Aditya Ispat Ltd. () Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Vallabh Steels

Sh. Steel Wire

Heera Ispat

Aditya Ispat

Mahalaxmi Seam.

Shree Precoated

MFS Intercorp

Elango Industrie

Western Ministil

Meenakshi Steel

Bengal Steel

Why is Aditya Ispat Ltd. ?

With a Negative Book Value, the company has a Weak Long Term Fundamental Strength

Poor long term growth as Net Sales has grown by an annual rate of -7.99% and Operating profit at -231.27% over the last 5 years
The company has a negative book value of Rs 0.76 crore
The company has been able to generate a Return on Equity (avg) of 2.35% signifying low profitability per unit of shareholders funds

The company has declared Negative results for the last 5 consecutive quarters

PAT(Q) At Rs -5.11 cr has Fallen at -796.5%
NET SALES(9M) At Rs 26.25 cr has Grown at -21.03%
PBDIT(Q) Lowest at Rs -6.01 cr.

Risky - Negative EBITDA

The company has recorded a negative EBITDA of Rs. -6.54 cr
Over the past year, while the stock has generated a return of -3.36%, its profits have fallen by -667%
The stock is trading risky as compared to its average historical valuations

100% of Promoter Shares are Pledged

In falling markets, high promoter pledged shares puts additional downward pressure on the stock prices
The proportion of pledged holdings has increased by 100% over the last quarter

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -3.36% returns in the last 1 year, the stock has also underperformed BSE500 in each of the last 3 annual periods

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 Iron & Steel Products)

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

Is Aditya Ispat for you?

High Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Aditya Ispat

-3.36%

-0.04

85.83%

Sensex

-7.55%

-0.58

13.06%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-7.99%

EBIT Growth (5y)

-231.27%

EBIT to Interest (avg)

-0.70

Debt to EBITDA (avg)

1.62

Net Debt to Equity (avg)

-11.08

Sales to Capital Employed (avg)

1.49

Tax Ratio

22.93%

Dividend Payout Ratio

Pledged Shares

100.00%

Institutional Holding

ROCE (avg)

-7.32%

ROE (avg)

2.35%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

-4.92

EV to EBIT

-2.00

EV to EBITDA

-2.45

EV to Capital Employed

1.55

EV to Sales

0.49

PEG Ratio

Dividend Yield

ROCE (Latest)

-77.42%

ROE (Latest)

Negative BV

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

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

2What is working for the Company

NET SALES(Q)

Highest at Rs 9.37 cr

-14What is not working for the Company

PAT(Q)

At Rs -5.11 cr has Fallen at -796.5%

NET SALES(9M)

At Rs 26.25 cr has Grown at -21.03%

PBDIT(Q)

Lowest at Rs -6.01 cr.

OPERATING PROFIT TO NET SALES (Q)

Lowest at -64.14%

PBT LESS OI(Q)

Lowest at Rs -6.79 cr.

EPS(Q)

Lowest at Rs -9.55

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Here's what is working for Aditya Ispat

Net Sales - Quarterly

Highest at Rs 9.37 cr

in the last five quarters

MOJO Watch

Near term sales trend is positive

Net Sales (Rs Cr)

Here's what is not working for Aditya Ispat

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs -6.79 cr has Fallen at -395.62%

Year on Year (YoY)

MOJO Watch

Near term PBT trend is very negative

PBT less Other Income (Rs Cr)

Profit After Tax (PAT) - Quarterly

At Rs -5.11 cr has Fallen at -796.5%

Year on Year (YoY)

MOJO Watch

Near term PAT trend is very negative

PAT (Rs Cr)

Operating Profit (PBDIT) - Quarterly

Lowest at Rs -6.01 cr.

in the last five quarters

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (Rs Cr)

Operating Profit Margin - Quarterly

Lowest at -64.14%

in the last five quarters

MOJO Watch

Company's efficiency has deteriorated

Operating Profit to Sales

Profit Before Tax less Other Income (PBT) - Quarterly

Lowest at Rs -6.79 cr.

in the last five quarters

MOJO Watch

Near term PBT trend is negative

PBT less Other Income (Rs Cr)

Earnings per Share (EPS) - Quarterly

Lowest at Rs -9.55

in the last five quarters

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (Rs)