ScoreWhy is DCM Shriram Ltd. ?
1
High Management Efficiency with a high ROCE of 18.90%
2
Company has a low Debt to Equity ratio (avg) at 0.04 times
3
Poor long term growth as Net Sales has grown by an annual rate of 9.62% and Operating profit at 6.22% over the last 5 years
4
Flat results in Sep 25
- DEBT-EQUITY RATIO(HY) Highest at 1.31 times
- DEBTORS TURNOVER RATIO(HY) Lowest at 1.27 times
- NON-OPERATING INCOME(Q) is 40.20 % of Profit Before Tax (PBT)
5
With ROCE of 13.1, it has a Fair valuation with a 2.5 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 8.70%, its profits have risen by 36.6% ; the PEG ratio of the company is 0.7
6
Majority shareholders : Promoters
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to DCM Shriram should be less than 10%
- Overall Portfolio exposure to Diversified should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Diversified)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is DCM Shriram for you?
High Risk, Medium Return
Absolute
Risk Adjusted
Volatility
DCM Shriram
8.7%
0.23
37.60%
Sensex
4.83%
0.41
11.83%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
9.62%
EBIT Growth (5y)
6.22%
EBIT to Interest (avg)
12.88
Debt to EBITDA (avg)
1.39
Net Debt to Equity (avg)
0.12
Sales to Capital Employed (avg)
1.37
Tax Ratio
33.39%
Dividend Payout Ratio
23.35%
Pledged Shares
0
Institutional Holding
12.24%
ROCE (avg)
18.08%
ROE (avg)
12.70%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
27
Industry P/E
78
Price to Book Value
2.63
EV to EBIT
18.77
EV to EBITDA
13.15
EV to Capital Employed
2.46
EV to Sales
1.56
PEG Ratio
0.73
Dividend Yield
0.87%
ROCE (Latest)
13.11%
ROE (Latest)
9.86%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Bullish
Moving Averages
Bullish (Daily)
KST
Bearish
Bullish
Dow Theory
No Trend
No Trend
OBV
Mildly Bullish
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend7What is working for the Company
PAT(Latest six months)
At Rs 271.42 cr has Grown at 66.29%
CASH AND CASH EQUIVALENTS(HY)
Highest at Rs 13,127.90 cr
-5What is not working for the Company
DEBT-EQUITY RATIO(HY)
Highest at 1.31 times
DEBTORS TURNOVER RATIO(HY)
Lowest at 1.27 times
NON-OPERATING INCOME(Q)
is 40.20 % of Profit Before Tax (PBT
Loading Valuation Snapshot...
Here's what is working for DCM Shriram
Profit After Tax (PAT) - Latest six months
At Rs 271.42 cr has Grown at 66.29%
Year on Year (YoY)MOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Cash and Cash Equivalents - Half Yearly
Highest at Rs 13,127.90 cr
in the last six half yearly periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Here's what is not working for DCM Shriram
Debt-Equity Ratio - Half Yearly
Highest at 1.31 times and Grown
each half year in the last five half yearly periodsMOJO 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 1.27 times and Fallen
each half year in the last five half yearly periodsMOJO Watch
Company's pace of settling its Debtors has slowed
Debtors Turnover Ratio
Non Operating Income - Quarterly
is 40.20 % of Profit Before Tax (PBT)
MOJO Watch
The company's income from non business activities is high; which is not a sustainable business model
Non Operating Income to PBT
Non Operating Income - Quarterly
Highest at Rs 98.83 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
GET THE MARKETSMOJO APP
Company
Stocks
Portfolio
"Investment in securities markets are subject to market risk. Read all the related documents carefully before investing."
