ScoreWhy is Essar Shipping Ltd ?
1
With a Negative Book Value, the company has a Weak Long Term Fundamental Strength
- Low ability to service debt as the company has a high Debt to EBITDA ratio of 9.32 times
- The company has reported losses and also has negative networth. This is not a good sign for the investors. Either company will have to raise fresh capital or report profits to sustain going forward
2
Negative results in Dec 25
- PBT LESS OI(Q) At Rs -37.77 cr has Fallen at -21.8% (vs previous 4Q average)
- CASH AND CASH EQUIVALENTS(HY) Lowest at Rs 5.26 cr
- DEBTORS TURNOVER RATIO(HY) Lowest at -9.93 times
3
Risky - Negative EBITDA
- The stock is trading risky as compared to its average historical valuations
- Over the past year, while the stock has generated a return of -8.58%, its profits have fallen by -230.9%
4
Despite the size of the company, domestic mutual funds hold only 0.03% 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 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 Transport Services)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Essar Shipping for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Essar Shipping
-8.58%
-0.15
57.81%
Sensex
-2.38%
-0.19
12.70%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
-174.56%
EBIT Growth (5y)
10.35%
EBIT to Interest (avg)
-0.16
Debt to EBITDA (avg)
Negative Net Debt
Net Debt to Equity (avg)
-0.69
Sales to Capital Employed (avg)
-0.57
Tax Ratio
0.89%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0.03%
ROCE (avg)
22.74%
ROE (avg)
0
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
NA (Loss Making)
Industry P/E
10
Price to Book Value
-0.21
EV to EBIT
-48.90
EV to EBITDA
-49.79
EV to Capital Employed
-2.91
EV to Sales
-15.06
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
Negative Capital Employed
ROE (Latest)
Negative BV
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Mildly Bearish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
Mildly Bullish
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend0What is working for the Company
NO KEY POSITIVE TRIGGERS
-7What is not working for the Company
PBT LESS OI(Q)
At Rs -37.77 cr has Fallen at -21.8% (vs previous 4Q average
CASH AND CASH EQUIVALENTS(HY)
Lowest at Rs 5.26 cr
DEBTORS TURNOVER RATIO(HY)
Lowest at -9.93 times
EPS(Q)
Lowest at Rs -4.26
Loading Valuation Snapshot...
Here's what is not working for Essar Shipping
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs -37.77 cr has Fallen at -21.8% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs -31.01 CrMOJO Watch
Near term PBT trend is very negative
PBT less Other Income (Rs Cr)
Earnings per Share (EPS) - Quarterly
Lowest at Rs -4.26
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 5.26 cr
in the last six half yearly periodsMOJO Watch
Short Term liquidity is deteriorating
Cash and Cash Equivalents
Debtors Turnover Ratio- Half Yearly
Lowest at -9.93 times
in the last five half yearly periodsMOJO Watch
Company's pace of settling its Debtors has slowed
Debtors Turnover Ratio
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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