ScoreWhy is Happy Forgings Ltd ?
1
Company has a Debt to Equity ratio (avg) of 0.01 times
2
Poor long term growth as Net Sales has grown by an annual rate of 6.70% and Operating profit at 8.95% over the last 5 years
3
The company has declared Positive results for the last 3 consecutive quarters
- NET SALES(Q) Highest at Rs 423.84 cr
- DEBTORS TURNOVER RATIO(HY) Highest at 3.92 times
- PBDIT(Q) Highest at Rs 133.34 cr.
4
With ROE of 14.2, it has a Very Expensive valuation with a 6.4 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 46.96%, its profits have risen by 12.8% ; the PEG ratio of the company is 3.5
5
MFs have increased holdings this quarter and now hold 14.63% of the company
6
Market Beating Performance
- The stock has generated a return of 46.96% in the last 1 year, much higher than market (BSE500) returns of 0.15%
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Happy Forgings should be less than 10%
- Overall Portfolio exposure to Castings & Forgings should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Castings & Forgings)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Happy Forgings for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Happy Forgings
46.96%
1.35
34.78%
Sensex
-5.43%
-0.41
13.25%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
6.70%
EBIT Growth (5y)
8.95%
EBIT to Interest (avg)
35.84
Debt to EBITDA (avg)
0.84
Net Debt to Equity (avg)
0.02
Sales to Capital Employed (avg)
0.62
Tax Ratio
24.97%
Dividend Payout Ratio
10.57%
Pledged Shares
0
Institutional Holding
18.21%
ROCE (avg)
16.09%
ROE (avg)
14.57%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
45
Industry P/E
37
Price to Book Value
6.37
EV to EBIT
35.63
EV to EBITDA
28.89
EV to Capital Employed
6.27
EV to Sales
8.79
PEG Ratio
3.54
Dividend Yield
0.21%
ROCE (Latest)
17.61%
ROE (Latest)
14.17%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Mildly Bearish
Dow Theory
Mildly Bearish
No Trend
OBV
Mildly Bearish
Mildly Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend12What is working for the Company
NET SALES(Q)
Highest at Rs 423.84 cr
DEBTORS TURNOVER RATIO(HY)
Highest at 3.92 times
PBDIT(Q)
Highest at Rs 133.34 cr.
OPERATING PROFIT TO NET SALES(Q)
Highest at 31.46%
PBT LESS OI(Q)
Highest at Rs 105.02 cr.
PAT(Q)
Highest at Rs 83.56 cr.
EPS(Q)
Highest at Rs 8.86
-2What is not working for the Company
ROCE(HY)
Lowest at 16.78%
Loading Valuation Snapshot...
Here's what is working for Happy Forgings
Net Sales - Quarterly
Highest at Rs 423.84 cr and Grown
each quarter in the last five quartersMOJO Watch
Near term sales trend is very positive
Net Sales (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Highest at Rs 133.34 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (Rs Cr)
Operating Profit Margin - Quarterly
Highest at 31.46%
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 105.02 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 105.02 cr has Grown at 21.5% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs 86.42 CrMOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
Highest at Rs 83.56 cr.
in the last five quartersMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs 8.86
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)
Debtors Turnover Ratio- Half Yearly
Highest at 3.92 times
in the last five half yearly periodsMOJO Watch
Company has been able to settle its Debtors faster
Debtors Turnover Ratio
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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