$GENM (4715.MY)$ chatgpt still give good rating for this sto...
$GENM(4715.MY$ chatgpt still give good rating for this stock performance===>To analyze the key indicators from Genting Malaysia Bhd's (GENM) Q1 2024 earnings report and assess their financial health, we'll look at various financial ratios and metrics provided in the data. Here's a breakdown of the key indicators and what they suggest:
### **Efficiency Ratios**
- **Cash Conversion Cycle**: Decreased significantly to 10.42% from previous quarters, indicating improved efficiency in managing cash flows.
- **Receivable Turnover**: Increased to 30.51% (7.842), suggesting better efficiency in collecting receivables.
- **Inventory Turnover**: Slight decrease to -3.47% (10.9745), indicating a minor decline in inventory management efficiency.
- **Account Payable Turnover**: Increased to 12.98% (1.2997), showing better management of payables.
- **Fixed Assets Turnover**: Improved to 27.93% (0.183), indicating better utilization of fixed assets.
- **Total Asset Turnover**: Improved to 17.70% (0.0942), suggesting more efficient use of total assets.
### **Profitability Ratios**
- **Gross Margin**: Increased to 14.70% (26.72%), indicating higher profitability at the gross level.
- **EBIT Margin**: Increased to 5.58% (8.77%), showing better operational efficiency.
- **Net Margin**: Substantial increase to 274.30% (2.09%), indicating a significant improvement in net profitability.
- **EBITDA Margin**: Slight decrease to -8.44% (19.98%), still a healthy margin but slightly lower than previous quarters.
- **Interest Coverage**: Improved to 49.88% (1.9157), indicating better ability to cover interest expenses with earnings.
### **Financial Health Ratios**
- **Long-Term Debt to Equity Ratio**: Slight increase to 4.70% (102.68%), still within a manageable range but indicates higher leverage.
- **Total Assets to Common Equity Ratio**: Slight increase to 0.23% (233.12%), suggesting higher asset utilization.
- **Interest-Bearing Liabilities to Asset Ratio**: Minor increase to 0.83% (44.8%), indicating stable leverage.
- **Current Ratio**: Improved to 39.84% (1.7175), indicating better short-term liquidity.
- **Quick Ratio**: Improved to 37.03% (1.2455), suggesting improved ability to meet short-term obligations without relying on inventory.
### **Growth Ratios**
- **Revenue CAGR (3Y)**: Significant growth of 604.80% (31.04%), indicating strong revenue growth over the past three years.
- **Revenue CAGR (5Y)**: Positive growth of 132.42% (0.52%), showing steady long-term revenue growth.
- **Dividend CAGR (3Y and 5Y)**: Strong growth in dividends, indicating increasing returns to shareholders.
### **Return Ratios**
- **ROE (Return on Equity)**: Massive increase to 305.58% (0.45%), indicating strong profitability relative to shareholder equity.
- **ROA (Return on Assets)**: Significant increase to 305.10% (0.2%), showing efficient asset use to generate profits.
- **ROIC (Return on Invested Capital)**: Improved to 52.37% (0.52%), indicating good returns on invested capital.
### **Overall Assessment**
GENM appears to be in a relatively strong financial position based on the Q1 2024 earnings report:
- **Efficiency and Profitability**: The company has improved its efficiency in managing receivables and payables, and its profitability margins have significantly increased.
- **Liquidity and Financial Health**: Improved liquidity ratios suggest better short-term financial health. However, the increase in the long-term debt to equity ratio indicates higher leverage, which should be monitored.
- **Growth**: Strong growth in revenue and dividends indicates robust business expansion and shareholder returns.
- **Return on Investment**: High ROE, ROA, and ROIC suggest that the company is effectively generating returns from its investments and assets.
### **Conclusion**
Based on the provided data, GENM is performing well and does not show signs of being in financial difficulty. The improvements in efficiency, profitability, and growth metrics, along with stable liquidity ratios, suggest that the company is in a good financial position. However, it is important to keep an eye on leverage levels and ensure that the company continues to manage its debt effectively.
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104741793 : Why not just asked what is Chatgpt on GENM target price? Just to check how much difference with the various target prices of IB.
Tan farmer : ChatGPT still not working updated data.. gives a lot error in replies still — caution