ScoreWhy is BITS Ltd ?
1
Weak Long Term Fundamental Strength with an average Return on Equity (ROE) of 3.87%
- Poor long term growth as Net Sales has grown by an annual rate of 13.70% and Operating profit at 13.70% over the last 5 years
- Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of -0.02
2
With ROE of 1.9, it has a Very Expensive valuation with a 5.7 Price to Book Value
- 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 -69.60%, its profits have fallen by -84.3%
3
Underperformed the market in the last 1 year
- Even though the market (BSE500) has generated returns of 2.12% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -69.60% returns
Real-Time Research ReportHow 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 Software Products)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is BITS for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
BITS
-69.6%
-1.16
60.18%
Sensex
4.83%
0.41
11.83%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
13.70%
EBIT Growth (5y)
13.70%
EBIT to Interest (avg)
-0.02
Debt to EBITDA (avg)
Negative Net Debt
Net Debt to Equity (avg)
-0.02
Sales to Capital Employed (avg)
0.04
Tax Ratio
0
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0.07%
ROCE (avg)
-0.09%
ROE (avg)
3.87%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
305
Industry P/E
28
Price to Book Value
5.66
EV to EBIT
115.42
EV to EBITDA
115.42
EV to Capital Employed
5.75
EV to Sales
91.60
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
1.54%
ROE (Latest)
1.86%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Mildly Bullish (Daily)
KST
Bullish
Mildly Bearish
Dow Theory
Mildly Bearish
Mildly Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend8What is working for the Company
OPERATING CF(Y)
Highest at Rs 6.55 Cr
PBDIT(Q)
Highest at Rs 0.15 cr.
PBT LESS OI(Q)
Highest at Rs 0.09 cr.
PAT(Q)
Highest at Rs 0.11 cr.
EPS(Q)
Highest at Rs 0.01
-1What is not working for the Company
DEBTORS TURNOVER RATIO(HY)
Lowest at 0.74 times
Loading Valuation Snapshot...
Here's what is working for BITS
Operating Cash Flow - Annually
Highest at Rs 6.55 Cr and Grown
each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Highest at Rs 0.15 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 0.09 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 0.11 cr.
in the last five quartersMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs 0.01
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)
Here's what is not working for BITS
Debtors Turnover Ratio- Half Yearly
Lowest at 0.74 times
in the last five half yearly periodsMOJO Watch
Company's pace of settling its Debtors has slowed
Debtors Turnover Ratio
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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