion.
Financial Health Score
ExcellentPCL.BO maintains a strong and stable balance sheet.
Profitability Score
WeakPCL.BO struggles to sustain strong margins.
Key Financial Metrics
Is PCL.BO Expensive or Cheap?
P/E Ratio
PCL.BO trades at 22.14 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, PCL.BO's PEG of -997000596579930.00 indicates potential undervaluation.
Price to Book
The market values Prospect Commodities Limited at 0.85 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 6.95 times EBITDA. This is generally considered low.
How Well Does PCL.BO Make Money?
Net Profit Margin
For every $100 in sales, Prospect Commodities Limited keeps $5.81 as profit after all expenses.
Operating Margin
Core operations generate 16.34 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $4.16 in profit for every $100 of shareholder equity.
ROA
Prospect Commodities Limited generates $2.41 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Prospect Commodities Limited produces operating cash flow of $46.51M, showing steady but balanced cash generation.
Free Cash Flow
Prospect Commodities Limited generates strong free cash flow of $26.01M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $4.24 in free cash annually.
FCF Yield
PCL.BO converts 8.52% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
22.14
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-997000596579930.00
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.85
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.48
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.46
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.93
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.04
vs 25 benchmark
ROA
Return on assets percentage
0.02
vs 25 benchmark
ROCE
Return on capital employed
0.10
vs 25 benchmark
How PCL.BO Stacks Against Its Sector Peers
| Metric | PCL.BO Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 22.14 | 24.39 | Neutral |
| ROE | 4.16% | 863.00% | Weak |
| Net Margin | 5.81% | -108554.00% (disorted) | Weak |
| Debt/Equity | 0.46 | 0.50 | Neutral |
| Current Ratio | 2.93 | 6.35 | Strong Liquidity |
| ROA | 2.41% | -6734.00% (disorted) | Weak |
PCL.BO outperforms its industry in 1 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Prospect Commodities Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
N/A
Industry Style: Cyclical, Commodity, Value
EPS CAGR
N/A
Industry Style: Cyclical, Commodity, Value
FCF CAGR
N/A
Industry Style: Cyclical, Commodity, Value