BGR Energy Systems Ltd (BGRENERGY) 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

Interarch Build.

EPack PrefabTech

Capacit'e Infra.

Patel Engineerin

H.G. Infra Engg.

PSP Projects

BGR Energy Sys.

Bondada Engineer

Anantam Highways

M & B Engineer.

TVS Infra. Trust

Why is BGR Energy Systems Ltd ?

With a Negative Book Value, the company has a Weak Long Term Fundamental Strength

Poor long term growth as Net Sales has grown by an annual rate of -18.23% and Operating profit at -199.49% over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at 2.53 times
The company has been able to generate a Return on Equity (avg) of 0.27% signifying low profitability per unit of shareholders funds

The company has declared Negative results for the last 6 consecutive quarters

NET SALES(9M) At Rs 249.57 cr has Grown at -22.59%
PAT(9M) At Rs -520.20 cr has Grown at -22.59%
ROCE(HY) Lowest at -21.52%

Risky - Negative EBITDA

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of 251.04%, its profits have fallen by -67.8%

58.82% of Promoter Shares are Pledged

In falling markets, high promoter pledged shares puts additional downward pressure on the stock prices

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 Construction)

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

Is BGR Energy Sys. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

BGR Energy Sys.

251.04%

4.64

54.12%

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)

-18.23%

EBIT Growth (5y)

-187.89%

EBIT to Interest (avg)

-0.01

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

-2.04

Sales to Capital Employed (avg)

0.41

Tax Ratio

24.31%

Dividend Payout Ratio

Pledged Shares

58.82%

Institutional Holding

0.05%

ROCE (avg)

-10.91%

ROE (avg)

0.27%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

-1.10

EV to EBIT

-9.16

EV to EBITDA

-9.34

EV to Capital Employed

3.02

EV to Sales

16.01

PEG Ratio

Dividend Yield

ROCE (Latest)

-33.25%

ROE (Latest)

Negative BV

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bullish

Mildly Bearish

OBV

Mildly Bullish

Bullish

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

2What is working for the Company

INVENTORY TURNOVER RATIO(HY)

Highest at 31.97 times

-17What is not working for the Company

NET SALES(9M)

At Rs 249.57 cr has Grown at -22.59%

PAT(9M)

At Rs -520.20 cr has Grown at -22.59%

ROCE(HY)

Lowest at -21.52%

INTEREST(Q)

At Rs 24.09 cr has Grown at 59.96%

OPERATING PROFIT TO INTEREST (Q)

Lowest at -7.78 times

CASH AND CASH EQUIVALENTS(HY)

Lowest at Rs 52.65 cr

DEBT-EQUITY RATIO(HY)

Highest at -2.07 times

DEBTORS TURNOVER RATIO(HY)

Lowest at 0.97 times

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Here's what is working for BGR Energy Sys.

Inventory Turnover Ratio- Half Yearly

Highest at 31.97 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

Here's what is not working for BGR Energy Sys.

Net Sales - Quarterly

At Rs 77.71 cr has Fallen at -15.5% (vs previous 4Q average)

over average Net Sales of the previous four quarters of Rs 92.00 Cr

MOJO Watch

Near term sales trend is very negative

Net Sales (Rs Cr)

Interest - Quarterly

At Rs 24.09 cr has Grown at 59.96%

Quarter on Quarter (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (Rs cr)

Operating Profit to Interest - Quarterly

Lowest at -7.78 times

in the last five quarters

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Profit After Tax (PAT) - Nine Monthly

At Rs -520.20 cr has Grown at -22.59%

Year on Year (YoY)

MOJO Watch

Near term PAT trend is negative

PAT (Rs Cr)

Cash and Cash Equivalents - Half Yearly

Lowest at Rs 52.65 cr

in the last six half yearly periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debt-Equity Ratio - Half Yearly

Highest at -2.07 times

in the last five half yearly periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Debtors Turnover Ratio- Half Yearly

Lowest at 0.97 times

in the last five half yearly periods

MOJO Watch

Company's pace of settling its Debtors has slowed

Debtors Turnover Ratio