Forbes & Company Ltd (FORBESGOK) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Singer India

Sonam

IKIO Tech

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Sharp India

CWD

Elin Electronics

BPL

Forbes & Co

Maruti Interior

Arham Tech

Why is Forbes & Company Ltd ?

Poor long term growth as Net Sales has grown by an annual rate of -51.60% and Operating profit at -39.85% over the last 5 years

With a fall in Net Sales of -3.43%, the company declared Very Negative results in Mar 26

The company has declared negative results for the last 2 consecutive quarters
NET SALES(Q) At Rs 17.19 cr has Fallen at -53.4% (vs previous 4Q average)
PAT(Q) At Rs -1.97 cr has Fallen at -112.6% (vs previous 4Q average)
CASH AND CASH EQUIVALENTS(HY) Lowest at Rs 20.78 cr

With ROE of 6.7, it has a Very Expensive valuation with a 2.1 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 -14.73%, its profits have fallen by -80.1%

98.25% of Promoter Shares are Pledged

In falling markets, high promoter pledged shares puts additional downward pressure on the stock prices

Underperformed the market in the last 1 year

Even though the market (BSE500) generated negative returns of -0.61% in the last 1 year, its fall in the stock was much higher with a return of -14.73%

Real-Time Research Report

Verdict Report

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 Electronics & Appliances)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Forbes & Co for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Forbes & Co

-14.73%

-0.34

43.51%

Sensex

-7.5%

-0.58

13.00%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-51.60%

EBIT Growth (5y)

-39.85%

EBIT to Interest (avg)

6.50

Debt to EBITDA (avg)

3.22

Net Debt to Equity (avg)

-0.28

Sales to Capital Employed (avg)

2.09

Tax Ratio

26.24%

Dividend Payout Ratio

Pledged Shares

98.25%

Institutional Holding

9.20%

ROCE (avg)

5.87%

ROE (avg)

1,083.48%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

2.14

EV to EBIT

51.60

EV to EBITDA

36.72

EV to Capital Employed

2.57

EV to Sales

4.87

PEG Ratio

Dividend Yield

ROCE (Latest)

4.98%

ROE (Latest)

6.73%

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Mildly Bullish

Bearish

Dow Theory

No Trend

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

0What is working for the Company

NO KEY POSITIVE TRIGGERS

-26What is not working for the Company

NET SALES(Q)

At Rs 17.19 cr has Fallen at -53.4% (vs previous 4Q average

PAT(Q)

At Rs -1.97 cr has Fallen at -112.6% (vs previous 4Q average

CASH AND CASH EQUIVALENTS(HY)

Lowest at Rs 20.78 cr

DEBTORS TURNOVER RATIO(HY)

Lowest at 9.81 times

EPS(Q)

Lowest at Rs -1.53

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Here's what is not working for Forbes & Co

Net Sales - Quarterly

At Rs 17.19 cr has Fallen at -53.4% (vs previous 4Q average)

over average Net Sales of the previous four quarters of Rs 36.91 Cr

MOJO Watch

Near term sales trend is very negative

Net Sales (Rs Cr)

Profit After Tax (PAT) - Quarterly

At Rs -1.97 cr has Fallen at -112.6% (vs previous 4Q average)

over average PAT of the previous four quarters of Rs 15.70 Cr

MOJO Watch

Near term PAT trend is very negative

PAT (Rs Cr)

Net Sales - Quarterly

Lowest at Rs 17.19 cr and Fallen

each quarter in the last five quarters

MOJO Watch

Near term sales trend is very negative

Net Sales (Rs Cr)

Earnings per Share (EPS) - Quarterly

Lowest at Rs -1.53

in the last five quarters

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (Rs)

Cash and Cash Equivalents - Half Yearly

Lowest at Rs 20.78 cr

in the last six half yearly periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debtors Turnover Ratio- Half Yearly

Lowest at 9.81 times

in the last five half yearly periods

MOJO Watch

Company's pace of settling its Debtors has slowed

Debtors Turnover Ratio