ScoreWhy is EMS Ltd ?
1
Poor long term growth as Net Sales has grown by an annual rate of -3.86% and Operating profit at -18.78% over the last 5 years
2
With a fall in Operating Profit of -35.74%, the company declared Very Negative results in Mar 26
- The company has declared negative results for the last 3 consecutive quarters
- OPERATING PROFIT TO INTEREST(Q) Lowest at 4.51 times
- ROCE(HY) Lowest at 11.77%
- DEBTORS TURNOVER RATIO(HY) Lowest at 1.89 times
3
With ROE of 8.6, it has a Expensive valuation with a 1.6 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 -48.43%, its profits have fallen by -50.8%
4
Despite the size of the company, domestic mutual funds hold only 0% 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
5
Below par performance in long term as well as near term
- Along with generating -48.43% returns in the last 1 year, the stock has also underperformed BSE500 in the last 3 years, 1 year and 3 months
Real-Time Research ReportHow 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 Other Utilities)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is EMS for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
EMS
-48.54%
-1.01
47.96%
Sensex
-8.79%
-0.67
13.06%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
-3.86%
EBIT Growth (5y)
-18.78%
EBIT to Interest (avg)
30.20
Debt to EBITDA (avg)
0.49
Net Debt to Equity (avg)
0.09
Sales to Capital Employed (avg)
0.84
Tax Ratio
29.41%
Dividend Payout Ratio
0
Pledged Shares
21.95%
Institutional Holding
0.45%
ROCE (avg)
24.96%
ROE (avg)
15.52%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
18
Industry P/E
34
Price to Book Value
1.56
EV to EBIT
13.41
EV to EBITDA
12.44
EV to Capital Employed
1.52
EV to Sales
2.38
PEG Ratio
NA
Dividend Yield
0.50%
ROCE (Latest)
11.31%
ROE (Latest)
8.58%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Dow Theory
Mildly Bearish
Mildly Bullish
OBV
Bullish
Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend0What is working for the Company
NO KEY POSITIVE TRIGGERS
-44What is not working for the Company
OPERATING PROFIT TO INTEREST(Q)
Lowest at 4.51 times
ROCE(HY)
Lowest at 11.77%
DEBTORS TURNOVER RATIO(HY)
Lowest at 1.89 times
PBDIT(Q)
Lowest at Rs 18.31 cr.
OPERATING PROFIT TO NET SALES(Q)
Lowest at 15.20%
PBT LESS OI(Q)
Lowest at Rs 11.70 cr.
PAT(Q)
Lowest at Rs 5.59 cr.
CASH AND CASH EQUIVALENTS(HY)
Lowest at Rs 58.95 cr
NET SALES(Q)
Lowest at Rs 120.50 cr
INTEREST(Q)
Highest at Rs 4.06 cr
EPS(Q)
Lowest at Rs 1.01
Loading Valuation Snapshot...
Here's what is not working for EMS
Net Sales - Quarterly
At Rs 120.50 cr has Fallen at -45.4% (vs previous 4Q average)
over average Net Sales of the previous four quarters of Rs 220.65 CrMOJO Watch
Near term sales trend is very negative
Net Sales (Rs Cr)
Operating Profit to Interest - Quarterly
Lowest at 4.51 times and Fallen
each quarter in the last five quartersMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 11.70 cr has Fallen at -71.7% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs 41.42 CrMOJO Watch
Near term PBT trend is very negative
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 5.59 cr has Fallen at -83.0% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 32.89 CrMOJO Watch
Near term PAT trend is very negative
PAT (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Lowest at Rs 18.31 cr. and Fallen
each quarter in the last five quartersMOJO Watch
Near term Operating Profit trend is quite negative
Operating Profit (Rs Cr)
Operating Profit Margin - Quarterly
Lowest at 15.20% and Fallen
each quarter in the last five quartersMOJO Watch
Company's efficiency has deteriorated
Operating Profit to Sales
Profit Before Tax less Other Income (PBT) - Quarterly
Lowest at Rs 11.70 cr. and Fallen
each quarter in the last five quartersMOJO Watch
Near term PBT trend is very negative
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
Lowest at Rs 5.59 cr. and Fallen
each quarter in the last five quartersMOJO Watch
Near term PAT trend is very negative
PAT (Rs Cr)
Debtors Turnover Ratio- Half Yearly
Lowest at 1.89 times and Fallen
each half year in the last five half yearly periodsMOJO Watch
Company's pace of settling its Debtors has slowed
Debtors Turnover Ratio
Net Sales - Quarterly
Lowest at Rs 120.50 cr
in the last five quartersMOJO Watch
Near term sales trend is negative
Net Sales (Rs Cr)
Interest - Quarterly
Highest at Rs 4.06 cr
in the last five quarters and Increased by 16.67 % (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (Rs cr)
Earnings per Share (EPS) - Quarterly
Lowest at Rs 1.01
in the last five quartersMOJO Watch
Declining profitability; company has created lower earnings for shareholders
EPS (Rs)
Cash and Cash Equivalents - Half Yearly
Lowest at Rs 58.95 cr
in the last six half yearly periodsMOJO Watch
Short Term liquidity is deteriorating
Cash and Cash Equivalents
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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