Ausom Enterprise Ltd (AUSOMENT) 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

Golkunda Diamond

Ausom Enter.

Spice IslandsInd

Ashapuri Gold

Manbro Indust.

RBZ Jewellers Lt

Mini Diamonds(I)

Divine Hira Jew.

Pushpa Jewellers

Goldkart Jewels

Grover Jewells

Why is Ausom Enterprise Ltd ?

Poor long term growth as Operating profit has grown by an annual rate -10.25% of over the last 5 years

PAT(Q) At Rs 0.83 cr has Fallen at -92.5%
INVENTORY TURNOVER RATIO(HY) Lowest at 115.57 times
NET SALES(Q) At Rs 1,440.43 cr has Grown at -5.65%

With ROE of 12.1, it has a Attractive valuation with a 1.1 Price to Book Value

The stock is trading at a fair value compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 19.00%, its profits have fallen by -0.4%

Majority shareholders : Promoters

Market Beating performance in long term as well as near term

Along with generating 19.00% 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 hold?

Overall Portfolio exposure to Ausom Enter. should be less than 10%
Overall Portfolio exposure to Gems, Jewellery And Watches should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Gems, Jewellery And Watches)

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

Is Ausom Enter. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Ausom Enter.

7.8%

0.15

52.98%

Sensex

-8.26%

-0.63

13.11%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

35.09%

EBIT Growth (5y)

-10.25%

EBIT to Interest (avg)

4.49

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

0.04

Sales to Capital Employed (avg)

6.77

Tax Ratio

23.98%

Dividend Payout Ratio

14.88%

Pledged Shares

Institutional Holding

0.11%

ROCE (avg)

4.22%

ROE (avg)

7.74%

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

1.04

EV to EBIT

13.57

EV to EBITDA

12.73

EV to Capital Employed

1.04

EV to Sales

0.08

PEG Ratio

Dividend Yield

0.81%

ROCE (Latest)

7.66%

ROE (Latest)

12.09%

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bearish

Bollinger Bands

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

No Trend

OBV

No Trend

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

0What is working for the Company

NO KEY POSITIVE TRIGGERS

-18What is not working for the Company

PAT(Q)

At Rs 0.83 cr has Fallen at -92.5%

INVENTORY TURNOVER RATIO(HY)

Lowest at 115.57 times

NET SALES(Q)

At Rs 1,440.43 cr has Grown at -5.65%

PBT LESS OI(Q)

Lowest at Rs -1.08 cr.

NON-OPERATING INCOME(Q)

is 160.67 % of Profit Before Tax (PBT

EPS(Q)

Lowest at Rs 0.61

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Here's what is not working for Ausom Enter.

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs -1.08 cr has Fallen at -110.10%

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 0.83 cr has Fallen at -92.5%

Year on Year (YoY)

MOJO Watch

Near term PAT trend is very negative

PAT (Rs Cr)

Inventory Turnover Ratio- Half Yearly

Lowest at 115.57 times and Fallen

each half year in the last five half yearly periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Net Sales - Quarterly

At Rs 1,440.43 cr has Grown at -5.65%

Year on Year (YoY)

MOJO Watch

Near term sales trend is negative

Net Sales (Rs Cr)

Profit Before Tax less Other Income (PBT) - Quarterly

Lowest at Rs -1.08 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 160.67 % 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

Earnings per Share (EPS) - Quarterly

Lowest at Rs 0.61

in the last five quarters

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (Rs)

Non Operating Income - Quarterly

Highest at Rs 2.86 cr

in the last five quarters

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating Income