Why is Dredging Corporation of India Ltd ?
1
Weak Long Term Fundamental Strength with an average Return on Capital Employed (ROCE) of 1.70%
- Poor long term growth as Net Sales has grown by an annual rate of 8.88% and Operating profit at 19.32% over the last 5 years
- Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of -0.81
2
The company has declared Negative results for the last 3 consecutive quarters
- PBT LESS OI(Q) At Rs -26.08 cr has Fallen at -191.2% (vs previous 4Q average)
- PAT(Q) At Rs -24.63 cr has Fallen at -521.3% (vs previous 4Q average)
- INTEREST(9M) At Rs 65.02 cr has Grown at 39.95%
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 Miscellaneous)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Dredging Corpn. for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Dredging Corpn.
48.38%
0.80
60.39%
Sensex
7.97%
0.69
11.53%
Quality key factors
Factor
Value
Sales Growth (5y)
8.88%
EBIT Growth (5y)
19.32%
EBIT to Interest (avg)
-0.81
Debt to EBITDA (avg)
3.16
Net Debt to Equity (avg)
0.88
Sales to Capital Employed (avg)
0.55
Tax Ratio
1.67%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
8.75%
ROCE (avg)
-0.42%
ROE (avg)
1.03%
Valuation Key Factors 
Factor
Value
P/E Ratio
NA (Loss Making)
Industry P/E
10
Price to Book Value
2.57
EV to EBIT
203.82
EV to EBITDA
21.53
EV to Capital Employed
1.83
EV to Sales
3.27
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
0.90%
ROE (Latest)
-5.12%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Mildly Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Mildly Bearish
Dow Theory
No Trend
No Trend
OBV
No Trend
No Trend
Technical Movement
0What is working for the Company
NO KEY POSITIVE TRIGGERS
-12What is not working for the Company
PBT LESS OI(Q)
At Rs -26.08 cr has Fallen at -191.2% (vs previous 4Q average
PAT(Q)
At Rs -24.63 cr has Fallen at -521.3% (vs previous 4Q average
INTEREST(9M)
At Rs 65.02 cr has Grown at 39.95%
NET SALES(Q)
At Rs 276.08 cr has Fallen at -11.0% (vs previous 4Q average
DEBT-EQUITY RATIO(HY)
Highest at 0.95 times
Loading Valuation Snapshot...
Here's what is not working for Dredging Corpn.
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs -26.08 cr has Fallen at -191.2% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs -8.96 CrMOJO Watch
Near term PBT trend is very negative
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs -24.63 cr has Fallen at -521.3% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs -3.96 CrMOJO Watch
Near term PAT trend is very negative
PAT (Rs Cr)
Net Sales - Quarterly
At Rs 276.08 cr has Fallen at -11.0% (vs previous 4Q average)
over average Net Sales of the previous four quarters of Rs 310.22 CrMOJO Watch
Near term sales trend is very negative
Net Sales (Rs Cr)
Interest - Nine Monthly
At Rs 65.02 cr has Grown at 39.95%
over preceding nine months periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (Rs cr)
Debt-Equity Ratio - Half Yearly
Highest at 0.95 times
in the last five half yearly periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio






