Why is Auro Laboratories Ltd ?
1
Weak Long Term Fundamental Strength with a -6.86% CAGR growth in Net Sales over the last 5 years
- Low ability to service debt as the company has a high Debt to EBITDA ratio of 6.49 times
- The company has been able to generate a Return on Equity (avg) of 9.20% signifying low profitability per unit of shareholders funds
2
With ROCE of 6.4, it has a Very Expensive valuation with a 2 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 -4.55%, its profits have risen by 409% ; the PEG ratio of the company is 0.1
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 Pharmaceuticals & Biotechnology)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Auro Labs. for you?
High Risk, Medium Return
Absolute
Risk Adjusted
Volatility
Auro Labs.
-6.34%
-0.09
49.12%
Sensex
-4.4%
-0.33
13.44%
Quality key factors
Factor
Value
Sales Growth (5y)
-6.86%
EBIT Growth (5y)
0.42%
EBIT to Interest (avg)
3.81
Debt to EBITDA (avg)
5.20
Net Debt to Equity (avg)
1.33
Sales to Capital Employed (avg)
0.84
Tax Ratio
22.31%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0.01%
ROCE (avg)
13.36%
ROE (avg)
9.20%
Valuation Key Factors 
Factor
Value
P/E Ratio
32
Industry P/E
37
Price to Book Value
3.27
EV to EBIT
22.20
EV to EBITDA
16.34
EV to Capital Employed
1.97
EV to Sales
5.79
PEG Ratio
0.05
Dividend Yield
NA
ROCE (Latest)
6.45%
ROE (Latest)
10.32%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bearish
RSI
Bullish
No Signal
Bollinger Bands
Mildly Bearish
Sideways
Moving Averages
Bearish (Daily)
KST
Bearish
Mildly Bearish
Dow Theory
Mildly Bullish
Mildly Bearish
Technical Movement
18What is working for the Company
NET SALES(Latest six months)
At Rs 18.60 cr has Grown at 82.89%
PAT(Latest six months)
At Rs 2.11 cr has Grown at 654.99%
-5What is not working for the Company
OPERATING CF(Y)
Lowest at Rs 2.11 Cr
INVENTORY TURNOVER RATIO(HY)
Lowest at 2.28 times
Loading Valuation Snapshot...
Here's what is working for Auro Labs.
Net Sales - Latest six months
At Rs 18.60 cr has Grown at 82.89%
Year on Year (YoY)MOJO Watch
Sales trend is very positive
Net Sales (Rs Cr)
Profit After Tax (PAT) - Latest six months
At Rs 2.11 cr has Grown at 654.99%
Year on Year (YoY)MOJO Watch
PAT trend is very positive
PAT (Rs Cr)
Here's what is not working for Auro Labs.
Operating Cash Flow - Annually
Lowest at Rs 2.11 Cr and Fallen
each year in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (Rs Cr)
Inventory Turnover Ratio- Half Yearly
Lowest at 2.28 times and Fallen
each half year in the last five half yearly periodsMOJO Watch
Company's pace of selling inventory has slowed
Inventory Turnover Ratio






