Dhunseri Ventures Ltd (DVL) 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

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TTK Healthcare

Sindhu Trade

Krypton Industri

Dhunseri Vent.

Swan Corp

KCK Industries

Why is Dhunseri Ventures Ltd ?

Poor long term growth as Operating profit has grown by an annual rate -201.10% of over the last 5 years

The company has declared Negative results for the last 5 consecutive quarters

PAT(9M) At Rs 17.38 cr has Grown at -71.85%
NET SALES(Q) At Rs 70.96 cr has Fallen at -36.7% (vs previous 4Q average)
DEBTORS TURNOVER RATIO(HY) Lowest at 26.23 times

Risky - Negative EBITDA

The company has recorded a negative EBITDA of Rs. -60.5 cr
Over the past year, while the stock has generated a return of -27.39%, its profits have fallen by -32.7%
The stock is trading risky as compared to its average historical valuations

Despite the size of the company, domestic mutual funds hold only 0.01% 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

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -27.39% returns in the last 1 year, the stock has also underperformed BSE500 in each of the last 3 annual periods

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 Diversified)

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

Is Dhunseri Vent. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Dhunseri Vent.

-27.39%

-0.69

39.42%

Sensex

-7.92%

-0.61

13.09%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

16.21%

EBIT Growth (5y)

-201.10%

EBIT to Interest (avg)

2.30

Debt to EBITDA (avg)

37.64

Net Debt to Equity (avg)

0.04

Sales to Capital Employed (avg)

0.12

Tax Ratio

22.32%

Dividend Payout Ratio

12.15%

Pledged Shares

Institutional Holding

2.31%

ROCE (avg)

2.44%

ROE (avg)

10.00%

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

0.25

EV to EBIT

-10.66

EV to EBITDA

-15.83

EV to Capital Employed

0.28

EV to Sales

2.49

PEG Ratio

Dividend Yield

3.59%

ROCE (Latest)

-2.63%

ROE (Latest)

2.70%

Loading Valuation Snapshot...

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bearish

RSI

No Signal

Bollinger Bands

Sideways

Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bullish

Bearish

Dow Theory

Mildly Bullish

No Trend

OBV

Mildly Bearish

Mildly Bullish

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

10What is working for the Company

PBT LESS OI(Q)

At Rs 4.26 cr has Grown at 116.6% (vs previous 4Q average

PAT(Q)

At Rs 24.36 cr has Grown at 581.9% (vs previous 4Q average

-22What is not working for the Company

PAT(9M)

At Rs 17.38 cr has Grown at -71.85%

NET SALES(Q)

At Rs 70.96 cr has Fallen at -36.7% (vs previous 4Q average

DEBTORS TURNOVER RATIO(HY)

Lowest at 26.23 times

INTEREST(Q)

At Rs 14.78 cr has Grown at 51.43%

CASH AND CASH EQUIVALENTS(HY)

Lowest at Rs 109.70 cr

DEBT-EQUITY RATIO(HY)

Highest at 0.29 times

NON-OPERATING INCOME(Q)

is 83.62 % of Profit Before Tax (PBT

Loading Valuation Snapshot...

Here's what is working for Dhunseri Vent.

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs 4.26 cr has Grown at 116.6% (vs previous 4Q average)

over average PBT of the previous four quarters of Rs -25.60 Cr

MOJO Watch

Near term PBT trend is very positive

PBT less Other Income (Rs Cr)

Profit After Tax (PAT) - Quarterly

At Rs 24.36 cr has Grown at 581.9% (vs previous 4Q average)

over average PAT of the previous four quarters of Rs -5.06 Cr

MOJO Watch

Near term PAT trend is very positive

PAT (Rs Cr)

Here's what is not working for Dhunseri Vent.

Net Sales - Quarterly

At Rs 70.96 cr has Fallen at -36.7% (vs previous 4Q average)

over average Net Sales of the previous four quarters of Rs 112.13 Cr

MOJO Watch

Near term sales trend is very negative

Net Sales (Rs Cr)

Interest - Quarterly

At Rs 14.78 cr has Grown at 51.43%

Quarter on Quarter (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (Rs cr)

Debtors Turnover Ratio- Half Yearly

Lowest at 26.23 times and Fallen

each half year in the last five half yearly periods

MOJO Watch

Company's pace of settling its Debtors has slowed

Debtors Turnover Ratio

Non Operating Income - Quarterly

is 83.62 % 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

Cash and Cash Equivalents - Half Yearly

Lowest at Rs 109.70 cr

in the last six half yearly periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debt-Equity Ratio - Half Yearly

Highest at 0.29 times

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