ScoreWhy is Credo Brands Marketing Ltd ?
1
High Management Efficiency with a high ROCE of 17.54%
2
Strong ability to service debt as the company has a low Debt to EBITDA ratio of 1.44 times
3
Poor long term growth as Operating profit has grown by an annual rate -9.88% of over the last 5 years
4
Flat results in Mar 26
- PAT(9M) At Rs 42.13 cr has Grown at -28.15%
5
With ROCE of 18.5, it has a Very Attractive valuation with a 1.3 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 -43.77%, its profits have fallen by -29.2%
6
Increasing Participation by Institutional Investors
- Institutional investors have increased their stake by 1.04% over the previous quarter and collectively hold 3.82% of the company
- These investors have better capability and resources to analyse fundamentals of companies than most retail investors
7
Underperformed the market in the last 1 year
- Even though the market (BSE500) generated negative returns of -0.28% in the last 1 year, its fall in the stock was much higher with a return of -43.77%
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Credo Brands should be less than 10%
- Overall Portfolio exposure to Garments & Apparels should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Garments & Apparels)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Credo Brands for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Credo Brands
-43.65%
-1.00
43.81%
Sensex
-6.17%
-0.47
13.26%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
2.16%
EBIT Growth (5y)
-9.88%
EBIT to Interest (avg)
4.23
Debt to EBITDA (avg)
1.46
Net Debt to Equity (avg)
0.47
Sales to Capital Employed (avg)
0.93
Tax Ratio
25.52%
Dividend Payout Ratio
28.64%
Pledged Shares
0
Institutional Holding
3.82%
ROCE (avg)
17.60%
ROE (avg)
17.00%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
9
Industry P/E
77
Price to Book Value
1.47
EV to EBIT
7.14
EV to EBITDA
4.42
EV to Capital Employed
1.32
EV to Sales
1.28
PEG Ratio
NA
Dividend Yield
3.26%
ROCE (Latest)
18.48%
ROE (Latest)
16.67%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Mildly Bearish
Moving Averages
Mildly Bearish (Daily)
KST
Mildly Bullish
Dow Theory
Mildly Bullish
No Trend
OBV
Mildly Bullish
Mildly Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend2What is working for the Company
PBT LESS OI(Q)
At Rs 16.39 cr has Grown at 21.4% (vs previous 4Q average
PAT(Q)
At Rs 15.23 cr has Grown at 29.5% (vs previous 4Q average
-4What is not working for the Company
PAT(9M)
At Rs 42.13 cr has Grown at -28.15%
Loading Valuation Snapshot...
Here's what is working for Credo Brands
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 16.39 cr has Grown at 21.4% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs 13.51 CrMOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 15.23 cr has Grown at 29.5% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 11.76 CrMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Here's what is not working for Credo Brands
Non Operating Income - Quarterly
Highest at Rs 4.22 cr
in the last five quartersMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating Income
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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