Goodluck India Ltd (GOODLUCK) 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

Sambhv Steel

Goodluck India

Shivalik Bimetal

Aeroflex

Technocraf.Inds.

Kalyani Steels

Man Industries

Welspun Special.

Bansal Wire Inds

Surya Roshni

Electrost.Cast.

Why is Goodluck India Ltd ?

Healthy long term growth as Operating profit has grown by an annual rate 30.07%

Positive results in Mar 26

OPERATING PROFIT TO INTEREST(Q) Highest at 4.57 times
PBT LESS OI(Q) Highest at Rs 67.98 cr.
PBDIT(Q) Highest at Rs 113.11 cr.

With ROCE of 12.9, it has a Attractive valuation with a 2.1 Enterprise value to Capital Employed

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 30.94%, its profits have risen by 17.1% ; the PEG ratio of the company is 1.6

Increasing Participation by Institutional Investors

Institutional investors have increased their stake by 0.66% over the previous quarter and collectively hold 6.55% of the company
These investors have better capability and resources to analyse fundamentals of companies than most retail investors

Consistent Returns over the last 3 years

Along with generating 30.94% returns in the last 1 year, the stock has outperformed BSE500 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Goodluck India should be less than 10%
Overall Portfolio exposure to Iron & Steel Products should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Iron & Steel Products)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Goodluck India for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Goodluck India

30.94%

0.61

50.37%

Sensex

-10.52%

-0.81

13.06%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

21.13%

EBIT Growth (5y)

30.07%

EBIT to Interest (avg)

2.99

Debt to EBITDA (avg)

2.76

Net Debt to Equity (avg)

0.72

Sales to Capital Employed (avg)

2.17

Tax Ratio

25.66%

Dividend Payout Ratio

7.91%

Pledged Shares

Institutional Holding

6.55%

ROCE (avg)

14.27%

ROE (avg)

13.19%

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

2.90

EV to EBIT

16.29

EV to EBITDA

13.55

EV to Capital Employed

2.11

EV to Sales

1.32

PEG Ratio

1.56

Dividend Yield

0.54%

ROCE (Latest)

12.93%

ROE (Latest)

12.12%

Loading Valuation Snapshot...

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

No Trend

OBV

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

11What is working for the Company

OPERATING PROFIT TO INTEREST(Q)

Highest at 4.57 times

PBT LESS OI(Q)

Highest at Rs 67.98 cr.

PBDIT(Q)

Highest at Rs 113.11 cr.

OPERATING PROFIT TO NET SALES(Q)

Highest at 10.39%

PAT(Q)

At Rs 54.55 cr has Grown at 29.8% (vs previous 4Q average

EPS(Q)

Highest at Rs 16.41

-3What is not working for the Company

DEBT-EQUITY RATIO(HY)

Highest at 0.75 times

Loading Valuation Snapshot...

Here's what is working for Goodluck India

Operating Profit to Interest - Quarterly

Highest at 4.57 times

in the last five quarters

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Profit Before Tax less Other Income (PBT) - Quarterly

Highest at Rs 67.98 cr. and Grown

each quarter in the last five quarters

MOJO Watch

Near term PBT trend is very positive

PBT less Other Income (Rs Cr)

Operating Profit (PBDIT) - Quarterly

Highest at Rs 113.11 cr.

in the last five quarters

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (Rs Cr)

Operating Profit Margin - Quarterly

Highest at 10.39%

in the last five quarters

MOJO Watch

Company's efficiency has improved

Operating Profit to Sales

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs 67.98 cr has Grown at 31.9% (vs previous 4Q average)

over average PBT of the previous four quarters of Rs 51.54 Cr

MOJO Watch

Near term PBT trend is positive

PBT less Other Income (Rs Cr)

Profit After Tax (PAT) - Quarterly

Highest at Rs 54.55 cr.

in the last five quarters

MOJO Watch

Near term PAT trend is positive

PAT (Rs Cr)

Profit After Tax (PAT) - Quarterly

At Rs 54.55 cr has Grown at 29.8% (vs previous 4Q average)

over average PAT of the previous four quarters of Rs 42.03 Cr

MOJO Watch

Near term PAT trend is positive

PAT (Rs Cr)

Earnings per Share (EPS) - Quarterly

Highest at Rs 16.41

in the last five quarters

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (Rs)

Here's what is not working for Goodluck India

Debt-Equity Ratio - Half Yearly

Highest at 0.75 times

in the last five half yearly periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Non Operating Income - Quarterly

Highest at Rs 8.73 cr

in the last five quarters

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating Income