DCM Shriram Industries Ltd (DCMSRIND) 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

Dwarikesh Sugar

Mawana Sugars

KM Sugar Mills

Dhampur Bio

Magadh Sugar

Ponni Sug.Erode

KCP Sugar &Inds.

DCM Shriram Inds

Ugar Sugar Works

Zuari Industries

Davangere Sugar

Why is DCM Shriram Industries Ltd ?

Poor long term growth as Net Sales has grown by an annual rate of 2.70% and Operating profit at 6.17% over the last 5 years

With a fall in PBT of -5.4%, the company declared Very Negative results in Sep 25

The company has declared negative results for the last 3 consecutive quarters
PAT(Q) At Rs -3.12 cr has Fallen at -114.3% (vs previous 4Q average)
INTEREST(Latest six months) At Rs 18.58 cr has Grown at 24.03%
ROCE(HY) Lowest at 1.07%

Underperformed the market in the last 1 year

Even though the market (BSE500) generated negative returns of -0.34% in the last 1 year, its fall in the stock was much higher with a return of -36.53%

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 Sugar)

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

Is DCM Shriram Inds for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

DCM Shriram Inds

-36.53%

-0.15

243.32%

Sensex

-3.52%

-0.27

12.93%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

2.70%

EBIT Growth (5y)

6.17%

EBIT to Interest (avg)

3.62

Debt to EBITDA (avg)

2.74

Net Debt to Equity (avg)

0.21

Sales to Capital Employed (avg)

1.76

Tax Ratio

36.70%

Dividend Payout Ratio

17.15%

Pledged Shares

Institutional Holding

14.32%

ROCE (avg)

11.97%

ROE (avg)

10.10%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

0.47

EV to EBIT

6.04

EV to EBITDA

4.33

EV to Capital Employed

0.56

EV to Sales

0.31

PEG Ratio

0.08

Dividend Yield

4.04%

ROCE (Latest)

9.36%

ROE (Latest)

6.68%

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

Bearish

Bullish

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

No Trend

Mildly Bearish

OBV

No Trend

Mildly Bearish

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

1What is working for the Company

DEBT-EQUITY RATIO(HY)

Lowest at 0.33 times

-22What is not working for the Company

PAT(Q)

At Rs -3.12 cr has Fallen at -114.3% (vs previous 4Q average

INTEREST(Latest six months)

At Rs 18.58 cr has Grown at 24.03%

ROCE(HY)

Lowest at 1.07%

OPERATING PROFIT TO INTEREST (Q)

Lowest at 1.20 times

PBDIT(Q)

Lowest at Rs 9.57 cr.

OPERATING PROFIT TO NET SALES (Q)

Lowest at 1.82%

PBT LESS OI(Q)

Lowest at Rs -8.55 cr.

EPS(Q)

Lowest at Rs -0.36

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Here's what is working for DCM Shriram Inds

Debt-Equity Ratio - Half Yearly

Lowest at 0.33 times

in the last five half yearly periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Here's what is not working for DCM Shriram Inds

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs -8.55 cr has Fallen at -132.2% (vs previous 4Q average)

over average PBT of the previous four quarters of Rs 26.54 Cr

MOJO Watch

Near term PBT trend is very negative

PBT less Other Income (Rs Cr)

Profit After Tax (PAT) - Quarterly

At Rs -3.12 cr has Fallen at -114.3% (vs previous 4Q average)

over average PAT of the previous four quarters of Rs 21.75 Cr

MOJO Watch

Near term PAT trend is very negative

PAT (Rs Cr)

Operating Profit to Interest - Quarterly

Lowest at 1.20 times

in the last five quarters

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Interest - Latest six months

At Rs 18.58 cr has Grown at 24.03%

over previous Half yearly period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (Rs cr)

Operating Profit (PBDIT) - Quarterly

Lowest at Rs 9.57 cr.

in the last five quarters

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (Rs Cr)

Operating Profit Margin - Quarterly

Lowest at 1.82%

in the last five quarters

MOJO Watch

Company's efficiency has deteriorated

Operating Profit to Sales

Profit Before Tax less Other Income (PBT) - Quarterly

Lowest at Rs -8.55 cr.

in the last five quarters

MOJO Watch

Near term PBT trend is negative

PBT less Other Income (Rs Cr)

Earnings per Share (EPS) - Quarterly

Lowest at Rs -0.36

in the last five quarters

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (Rs)