ScoreWhy is Happiest Minds Technologies Ltd ?
1
Poor long term growth as Operating profit has grown by an annual rate 13.06% of over the last 5 years
2
With ROE of 13.4, it has a Expensive valuation with a 3.4 Price to Book Value
- 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 -38.31%, its profits have risen by 19.1% ; the PEG ratio of the company is 1.3
3
Falling Participation by Institutional Investors
- Institutional investors have decreased their stake by -3.27% over the previous quarter and collectively hold 11.66% of the company
- These investors have better capability and resources to analyse fundamentals of companies than most retail investors
4
Consistent Underperformance against the benchmark over the last 3 years
- Along with generating -38.31% 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 Computers - Software & Consulting)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Happiest Minds for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Happiest Minds
-38.32%
-1.05
36.43%
Sensex
-3.95%
-0.29
13.58%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
23.27%
EBIT Growth (5y)
13.06%
EBIT to Interest (avg)
9.16
Debt to EBITDA (avg)
2.20
Net Debt to Equity (avg)
0.04
Sales to Capital Employed (avg)
0.90
Tax Ratio
25.02%
Dividend Payout Ratio
48.75%
Pledged Shares
0
Institutional Holding
11.66%
ROCE (avg)
29.22%
ROE (avg)
19.54%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
24
Industry P/E
21
Price to Book Value
3.43
EV to EBIT
17.31
EV to EBITDA
13.72
EV to Capital Employed
3.33
EV to Sales
2.45
PEG Ratio
1.28
Dividend Yield
1.68%
ROCE (Latest)
17.91%
ROE (Latest)
13.40%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Mildly Bearish
Moving Averages
Mildly Bearish (Daily)
KST
Mildly Bullish
Bearish
Dow Theory
Mildly Bearish
Mildly Bullish
OBV
Mildly Bearish
Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend15What is working for the Company
DPS(Y)
Highest at Rs 6.40
NET SALES(Q)
Highest at Rs 628.51 cr
PBDIT(Q)
Highest at Rs 117.60 cr.
OPERATING PROFIT TO NET SALES(Q)
Highest at 18.71%
PBT LESS OI(Q)
Highest at Rs 66.51 cr.
PAT(Q)
Highest at Rs 67.60 cr.
EPS(Q)
Highest at Rs 4.49
-9What is not working for the Company
OPERATING CF(Y)
Lowest at Rs 87.73 Cr
ROCE(HY)
Lowest at 12.60%
DEBT-EQUITY RATIO(HY)
Highest at 0.88 times
INTEREST(Q)
Highest at Rs 28.46 cr
Loading Valuation Snapshot...
Here's what is working for Happiest Minds
Net Sales - Quarterly
Highest at Rs 628.51 cr and Grown
each quarter in the last five quartersMOJO Watch
Near term sales trend is very positive
Net Sales (Rs Cr)
Dividend per Share (DPS) - Annually
Highest at Rs 6.40 and Grown
each year in the last five yearsMOJO Watch
Company is distributing higher dividend from profits generated
DPS (Rs)
Operating Profit (PBDIT) - Quarterly
Highest at Rs 117.60 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (Rs Cr)
Operating Profit Margin - Quarterly
Highest at 18.71%
in the last five quartersMOJO Watch
Company's efficiency has improved
Operating Profit to Sales
Profit Before Tax less Other Income (PBT) - Quarterly
Highest at Rs 66.51 cr.
in the last five quartersMOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 66.51 cr has Grown at 22.1% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs 54.46 CrMOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
Highest at Rs 67.60 cr.
in the last five quartersMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs 4.49
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)
Here's what is not working for Happiest Minds
Operating Cash Flow - Annually
Lowest at Rs 87.73 Cr and Fallen
each year in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (Rs Cr)
Interest - Quarterly
At Rs 28.46 cr has Grown at 25.87%
Quarter on Quarter (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (Rs cr)
Interest - Quarterly
Highest at Rs 28.46 cr
in the last five quarters and Increased by 25.87 % (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (Rs cr)
Debt-Equity Ratio - Half Yearly
Highest at 0.88 times
in the last five half yearly periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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