Gujarat Industries Power Co Ltd (GIPCL) 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

Solarworld Ene.

K.P. Energy

PTC India

Sustainable Ener

Insolation Ener

Guj Inds. Power

Ujaas Energy

RattanIndia Pow.

Orient Green

Reliance Infra.

Vilas Transcore

Why is Gujarat Industries Power Co Ltd ?

Weak Long Term Fundamental Strength with a -0.68% CAGR growth in Operating Profits over the last 5 years

The company has been able to generate a Return on Equity (avg) of 6.94% signifying low profitability per unit of shareholders funds

Underperformed the market in the last 1 year

Even though the market (BSE500) generated negative returns of -0.17% in the last 1 year, its fall in the stock was much higher with a return of -17.21%

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 Power)

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

Is Guj Inds. Power for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Guj Inds. Power

-16.85%

-0.49

35.39%

Sensex

-6.53%

-0.50

13.24%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

2.23%

EBIT Growth (5y)

-0.68%

EBIT to Interest (avg)

6.16

Debt to EBITDA (avg)

2.14

Net Debt to Equity (avg)

0.87

Sales to Capital Employed (avg)

0.36

Tax Ratio

Tax Ratio is Negative%

Dividend Payout Ratio

30.03%

Pledged Shares

Institutional Holding

15.25%

ROCE (avg)

7.94%

ROE (avg)

6.94%

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

0.66

EV to EBIT

22.58

EV to EBITDA

10.93

EV to Capital Employed

0.82

EV to Sales

3.94

PEG Ratio

0.07

Dividend Yield

2.44%

ROCE (Latest)

3.63%

ROE (Latest)

10.48%

Loading Valuation Snapshot...

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Bearish

RSI

No Signal

Bollinger Bands

Bullish

Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Bullish

Bearish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

No Trend

Bullish

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

23What is working for the Company

PAT(Q)

At Rs 326.85 cr has Grown at 799.8% (vs previous 4Q average

NET SALES(Q)

Highest at Rs 428.26 cr

PBDIT(Q)

Highest at Rs 194.99 cr.

OPERATING PROFIT TO NET SALES(Q)

Highest at 45.53%

PBT LESS OI(Q)

At Rs 55.54 cr has Grown at 35.4% (vs previous 4Q average

EPS(Q)

Highest at Rs 21.61

-12What is not working for the Company

INTEREST(Q)

At Rs 49.48 cr has Grown at 36.91%

NON-OPERATING INCOME(Q)

is 43.25 % of Profit Before Tax (PBT

Loading Valuation Snapshot...

Here's what is working for Guj Inds. Power

Profit After Tax (PAT) - Quarterly

At Rs 326.85 cr has Grown at 799.8% (vs previous 4Q average)

over average PAT of the previous four quarters of Rs 36.33 Cr

MOJO Watch

Near term PAT trend is very positive

PAT (Rs Cr)

Net Sales - Quarterly

Highest at Rs 428.26 cr

in the last five quarters

MOJO Watch

Near term sales trend is positive

Net Sales (Rs Cr)

Net Sales - Quarterly

At Rs 428.26 cr has Grown at 22.3% (vs previous 4Q average)

over average Net Sales of the previous four quarters of Rs 350.28 Cr

MOJO Watch

Near term sales trend is positive

Net Sales (Rs Cr)

Operating Profit (PBDIT) - Quarterly

Highest at Rs 194.99 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 45.53%

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 55.54 cr has Grown at 35.4% (vs previous 4Q average)

over average PBT of the previous four quarters of Rs 41.03 Cr

MOJO Watch

Near term PBT trend is positive

PBT less Other Income (Rs Cr)

Profit After Tax (PAT) - Quarterly

Highest at Rs 326.85 cr.

in the last five quarters

MOJO Watch

Near term PAT trend is positive

PAT (Rs Cr)

Earnings per Share (EPS) - Quarterly

Highest at Rs 21.61

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 Guj Inds. Power

Interest - Quarterly

At Rs 49.48 cr has Grown at 36.91%

Quarter on Quarter (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (Rs cr)

Interest - Quarterly

Highest at Rs 49.48 cr

in the last five quarters and Increased by 36.91 % (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (Rs cr)

Non Operating Income - Quarterly

is 43.25 % of Profit Before Tax (PBT)

MOJO Watch

The company's income from non business activities is high; which is not a sustainable business model

Non Operating Income to PBT

Non Operating Income - Quarterly

Highest at Rs 42.32 cr

in the last five quarters

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating Income