ScoreWhy is Diesel & Motor Engineering Plc ?
1
With a growth in Net Profit of 62.13%, the company declared Very Positive results in Mar 26
- The company has declared positive results for the last 4 consecutive quarters
- PRE-TAX PROFIT(Q) At LKR 451 MM has Grown at 459.98%
- ROCE(HY) Highest at 10.14%
- NET SALES(Q) Highest at LKR 30,434.19 MM
2
With ROE of 9.40%, it has a very attractive valuation with a 0.83 Price to Book Value
- The stock is trading at a premium compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 11.80%, its profits have risen by 218% ; the PEG ratio of the company is 0
Real-Time Research ReportHow much should you buy?
- Overall Portfolio exposure to Diesel & Motor Engineering Plc should be less than 10%
- Overall Portfolio exposure to Retailing should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Retailing)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Diesel & Motor Engineering Plc for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Diesel & Motor Engineering Plc
11.8%
2.15
58.85%
Sri Lanka CSE All Share
11.95%
0.72
16.49%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
27.45%
EBIT Growth (5y)
30.58%
EBIT to Interest (avg)
0.95
Debt to EBITDA (avg)
8.87
Net Debt to Equity (avg)
1.67
Sales to Capital Employed (avg)
1.20
Tax Ratio
24.51%
Dividend Payout Ratio
29.01%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
10.07%
ROE (avg)
2.95%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
9
Industry P/E
Price to Book Value
0.83
EV to EBIT
12.05
EV to EBITDA
9.97
EV to Capital Employed
0.95
EV to Sales
0.56
PEG Ratio
0.04
Dividend Yield
0.01%
ROCE (Latest)
7.91%
ROE (Latest)
9.40%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Mildly Bullish
Mildly Bearish
Dow Theory
Mildly Bearish
No Trend
OBV
No Trend
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend31What is working for the Company
PRE-TAX PROFIT(Q)
At LKR 451 MM has Grown at 459.98%
ROCE(HY)
Highest at 10.14%
NET SALES(Q)
Highest at LKR 30,434.19 MM
DIVIDEND PAYOUT RATIO(Y)
Highest at 70.88%
INVENTORY TURNOVER RATIO(HY)
Highest at 4.47 times
DEBTORS TURNOVER RATIO(HY)
Highest at 5.35 times
DIVIDEND PER SHARE(HY)
Highest at LKR 5.35
NET PROFIT(Q)
Highest at LKR 520.97 MM
EPS(Q)
Highest at LKR 56.43
-6What is not working for the Company
OPERATING CASH FLOW(Y)
Lowest at LKR -14,249.24 MM
DEBT-EQUITY RATIO
(HY)
Highest at 273.75 %
RAW MATERIAL COST(Y)
Grown by 7.77% (YoY
Here's what is working for Diesel & Motor Engineering Plc
Pre-Tax Profit
At LKR 451 MM has Grown at 459.98%
over average net sales of the previous four periods of LKR 80.54 MMMOJO Watch
Near term Pre-Tax Profit trend is very positive
Pre-Tax Profit (LKR MM)
Net Profit
At LKR 520.97 MM has Grown at 794.44%
over average net sales of the previous four periods of LKR 58.25 MMMOJO Watch
Near term Net Profit trend is very positive
Net Profit (LKR MM)
Net Sales
Highest at LKR 30,434.19 MM and Grown
In each period in the last five periodsMOJO Watch
Near term sales trend is very positive
Net Sales (LKR MM)
Net Sales
At LKR 30,434.19 MM has Grown at 39.33%
over average net sales of the previous four periods of LKR 21,842.97 MMMOJO Watch
Near term sales trend is positive
Net Sales (LKR MM)
Net Profit
Highest at LKR 520.97 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (LKR MM)
EPS
Highest at LKR 56.43
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (LKR)
Inventory Turnover Ratio
Highest at 4.47 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Debtors Turnover Ratio
Highest at 5.35 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Dividend per share
Highest at LKR 5.35
in the last five yearsMOJO Watch
Company is distributing higher dividend from profits generated
DPS (LKR)
Dividend Payout Ratio
Highest at 70.88%
in the last five yearsMOJO Watch
Company is distributing higher proportion of profits generated as dividend
DPR (%)
Depreciation
Highest at LKR 337.49 MM
in the last five periodsMOJO Watch
The expenditure on assets done by the company may have gone into operation
Depreciation (LKR MM)
Depreciation
At LKR 337.49 MM has Grown at 33.74%
period on period (QoQ)MOJO Watch
The expenditure on assets done by the company has gone into productive use which should positively reflect in the future sales
Depreciation (LKR MM)
Here's what is not working for Diesel & Motor Engineering Plc
Debt-Equity Ratio
Highest at 273.75 % and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
Operating Cash Flow
Lowest at LKR -14,249.24 MM
in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (LKR MM)
Raw Material Cost
Grown by 7.77% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin
Raw Material Cost as a percentage of Sales
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."
