Ambalal Sarabhai Enterprises Ltd (AMBALALSA) 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

Ambalal Sarabhai

BDH Industries

Medico Remedies

Trident Lifeline

Medicamen Biotec

Albert David

Everest Organics

Valiant Laborato

CCME Global

Transchem

Infinium Pharma

Why is Ambalal Sarabhai Enterprises Ltd ?

Positive results in Mar 26

ROCE(HY) Highest at 10.89%
NET SALES(Q) At Rs 65.49 cr has Grown at 29.9% (vs previous 4Q average)
PBDIT(Q) Highest at Rs 5.70 cr.

With ROCE of 4, it has a Very Attractive valuation with a 1.9 Enterprise value to Capital Employed

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 51.36%, its profits have risen by 54.9% ; the PEG ratio of the company is 0.3

Majority shareholders : Non Institution

Market Beating performance in long term as well as near term

Along with generating 51.36% returns in the last 1 year, the stock has outperformed BSE500 in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Ambalal Sarabhai should be less than 10%
Overall Portfolio exposure to Pharmaceuticals & Biotechnology should be less than 30%

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

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

Is Ambalal Sarabhai for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Ambalal Sarabhai

50.18%

0.96

53.30%

Sensex

-2.67%

-0.20

13.57%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

4.33%

EBIT Growth (5y)

31.06%

EBIT to Interest (avg)

3.84

Debt to EBITDA (avg)

5.45

Net Debt to Equity (avg)

0.23

Sales to Capital Employed (avg)

1.08

Tax Ratio

3.78%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

0.01%

ROCE (avg)

5.36%

ROE (avg)

16.85%

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

2.11

EV to EBIT

47.38

EV to EBITDA

31.48

EV to Capital Employed

1.90

EV to Sales

1.83

PEG Ratio

0.33

Dividend Yield

ROCE (Latest)

4.00%

ROE (Latest)

11.67%

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Mildly Bearish

Mildly Bullish

Dow Theory

Mildly Bullish

OBV

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

13What is working for the Company

ROCE(HY)

Highest at 10.89%

NET SALES(Q)

At Rs 65.49 cr has Grown at 29.9% (vs previous 4Q average

PBDIT(Q)

Highest at Rs 5.70 cr.

OPERATING PROFIT TO NET SALES(Q)

Highest at 8.70%

PBT LESS OI(Q)

Highest at Rs 3.64 cr.

PAT(Q)

At Rs 6.50 cr has Grown at 38.9% (vs previous 4Q average

-6What is not working for the Company

DEBTORS TURNOVER RATIO(HY)

Lowest at 4.24 times

INTEREST(Q)

Highest at Rs 1.42 cr

NON-OPERATING INCOME(Q)

is 41.76 % of Profit Before Tax (PBT

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Here's what is working for Ambalal Sarabhai

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs 3.64 cr has Grown at 280.2% (vs previous 4Q average)

over average PBT of the previous four quarters of Rs 0.96 Cr

MOJO Watch

Near term PBT trend is very positive

PBT less Other Income (Rs Cr)

Net Sales - Quarterly

Highest at Rs 65.49 cr

in the last five quarters

MOJO Watch

Near term sales trend is positive

Net Sales (Rs Cr)

Net Sales - Quarterly

At Rs 65.49 cr has Grown at 29.9% (vs previous 4Q average)

over average Net Sales of the previous four quarters of Rs 50.40 Cr

MOJO Watch

Near term sales trend is positive

Net Sales (Rs Cr)

Operating Profit (PBDIT) - Quarterly

Highest at Rs 5.70 cr.

in the last five quarters

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (Rs Cr)

Operating Profit Margin - Quarterly

Highest at 8.70%

in the last five quarters

MOJO Watch

Company's efficiency has improved

Operating Profit to Sales

Profit Before Tax less Other Income (PBT) - Quarterly

Highest at Rs 3.64 cr.

in the last five quarters

MOJO Watch

Near term PBT trend is positive

PBT less Other Income (Rs Cr)

Profit After Tax (PAT) - Quarterly

At Rs 6.50 cr has Grown at 38.9% (vs previous 4Q average)

over average PAT of the previous four quarters of Rs 4.68 Cr

MOJO Watch

Near term PAT trend is positive

PAT (Rs Cr)

Here's what is not working for Ambalal Sarabhai

Interest - Quarterly

At Rs 1.42 cr has Grown at 141,999,900.00%

Quarter on Quarter (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (Rs cr)

Interest - Quarterly

Highest at Rs 1.42 cr

in the last five quarters and Increased by 141,999,900.00 % (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (Rs cr)

Non Operating Income - Quarterly

is 41.76 % 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

Debtors Turnover Ratio- Half Yearly

Lowest at 4.24 times

in the last five half yearly periods

MOJO Watch

Company's pace of settling its Debtors has slowed

Debtors Turnover Ratio