Why is Bannari Amman Sugars Ltd ?
1
Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 12.23
2
Poor long term growth as Net Sales has grown by an annual rate of 5.00% and Operating profit at 2.14% over the last 5 years
3
With a growth in Net Profit of 13.33%, the company declared Very Positive results in Dec 25
- The company has declared positive results for the last 2 consecutive quarters
- PBT LESS OI(Q) At Rs 67.16 cr has Grown at 72.3% (vs previous 4Q average)
- PAT(Q) At Rs 48.39 cr has Grown at 58.8% (vs previous 4Q average)
- DEBTORS TURNOVER RATIO(HY) Highest at 37.91 times
4
With ROE of 7.8, it has a Expensive valuation with a 2.5 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 1.52%, its profits have risen by 54.9% ; the PEG ratio of the company is 0.6
How much should you hold?
- Overall Portfolio exposure to Bannari Amm.Sug. should be less than 10%
- Overall Portfolio exposure to Sugar should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Sugar)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Bannari Amm.Sug. for you?
Low Risk, Medium Return
Absolute
Risk Adjusted
Volatility
Bannari Amm.Sug.
-0.4%
-0.02
20.14%
Sensex
-4.3%
-0.32
13.38%
Quality key factors
Factor
Value
Sales Growth (5y)
5.00%
EBIT Growth (5y)
2.14%
EBIT to Interest (avg)
12.23
Debt to EBITDA (avg)
2.23
Net Debt to Equity (avg)
-0.05
Sales to Capital Employed (avg)
0.97
Tax Ratio
34.91%
Dividend Payout Ratio
14.98%
Pledged Shares
0
Institutional Holding
0.28%
ROCE (avg)
9.15%
ROE (avg)
7.43%
Valuation Key Factors 
Factor
Value
P/E Ratio
33
Industry P/E
19
Price to Book Value
2.55
EV to EBIT
24.61
EV to EBITDA
18.42
EV to Capital Employed
2.62
EV to Sales
2.14
PEG Ratio
0.60
Dividend Yield
0.34%
ROCE (Latest)
9.49%
ROE (Latest)
7.77%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Mildly Bearish (Daily)
KST
Bullish
Mildly Bearish
Dow Theory
No Trend
Mildly Bullish
OBV
No Trend
No Trend
Technical Movement
22What is working for the Company
PBT LESS OI(Q)
At Rs 67.16 cr has Grown at 72.3% (vs previous 4Q average
PAT(Q)
At Rs 48.39 cr has Grown at 58.8% (vs previous 4Q average
DEBTORS TURNOVER RATIO(HY)
Highest at 37.91 times
NET SALES(Q)
At Rs 644.11 cr has Grown at 35.2% (vs previous 4Q average
PBDIT(Q)
Highest at Rs 82.72 cr.
EPS(Q)
Highest at Rs 38.59
0What is not working for the Company
NO KEY NEGATIVE TRIGGERS
Loading Valuation Snapshot...
Here's what is working for Bannari Amm.Sug.
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 67.16 cr has Grown at 72.3% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs 38.99 CrMOJO Watch
Near term PBT trend is very positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 48.39 cr has Grown at 58.8% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 30.48 CrMOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Net Sales - Quarterly
Highest at Rs 644.11 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Net Sales - Quarterly
At Rs 644.11 cr has Grown at 35.2% (vs previous 4Q average)
over average Net Sales of the previous four quarters of Rs 476.39 CrMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Highest at Rs 82.72 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (Rs Cr)
Profit Before Tax less Other Income (PBT) - Quarterly
Highest at Rs 67.16 cr.
in the last five quartersMOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
Highest at Rs 48.39 cr.
in the last five quartersMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs 38.59
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)
Debtors Turnover Ratio- Half Yearly
Highest at 37.91 times
in the last five half yearly periodsMOJO Watch
Company has been able to settle its Debtors faster
Debtors Turnover Ratio






