Aeroflex Enterprises Ltd (AEROENTER) 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

Aeroflex Enter.

Rajputana Stain.

Manaksia Coated

Ratnaveer Precis

MSP Steel & Pow.

Steel Exchange

Mahamaya Steel

Rhetan TMT Ltd

Hi-Tech Pipes

Electrotherm(I)

Behari Lal Engg.

Why is Aeroflex Enterprises Ltd ?

Strong Long Term Fundamental Strength with an average Return on Equity (ROE) of 17.65%

Healthy long term growth as Operating profit has grown by an annual rate of 53.25%

The company has declared Positive results for the last 3 consecutive quarters

NET SALES(Latest six months) At Rs 388.58 cr has Grown at 31.58%
PAT(Q) Highest at Rs 97.27 cr.
EPS(Q) Highest at Rs 8.54

With ROE of 7.9, it has a Fair valuation with a 1.9 Price to Book Value

The stock is trading at a premium compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 59.31%, its profits have risen by 202.7% ; the PEG ratio of the company is 0.1

Rising Promoter Confidence

Promoters have increased their stake in the company by 0.71% over the previous quarter and currently hold 52.3% of the company
Promoters increasing their stake is a sign of high confidence in the future of the business

Market Beating Performance

The stock has generated a return of 59.31% in the last 1 year, much higher than market (BSE500) returns of 1.14%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Aeroflex Enter. should be less than 10%
Overall Portfolio exposure to Iron & Steel Products should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Iron & Steel Products)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Aeroflex Enter. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Aeroflex Enter.

59.26%

1.14

52.02%

Sensex

-5.48%

-0.41

13.39%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

26.06%

EBIT Growth (5y)

53.25%

Net Debt to Equity (avg)

0.05

Institutional Holding

1.31%

ROE (avg)

17.65%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

1.96

EV to EBIT

17.68

EV to EBITDA

12.59

EV to Capital Employed

2.10

EV to Sales

2.02

PEG Ratio

0.05

Dividend Yield

0.49%

ROCE (Latest)

12.28%

ROE (Latest)

7.86%

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Bullish

Moving Averages

Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bullish

OBV

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

21What is working for the Company

NET SALES(Latest six months)

At Rs 388.58 cr has Grown at 31.58%

PAT(Q)

Highest at Rs 97.27 cr.

EPS(Q)

Highest at Rs 8.54

-9What is not working for the Company

ROCE(HY)

Lowest at 13.47%

PBDIT(Q)

Lowest at Rs 17.27 cr.

OPERATING PROFIT TO NET SALES (Q)

Lowest at 9.14%

PBT LESS OI(Q)

Lowest at Rs 6.89 cr.

NON-OPERATING INCOME(Q)

is 95.44 % of Profit Before Tax (PBT

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Here's what is working for Aeroflex Enter.

Profit After Tax (PAT) - Quarterly

At Rs 97.27 cr has Grown at 498.9% (vs previous 4Q average)

over average PAT of the previous four quarters of Rs 16.24 Cr

MOJO Watch

Near term PAT trend is very positive

PAT (Rs Cr)

Profit After Tax (PAT) - Quarterly

Highest at Rs 97.27 cr. and Grown

each quarter in the last five quarters

MOJO Watch

Near term PAT trend is very positive

PAT (Rs Cr)

Net Sales - Latest six months

At Rs 388.58 cr has Grown at 31.58%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (Rs Cr)

Earnings per Share (EPS) - Quarterly

Highest at Rs 8.54

in the last five quarters

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (Rs)

Here's what is not working for Aeroflex Enter.

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs 6.89 cr has Fallen at -66.9% (vs previous 4Q average)

over average PBT of the previous four quarters of Rs 20.83 Cr

MOJO Watch

Near term PBT trend is very negative

PBT less Other Income (Rs Cr)

Operating Profit (PBDIT) - Quarterly

Lowest at Rs 17.27 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 9.14%

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 6.89 cr.

in the last five quarters

MOJO Watch

Near term PBT trend is negative

PBT less Other Income (Rs Cr)

Non Operating Income - Quarterly

is 95.44 % of Profit Before Tax (PBT)

MOJO Watch

The company's income from non business activities is high; which is not a sustainable business model

Non Operating Income to PBT

Non Operating Income - Quarterly

Highest at Rs 144.17 cr

in the last five quarters

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating Income