ScoreWhy is Diamond Power Infrastructure Ltd ?
1
With a Negative Book Value, the company has a Weak Long Term Fundamental Strength
- Poor long term growth as Net Sales has grown by an annual rate of 3.35% and Operating profit at -221.64% over the last 5 years
- The company has a negative book value of Rs 604.20 crore
- The company has been able to generate a Return on Equity (avg) of 2.97% signifying low profitability per unit of shareholders funds
2
With a growth in Net Sales of 46.78%, the company declared Very Positive results in Mar 26
- The company has declared positive results for the last 10 consecutive quarters
- ROCE(HY) Highest at 10.40%
- PBDIT(Q) Highest at Rs 77.68 cr.
- PBT LESS OI(Q) Highest at Rs 55.16 cr.
3
Risky - Negative Book Value
- The company has a negative book value of Rs. -604.2 cr
- Over the past year, while the stock has generated a return of 114.64%, its profits have risen by 323.8% ; the PEG ratio of the company is 0.2
- The stock is trading risky as compared to its average historical valuations
4
Despite the size of the company, domestic mutual funds hold only 0.3% 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
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Diamond Power should be less than 10%
- Overall Portfolio exposure to Other Electrical Equipment should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Other Electrical Equipment)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Diamond Power for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Diamond Power
114.04%
2.56
44.76%
Sensex
-5.98%
-0.45
13.24%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
3.35%
EBIT Growth (5y)
18.10%
EBIT to Interest (avg)
-4.68
Debt to EBITDA (avg)
3.70
Net Debt to Equity (avg)
-4.03
Sales to Capital Employed (avg)
-1.38
Tax Ratio
3.01%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0.43%
ROCE (avg)
-14.57%
ROE (avg)
2.97%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
67
Industry P/E
48
Price to Book Value
-17.57
EV to EBIT
67.65
EV to EBITDA
58.36
EV to Capital Employed
7.14
EV to Sales
6.83
PEG Ratio
0.21
Dividend Yield
NA
ROCE (Latest)
10.55%
ROE (Latest)
Negative BV
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
Bearish
No Signal
Bollinger Bands
Mildly Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Mildly Bearish
Dow Theory
Bullish
Bullish
OBV
No Trend
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend39What is working for the Company
ROCE(HY)
Highest at 10.40%
PBDIT(Q)
Highest at Rs 77.68 cr.
PBT LESS OI(Q)
Highest at Rs 55.16 cr.
PAT(Q)
Highest at Rs 60.61 cr.
DEBT-EQUITY RATIO(HY)
Lowest at -4.20 times
NET SALES(Q)
Highest at Rs 695.87 cr
EPS(Q)
Highest at Rs 1.15
-14What is not working for the Company
DEBTORS TURNOVER RATIO(HY)
Lowest at 4.11 times
INTEREST(Q)
Highest at Rs 14.36 cr
Loading Valuation Snapshot...
Here's what is working for Diamond Power
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 55.16 cr has Grown at 107.8% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs 26.55 CrMOJO Watch
Near term PBT trend is very positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 60.61 cr has Grown at 130.4% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 26.31 CrMOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Net Sales - Quarterly
At Rs 695.87 cr has Grown at 79.8% (vs previous 4Q average)
over average Net Sales of the previous four quarters of Rs 387.01 CrMOJO Watch
Near term sales trend is very positive
Net Sales (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Highest at Rs 77.68 cr. and Grown
each quarter in the last five quartersMOJO Watch
Near term Operating Profit trend is quite positive
Operating Profit (Rs Cr)
Profit Before Tax less Other Income (PBT) - Quarterly
Highest at Rs 55.16 cr. and Grown
each quarter in the last five quartersMOJO Watch
Near term PBT trend is very positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
Highest at Rs 60.61 cr. and Grown
each quarter in the last five quartersMOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Net Sales - Quarterly
Highest at Rs 695.87 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs 1.15
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)
Debt-Equity Ratio - Half Yearly
Lowest at -4.20 times
in the last five half yearly periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Here's what is not working for Diamond Power
Interest - Quarterly
At Rs 14.36 cr has Grown at 29.37%
Quarter on Quarter (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (Rs cr)
Interest - Quarterly
Highest at Rs 14.36 cr
in the last five quarters and Increased by 29.37 % (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (Rs cr)
Debtors Turnover Ratio- Half Yearly
Lowest at 4.11 times
in the last five half yearly periodsMOJO Watch
Company's pace of settling its Debtors has slowed
Debtors Turnover Ratio
Non Operating Income - Quarterly
Highest at Rs 7.04 cr
in the last five quartersMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating Income
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