HBL Engineering Ltd (HBLENGINE) 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

Minda Corp

Gabriel India

Sundram Fasten.

Sansera Enginee.

SPR Auto Technol

Belrise Industri

CIE Automotive

Asahi India Glas

Amara Raja Ener.

JBM Auto

HBL Engineering

Why is HBL Engineering Ltd ?

With ROE of 37.9, it has a Very Expensive valuation with a 9.1 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 22.39%, its profits have risen by 201.9% ; the PEG ratio of the company is 0.1

Despite the size of the company, domestic mutual funds hold only 0.78% 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

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 Auto Components & Equipments)

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

Is HBL Engineering for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

HBL Engineering

22.28%

0.48

46.92%

Sensex

-1.97%

-0.15

13.56%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

29.35%

EBIT Growth (5y)

106.13%

EBIT to Interest (avg)

32.04

Debt to EBITDA (avg)

0.33

Net Debt to Equity (avg)

-0.28

Sales to Capital Employed (avg)

1.41

Tax Ratio

25.79%

Dividend Payout Ratio

10.01%

Pledged Shares

Institutional Holding

6.60%

ROCE (avg)

28.17%

ROE (avg)

20.22%

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

9.13

EV to EBIT

18.43

EV to EBITDA

17.59

EV to Capital Employed

12.33

EV to Sales

5.93

PEG Ratio

0.12

Dividend Yield

0.41%

ROCE (Latest)

66.87%

ROE (Latest)

37.86%

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bullish

Moving Averages

Bearish (Daily)

KST

Mildly Bearish

Dow Theory

Mildly Bearish

No Trend

OBV

Mildly Bearish

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

24What is working for the Company

PAT(Latest six months)

At Rs 287.62 cr has Grown at 160.51%

NET SALES(Latest six months)

At Rs 1,478.16 cr has Grown at 59.60%

ROCE(HY)

Highest at 49.16%

CASH AND CASH EQUIVALENTS(HY)

Highest at Rs 551.91 cr

-12What is not working for the Company

NET SALES(Q)

At Rs 604.12 cr has Fallen at -23.9% (vs previous 4Q average

PBT LESS OI(Q)

At Rs 57.74 cr has Fallen at -78.1% (vs previous 4Q average

PAT(Q)

At Rs 66.31 cr has Fallen at -67.6% (vs previous 4Q average

PBDIT(Q)

Lowest at Rs 74.67 cr.

OPERATING PROFIT TO NET SALES (Q)

Lowest at 12.36%

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Here's what is working for HBL Engineering

Cash and Cash Equivalents - Half Yearly

Highest at Rs 551.91 cr

in the last six half yearly periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Here's what is not working for HBL Engineering

Net Sales - Quarterly

At Rs 604.12 cr has Fallen at -23.9% (vs previous 4Q average)

over average Net Sales of the previous four quarters of Rs 793.57 Cr

MOJO Watch

Near term sales trend is very negative

Net Sales (Rs Cr)

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs 57.74 cr has Fallen at -78.1% (vs previous 4Q average)

over average PBT of the previous four quarters of Rs 263.71 Cr

MOJO Watch

Near term PBT trend is very negative

PBT less Other Income (Rs Cr)

Profit After Tax (PAT) - Quarterly

At Rs 66.31 cr has Fallen at -67.6% (vs previous 4Q average)

over average PAT of the previous four quarters of Rs 204.42 Cr

MOJO Watch

Near term PAT trend is very negative

PAT (Rs Cr)

Operating Profit (PBDIT) - Quarterly

Lowest at Rs 74.67 cr.

in the last five quarters

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (Rs Cr)

Operating Profit Margin - Quarterly

Lowest at 12.36%

in the last five quarters

MOJO Watch

Company's efficiency has deteriorated

Operating Profit to Sales

Profit Before Tax less Other Income (PBT) - Quarterly

Lowest at Rs 57.74 cr.

in the last five quarters

MOJO Watch

Near term PBT trend is negative

PBT less Other Income (Rs Cr)