ScoreWhy is Axita Cotton Ltd ?
1
High Management Efficiency with a high ROCE of 28.23%
2
Strong ability to service debt as the company has a low Debt to EBITDA ratio of -4.39 times
3
Poor long term growth as Net Sales has grown by an annual rate of -25.76% and Operating profit at -35.04% over the last 5 years
- PBT LESS OI(Q) At Rs 1.05 cr has Grown at 395.8% (vs previous 4Q average)
- PAT(Q) At Rs 3.59 cr has Grown at 651.8% (vs previous 4Q average)
- EPS(Q) Highest at Rs 0.09
4
With ROCE of -7.5, it has a Expensive valuation with a 4.1 Enterprise value to Capital Employed
- 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 0.13%, its profits have risen by 352.6% ; the PEG ratio of the company is 0.2
5
Majority shareholders : Non Institution
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Axita Cotton should be less than 10%
- Overall Portfolio exposure to Garments & Apparels should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Garments & Apparels)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Axita Cotton for you?
Medium Risk, Medium Return
Absolute
Risk Adjusted
Volatility
Axita Cotton
0.13%
0.00
31.92%
Sensex
-9.29%
-0.69
13.52%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
-25.76%
EBIT Growth (5y)
-35.04%
EBIT to Interest (avg)
9.34
Debt to EBITDA (avg)
Negative Net Debt
Net Debt to Equity (avg)
0.19
Sales to Capital Employed (avg)
10.43
Tax Ratio
30.78%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
5.32%
ROCE (avg)
21.18%
ROE (avg)
40.07%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
NA (Loss Making)
Industry P/E
28
Price to Book Value
4.67
EV to EBIT
141.03
EV to EBITDA
111.06
EV to Capital Employed
4.08
EV to Sales
1.17
PEG Ratio
0.22
Dividend Yield
0.62%
ROCE (Latest)
-7.49%
ROE (Latest)
5.93%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Mildly Bullish
RSI
Bearish
No Signal
Bollinger Bands
Mildly Bullish
Mildly Bearish
Moving Averages
Mildly Bearish (Daily)
KST
Mildly Bullish
Mildly Bullish
Dow Theory
Mildly Bearish
Mildly Bullish
OBV
No Trend
Mildly Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend17What is working for the Company
PBT LESS OI(Q)
At Rs 1.05 cr has Grown at 395.8% (vs previous 4Q average
PAT(Q)
At Rs 3.59 cr has Grown at 651.8% (vs previous 4Q average
EPS(Q)
Highest at Rs 0.09
-11What is not working for the Company
NET SALES(Q)
Lowest at Rs 58.28 cr
NON-OPERATING INCOME(Q)
is 77.85 % of Profit Before Tax (PBT
Loading Valuation Snapshot...
Here's what is working for Axita Cotton
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 1.05 cr has Grown at 395.8% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs -0.36 CrMOJO Watch
Near term PBT trend is very positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 3.59 cr has Grown at 651.8% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 0.48 CrMOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Profit After Tax (PAT) - Quarterly
Highest at Rs 3.59 cr.
in the last five quartersMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs 0.09
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)
Here's what is not working for Axita Cotton
Net Sales - Quarterly
At Rs 58.28 cr has Fallen at -37.1% (vs previous 4Q average)
over average Net Sales of the previous four quarters of Rs 92.60 CrMOJO Watch
Near term sales trend is very negative
Net Sales (Rs Cr)
Net Sales - Quarterly
Lowest at Rs 58.28 cr
in the last five quartersMOJO Watch
Near term sales trend is negative
Net Sales (Rs Cr)
Non Operating Income - Quarterly
is 77.85 % 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
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