VTM
CyclicalsValuation Breakdown
Cyclical companies (chemicals, oil & gas, basic resources) have earnings that swing dramatically with commodity prices and economic cycles. Valuing them on a single year's earnings is misleading: they look cheap at peaks and expensive at troughs. This model uses 7-year median EBITDA ("mid-cycle" earnings) and a 7-year median EV/EBITDA multiple to estimate what the firm is worth at a normal point in the cycle.
Valuation Track Record
Retroactive intrinsic value vs actual close price — VTM
Earnings Quality
Fiscal year 2024
Financial Forensics
Beneish M-Score · 2024
VTM exhibits a Beneish M-Score of -2.5442, indicating a low likelihood of earnings manipulation. However, the earnings quality metrics reveal significant weaknesses, particularly in receivables and revenue recognition, which could pose risks in financial reporting.
- The DSRI of 1.2089 suggests potential issues with inventory management, which could lead to overstatement of assets.
- The eq_revenue score of 14.5/100 indicates severe concerns regarding revenue recognition practices, raising red flags about the sustainability of reported earnings.
- The earnings quality score of 73.0/100, combined with a cash conversion rate of 100.0/100, suggests that VTM is effectively converting earnings into cash, which is a positive indicator of operational efficiency.
The overwhelming ownership by Tập đoàn Công nghiệp Than - Khoáng sản Việt Nam at 95.2% creates a lack of diversity in shareholder interests, which could lead to governance issues and reduced accountability.
Investors should closely monitor VTM's revenue recognition practices and consider conducting further due diligence on inventory management. Given the elevated risk level, a cautious approach is advised before making investment decisions.
Generated by AI based on quantitative data. Not financial advice.
Quantitative Scores
Key Ratios
Company Overview
// OWNERSHIP_NETWORK
> mapping common ownership for VTM — hover nodes for intel, click to navigate