Deccan Cements

  • Market Cap: Small Cap
  • Industry: Cement & Cement Products
  • ISIN: INE583C01021
  • NSEID: DECCANCE
  • BSEID: 502137
INR
636.50
-22.15 (-3.36%)
BSENSE

Jan 19

BSE+NSE Vol: 19.3 k

  • Price Points
  • Score
  • Mojo Parameters
  • Total Return
  • News and Corporate Actions
  • Key factors
  • Shareholding
  • Financials
  • CompanyCV
stock-recommendationScore
Click here to find our call on this stock
Strong Sell
Sell
Hold
Buy
Strong Buy

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Comparison

Company
Score
Quality
Valuation
Financial
Technical
Sh. Digvijay Cem
NCL Industries
Mangalam Cement
Visaka Industrie
Deccan Cements
BIGBLOC Const.
Saurashtra Cem.
KCP
Shiva Cement
Sanghi Industrie
Andhra Cements

Why is Deccan Cements Ltd. ?

1
Poor long term growth as Net Sales has grown by an annual rate of -1.84% and Operating profit at -13.89% over the last 5 years
2
Despite the size of the company, domestic mutual funds hold only 0.14% 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
3
Below par performance in long term as well as near term
  • Along with generating -10.68% returns in the last 1 year, the stock has also underperformed BSE500 in the last 3 years, 1 year and 3 months
stock-recommendationReal-Time Research Report

Verdict Report

How much should you sell?

  1. 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 Cement & Cement Products)

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

Is Deccan Cements for you?

High Risk, Low Return

Absolute
Risk Adjusted
Volatility
Deccan Cements
-10.68%
-0.21
51.12%
Sensex
8.65%
0.76
11.31%
stock-recommendationQuality
stock-summaryManagement Risk
stock-summaryGrowth
stock-summaryCapital Structure
stock-recommendation
Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor
Value
Sales Growth (5y)
-1.84%
EBIT Growth (5y)
-13.89%
EBIT to Interest (avg)
7.17
Debt to EBITDA (avg)
5.73
Net Debt to Equity (avg)
0.85
Sales to Capital Employed (avg)
0.75
Tax Ratio
25.94%
Dividend Payout Ratio
11.28%
Pledged Shares
0
Institutional Holding
10.83%
ROCE (avg)
14.06%
ROE (avg)
8.77%
stock-recommendationValuation

Valuation Scorecard stock-summary

stock-recommendation
Valuation grade scale :

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

Valuation Key Factors stock-summary

Factor
Value
P/E Ratio
27
Industry P/E
37
Price to Book Value
1.20
EV to EBIT
35.82
EV to EBITDA
21.79
EV to Capital Employed
1.11
EV to Sales
2.90
PEG Ratio
1.35
Dividend Yield
0.09%
ROCE (Latest)
3.09%
ROE (Latest)
4.45%
Loading Valuation Snapshot...
stock-recommendationTechnicals

Technical key factors

Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bearish
RSI
Bullish
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Bullish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
No Trend
No Trend
stock-recommendation Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish  Turned 
Technical Movement
stock-recommendationFinancial Trend

Financial Trend Scorecard stock-summary

stock-recommendation
Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

17What is working for the Company
PBT LESS OI(Q)

At Rs 10.14 cr has Grown at 221.58%

PAT(Q)

At Rs 9.07 cr has Grown at 324.0%

-6What is not working for the Company
NET SALES(9M)

At Rs 409.79 cr has Grown at -20.56%

DEBT-EQUITY RATIO(HY)

Highest at 1.02 times

CASH AND CASH EQUIVALENTS(HY)

Lowest at Rs 128.37 cr

DEBTORS TURNOVER RATIO(HY)

Lowest at 8.05 times

Loading Valuation Snapshot...

Here's what is working for Deccan Cements

Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 10.14 cr has Grown at 221.58%
Year on Year (YoY)
MOJO Watch
Near term PBT trend is very positive

PBT less Other Income (Rs Cr)

Profit After Tax (PAT) - Quarterly
At Rs 9.07 cr has Grown at 324.0%
Year on Year (YoY)
MOJO Watch
Near term PAT trend is very positive

PAT (Rs Cr)

Here's what is not working for Deccan Cements

Debt-Equity Ratio - Half Yearly
Highest at 1.02 times and Grown
each half year in the last five half yearly periods
MOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Net Sales - Nine Monthly
At Rs 409.79 cr has Grown at -20.56%
Year on Year (YoY)
MOJO Watch
Near term sales trend is negative

Net Sales (Rs Cr)

Cash and Cash Equivalents - Half Yearly
Lowest at Rs 128.37 cr
in the last six half yearly periods
MOJO Watch
Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debtors Turnover Ratio- Half Yearly
Lowest at 8.05 times
in the last five half yearly periods
MOJO Watch
Company's pace of settling its Debtors has slowed

Debtors Turnover Ratio