ScoreWhy is Fairchem Organics Ltd ?
1
Poor long term growth as Operating profit has grown by an annual rate -24.13% of over the last 5 years
2
The company has declared Negative results for the last 5 consecutive quarters
- PAT(9M) At Rs 2.53 cr has Grown at -91.46%
- INVENTORY TURNOVER RATIO(HY) Lowest at 0.54 times
- NET SALES(Q) Lowest at Rs 111.52 cr
3
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
4
Consistent Underperformance against the benchmark over the last 3 years
- Along with generating -17.54% returns in the last 1 year, the stock has also underperformed BSE500 in each of the last 3 annual periods
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 Specialty Chemicals)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Fairchem Organic for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Fairchem Organic
-17.28%
-0.32
54.61%
Sensex
4.83%
0.41
11.83%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
9.74%
EBIT Growth (5y)
-24.13%
EBIT to Interest (avg)
10.97
Debt to EBITDA (avg)
0.94
Net Debt to Equity (avg)
0.18
Sales to Capital Employed (avg)
1.83
Tax Ratio
29.78%
Dividend Payout Ratio
24.11%
Pledged Shares
0
Institutional Holding
11.95%
ROCE (avg)
18.04%
ROE (avg)
12.75%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
148
Industry P/E
40
Price to Book Value
3.05
EV to EBIT
87.69
EV to EBITDA
43.85
EV to Capital Employed
2.74
EV to Sales
1.99
PEG Ratio
NA
Dividend Yield
1.09%
ROCE (Latest)
3.12%
ROE (Latest)
2.06%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Mildly Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Bearish
Dow Theory
Mildly Bearish
No Trend
OBV
No Trend
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend0What is working for the Company
NO KEY POSITIVE TRIGGERS
-19What is not working for the Company
PAT(9M)
At Rs 2.53 cr has Grown at -91.46%
INVENTORY TURNOVER RATIO(HY)
Lowest at 0.54 times
NET SALES(Q)
Lowest at Rs 111.52 cr
PBDIT(Q)
Lowest at Rs 4.19 cr.
PBT LESS OI(Q)
Lowest at Rs 0.81 cr.
Loading Valuation Snapshot...
Here's what is not working for Fairchem Organic
Profit After Tax (PAT) - Latest six months
At Rs 1.94 cr has Grown at -89.14%
Year on Year (YoY)MOJO Watch
Near term PAT trend is very negative
PAT (Rs Cr)
Net Sales - Quarterly
At Rs 111.52 cr has Fallen at -11.5% (vs previous 4Q average)
over average Net Sales of the previous four quarters of Rs 126.01 CrMOJO Watch
Near term sales trend is very negative
Net Sales (Rs Cr)
Inventory Turnover Ratio- Half Yearly
Lowest at 0.54 times and Fallen
each half year in the last five half yearly periodsMOJO Watch
Company's pace of selling inventory has slowed
Inventory Turnover Ratio
Net Sales - Quarterly
Lowest at Rs 111.52 cr
in the last five quartersMOJO Watch
Near term sales trend is negative
Net Sales (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Lowest at Rs 4.19 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is negative
Operating Profit (Rs Cr)
Profit Before Tax less Other Income (PBT) - Quarterly
Lowest at Rs 0.81 cr.
in the last five quartersMOJO Watch
Near term PBT trend is negative
PBT less Other Income (Rs Cr)
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