ScoreWhy is eClerx Services Ltd ?
1
High Management Efficiency with a high ROE of 25.80%
2
The company is Net-Debt Free
3
Poor long term growth as Operating profit has grown by an annual rate 16.68% of over the last 5 years
4
Flat results in Jun 26
- INTEREST(Q) At Rs 14.88 cr has Grown at 26.75%
- OPERATING PROFIT TO INTEREST (Q) Lowest at 17.83 times
- PAT(Q) At Rs 164.34 cr has Fallen at -6.9% (vs previous 4Q average)
5
With ROE of 27.6, it has a Expensive valuation with a 7.4 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 -9.21%, its profits have risen by 27.6% ; the PEG ratio of the company is 0.8
6
High Institutional Holdings at 34.86%
- These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
7
Underperformed the market in the last 1 year
- Even though the market (BSE500) has generated returns of 1.67% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -9.21% returns
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to eClerx Services should be less than 10%
- Overall Portfolio exposure to Commercial Services & Supplies should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Commercial Services & Supplies)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is eClerx Services for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
eClerx Services
-9.57%
-0.21
46.10%
Sensex
-4.72%
-0.34
13.39%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
20.39%
EBIT Growth (5y)
16.68%
EBIT to Interest (avg)
23.83
Debt to EBITDA (avg)
0.33
Net Debt to Equity (avg)
-0.26
Sales to Capital Employed (avg)
1.25
Tax Ratio
24.49%
Dividend Payout Ratio
1.30%
Pledged Shares
0
Institutional Holding
34.86%
ROCE (avg)
47.43%
ROE (avg)
25.80%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
26
Industry P/E
25
Price to Book Value
7.35
EV to EBIT
20.03
EV to EBITDA
16.59
EV to Capital Employed
9.53
EV to Sales
4.20
PEG Ratio
0.78
Dividend Yield
0.05%
ROCE (Latest)
46.09%
ROE (Latest)
27.57%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Mildly Bearish (Daily)
KST
Bullish
Mildly Bearish
Dow Theory
Mildly Bullish
No Trend
OBV
Mildly Bullish
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend12What is working for the Company
PAT(Latest six months)
At Rs 353.70 cr has Grown at 20.37%
ROCE(HY)
Highest at 33.17%
NET SALES(Q)
Highest at Rs 1,152.36 cr
-8What is not working for the Company
INTEREST(Q)
At Rs 14.88 cr has Grown at 26.75%
OPERATING PROFIT TO INTEREST (Q)
Lowest at 17.83 times
PAT(Q)
At Rs 164.34 cr has Fallen at -6.9% (vs previous 4Q average
Loading Valuation Snapshot...
Here's what is working for eClerx Services
Net Sales - Quarterly
Highest at Rs 1,152.36 cr and Grown
each quarter in the last five quartersMOJO Watch
Near term sales trend is very positive
Net Sales (Rs Cr)
Here's what is not working for eClerx Services
Interest - Quarterly
At Rs 14.88 cr has Grown at 26.75%
Quarter on Quarter (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (Rs cr)
Operating Profit to Interest - Quarterly
Lowest at 17.83 times
in the last five quartersMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Interest - Quarterly
Highest at Rs 14.88 cr
in the last five quarters and Increased by 26.75 % (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (Rs cr)
Profit After Tax (PAT) - Quarterly
At Rs 164.34 cr has Fallen at -6.9% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 176.55 CrMOJO Watch
Near term PAT trend is negative
PAT (Rs Cr)
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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