ScoreWhy is Bombay Burmah Trading Corporation Ltd ?
1
Strong ability to service debt as the company has a low Debt to EBITDA ratio of 0.28 times
2
Poor long term growth as Net Sales has grown by an annual rate of 7.84% and Operating profit at 7.76% over the last 5 years
3
Flat results in Sep 25
- OPERATING CF(Y) Lowest at Rs -92.18 Cr
- PAT(Q) At Rs 239.69 cr has Fallen at -14.1% (vs previous 4Q average)
4
With ROCE of 42.2, it has a Very Expensive valuation with a 1.9 Enterprise value to Capital Employed
- 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 -21.29%, its profits have fallen by -12.1%
5
Despite the size of the company, domestic mutual funds hold only 1.54% of the company
- Domestic mutual funds have capability to do in-depth on-the-ground research on companies- their small stake may signify either they are not comfortable at the price or the business
6
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 -21.29% returns
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Bombay Burmah should be less than 10%
- Overall Portfolio exposure to FMCG should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in FMCG)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Bombay Burmah for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Bombay Burmah
-21.15%
-0.59
35.84%
Sensex
4.83%
0.41
11.83%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
7.84%
EBIT Growth (5y)
7.76%
EBIT to Interest (avg)
11.60
Debt to EBITDA (avg)
1.56
Net Debt to Equity (avg)
0.13
Sales to Capital Employed (avg)
1.84
Tax Ratio
28.33%
Dividend Payout Ratio
1.22%
Pledged Shares
0
Institutional Holding
10.73%
ROCE (avg)
45.33%
ROE (avg)
9.61%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
12
Industry P/E
23
Price to Book Value
2.07
EV to EBIT
4.62
EV to EBITDA
4.14
EV to Capital Employed
1.95
EV to Sales
0.73
PEG Ratio
NA
Dividend Yield
0.91%
ROCE (Latest)
42.18%
ROE (Latest)
17.62%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bearish
RSI
No Signal
Bullish
Bollinger Bands
Mildly Bearish
Mildly Bearish
Moving Averages
Mildly Bullish (Daily)
KST
Bullish
Mildly Bearish
Dow Theory
Mildly Bearish
Mildly Bullish
OBV
Bullish
Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend5What is working for the Company
DPS(Y)
Highest at Rs 17.00
NET SALES(Q)
Highest at Rs 4,942.83 cr
PBDIT(Q)
Highest at Rs 938.66 cr.
OPERATING PROFIT TO NET SALES(Q)
Highest at 18.99%
PBT LESS OI(Q)
Highest at Rs 806.52 cr.
-5What is not working for the Company
OPERATING CF(Y)
Lowest at Rs -92.18 Cr
PAT(Q)
At Rs 239.69 cr has Fallen at -14.1% (vs previous 4Q average
Loading Valuation Snapshot...
Here's what is working for Bombay Burmah
Net Sales - Quarterly
Highest at Rs 4,942.83 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Highest at Rs 938.66 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (Rs Cr)
Operating Profit Margin - Quarterly
Highest at 18.99%
in the last five quartersMOJO Watch
Company's efficiency has improved
Operating Profit to Sales
Profit Before Tax less Other Income (PBT) - Quarterly
Highest at Rs 806.52 cr.
in the last five quartersMOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Dividend per Share (DPS) - Annually
Highest at Rs 17.00
in the last five yearsMOJO Watch
Company is distributing higher dividend from profits generated
DPS (Rs)
Here's what is not working for Bombay Burmah
Profit After Tax (PAT) - Quarterly
At Rs 239.69 cr has Fallen at -14.1% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 279.07 CrMOJO Watch
Near term PAT trend is very negative
PAT (Rs Cr)
Operating Cash Flow - Annually
Lowest at Rs -92.18 Cr
in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (Rs Cr)
Non Operating Income - Quarterly
Highest at Rs 81.44 cr
in the last five quartersMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating Income
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