Why is Global Education Ltd ?
1
The company is Net-Debt Free
2
Poor long term growth as Operating profit has grown by an annual rate -1.19% of over the last 5 years
3
Flat results in Jun 26
- OPERATING CF(Y) Lowest at Rs 13.69 Cr
- PAT(Q) At Rs 3.76 cr has Fallen at -10.7%
- DPR(Y) Lowest at 20.61%
4
With ROE of 19.3, it has a Expensive valuation with a 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 -100.00%, its profits have risen by 3.2% ; the PEG ratio of the company is 6.6
5
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
6
Below par performance in long term as well as near term
- Along with generating -100.00% returns in the last 1 year, the stock has also underperformed BSE500 in the last 3 years, 1 year and 3 months
How much should you hold?
- Overall Portfolio exposure to Global Education should be less than 10%
- Overall Portfolio exposure to Other Consumer Services should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Other Consumer Services)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Global Education for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Global Education
67.31%
1.52
43.28%
Sensex
-3.87%
-0.29
13.47%
Quality key factors
Factor
Value
Sales Growth (5y)
12.97%
EBIT Growth (5y)
-1.19%
EBIT to Interest (avg)
32.77
Debt to EBITDA (avg)
Net Debt is too low
Net Debt to Equity (avg)
0
Sales to Capital Employed (avg)
0.71
Tax Ratio
24.88%
Dividend Payout Ratio
19.20%
Pledged Shares
0
Institutional Holding
0.11%
ROCE (avg)
30.65%
ROE (avg)
28.18%
Valuation Key Factors 
Factor
Value
P/E Ratio
21
Industry P/E
Price to Book Value
4.02
EV to EBIT
17.41
EV to EBITDA
15.26
EV to Capital Employed
4.03
EV to Sales
5.83
PEG Ratio
6.58
Dividend Yield
0.94%
ROCE (Latest)
23.15%
ROE (Latest)
19.28%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
No Trend
Mildly Bearish
OBV
Bullish
Bullish
Technical Movement
9What is working for the Company
PAT(Latest six months)
At Rs 11.99 cr has Grown at 41.73%
NET SALES(Latest six months)
At Rs 38.18 cr has Grown at 21.94%
-11What is not working for the Company
OPERATING CF(Y)
Lowest at Rs 13.69 Cr
PAT(Q)
At Rs 3.76 cr has Fallen at -10.7%
DPR(Y)
Lowest at 20.61%
CASH AND CASH EQUIVALENTS(HY)
Lowest at Rs 0.63 cr
NET SALES(Q)
At Rs 14.04 cr has Grown at -5.33%
PBDIT(Q)
Lowest at Rs 5.76 cr.
PBT LESS OI(Q)
Lowest at Rs 4.85 cr.
EPS(Q)
Lowest at Rs 0.74
Loading Valuation Snapshot...
Here's what is not working for Global Education
Profit After Tax (PAT) - Quarterly
At Rs 3.76 cr has Fallen at -10.7%
Year on Year (YoY)MOJO Watch
Near term PAT trend is very negative
PAT (Rs Cr)
Operating Cash Flow - Annually
Lowest at Rs 13.69 Cr
in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (Rs Cr)
Net Sales - Quarterly
Lowest at Rs 14.04 cr
in the last five quartersMOJO Watch
Near term sales trend is negative
Net Sales (Rs Cr)
Net Sales - Quarterly
At Rs 14.04 cr has Grown at -5.33%
Year on Year (YoY)MOJO Watch
Near term sales trend is negative
Net Sales (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Lowest at Rs 5.76 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 4.85 cr.
in the last five quartersMOJO Watch
Near term PBT trend is negative
PBT less Other Income (Rs Cr)
Earnings per Share (EPS) - Quarterly
Lowest at Rs 0.74
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 0.63 cr
in the last six half yearly periodsMOJO Watch
Short Term liquidity is deteriorating
Cash and Cash Equivalents
Dividend Payout Ratio (DPR) - Annually
Lowest at 20.61%
in the last five yearsMOJO Watch
Company is distributing lower proportion of profits generated as dividend
DPR (%)






