Bajaj Electricals Ltd (BAJAJELEC) 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

Orient Electric

Carysil

Hawkins Cookers

TTK Prestige

IFB Industries

Eureka Forbes

Bosch Home Comfo

Cello World

Symphony

Bajaj Electrical

Epack Durable

Why is Bajaj Electricals Ltd ?

Poor long term growth as Net Sales has grown by an annual rate of -0.61% and Operating profit at -23.21% over the last 5 years

With a fall in Net Sales of -18.52%, the company declared Very Negative results in Dec 25

The company has declared negative results for the last 3 consecutive quarters
PBT LESS OI(Q) At Rs -39.76 cr has Fallen at -221.85%
PAT(Q) At Rs -5.21 cr has Fallen at -115.6%
ROCE(HY) Lowest at 9.65%

With ROE of 5.2, it has a Expensive valuation with a 2.4 Price to Book Value

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 -38.78%, its profits have fallen by -50.9%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -38.78% returns in the last 1 year, the stock has also underperformed BSE500 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

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 Electronics & Appliances)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Bajaj Electrical for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Bajaj Electrical

-38.78%

-1.20

32.23%

Sensex

-2.38%

-0.19

12.70%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-0.61%

EBIT Growth (5y)

-23.21%

EBIT to Interest (avg)

3.00

Debt to EBITDA (avg)

0.80

Net Debt to Equity (avg)

-0.04

Sales to Capital Employed (avg)

2.63

Tax Ratio

Tax Ratio is Negative%

Dividend Payout Ratio

26.37%

Pledged Shares

2.55%

Institutional Holding

23.56%

ROCE (avg)

11.60%

ROE (avg)

9.89%

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

2.40

EV to EBIT

79.39

EV to EBITDA

20.12

EV to Capital Employed

2.45

EV to Sales

0.90

PEG Ratio

Dividend Yield

0.84%

ROCE (Latest)

7.54%

ROE (Latest)

5.22%

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

Mildly Bearish

OBV

Bearish

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

4What is working for the Company

INVENTORY TURNOVER RATIO(HY)

Highest at 7.87 times

DEBT-EQUITY RATIO(HY)

Lowest at 0.13 times

-26What is not working for the Company

PBT LESS OI(Q)

At Rs -39.76 cr has Fallen at -221.85%

PAT(Q)

At Rs -5.21 cr has Fallen at -115.6%

ROCE(HY)

Lowest at 9.65%

NET SALES(Q)

At Rs 1,050.91 cr has Fallen at -18.52%

OPERATING PROFIT TO INTEREST (Q)

Lowest at 1.01 times

PBDIT(Q)

Lowest at Rs 12.91 cr.

OPERATING PROFIT TO NET SALES (Q)

Lowest at 1.23%

EPS(Q)

Lowest at Rs -2.96

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Here's what is working for Bajaj Electrical

Inventory Turnover Ratio- Half Yearly

Highest at 7.87 times and Grown

each half year in the last five half yearly periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Debt-Equity Ratio - Half Yearly

Lowest at 0.13 times

in the last five half yearly periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Here's what is not working for Bajaj Electrical

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs -39.76 cr has Fallen at -221.85%

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 -5.21 cr has Fallen at -115.6%

Year on Year (YoY)

MOJO Watch

Near term PAT trend is very negative

PAT (Rs Cr)

Net Sales - Quarterly

At Rs 1,050.91 cr has Fallen at -18.52%

Year on Year (YoY)

MOJO Watch

Near term sales trend is very negative

Net Sales (Rs Cr)

Operating Profit to Interest - Quarterly

Lowest at 1.01 times

in the last five quarters

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Net Sales - Quarterly

Lowest at Rs 1,050.91 cr

in the last five quarters

MOJO Watch

Near term sales trend is negative

Net Sales (Rs Cr)

Operating Profit (PBDIT) - Quarterly

Lowest at Rs 12.91 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 1.23%

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 -39.76 cr.

in the last five quarters

MOJO Watch

Near term PBT trend is negative

PBT less Other Income (Rs Cr)

Earnings per Share (EPS) - Quarterly

Lowest at Rs -2.96

in the last five quarters

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (Rs)