Why is Hindustan Adhesives Ltd ?
1
Low ability to service debt as the company has a high Debt to EBITDA ratio of 3.39 times
- Low ability to service debt as the company has a high Debt to EBITDA ratio of 3.39 times
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 Plastic Products - Industrial)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Hind.Adhesive for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Hind.Adhesive
20.36%
0.47
43.98%
Sensex
-4.83%
-0.36
13.49%
Quality key factors
Factor
Value
Sales Growth (5y)
-1.86%
EBIT Growth (5y)
51.10%
EBIT to Interest (avg)
3.49
Debt to EBITDA (avg)
2.84
Net Debt to Equity (avg)
1.10
Sales to Capital Employed (avg)
1.79
Tax Ratio
26.76%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
12.03%
ROE (avg)
15.45%
Valuation Key Factors 
Factor
Value
P/E Ratio
7
Industry P/E
34
Price to Book Value
1.58
EV to EBIT
8.28
EV to EBITDA
5.98
EV to Capital Employed
1.27
EV to Sales
1.08
PEG Ratio
0.20
Dividend Yield
NA
ROCE (Latest)
10.55%
ROE (Latest)
15.08%
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Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Mildly Bearish (Daily)
KST
Bearish
Bearish
Dow Theory
Mildly Bullish
Mildly Bullish
OBV
No Trend
No Trend
Technical Movement
23What is working for the Company
OPERATING PROFIT TO INTEREST(Q)
Highest at 7.74 times
NET SALES(Q)
Highest at Rs 79.84 cr
PBDIT(Q)
Highest at Rs 21.36 cr.
OPERATING PROFIT TO NET SALES(Q)
Highest at 26.75%
PBT LESS OI(Q)
Highest at Rs 14.48 cr.
PAT(Q)
Highest at Rs 10.64 cr.
EPS(Q)
Highest at Rs 20.78
-10What is not working for the Company
ROCE(HY)
Lowest at 12.51%
INVENTORY TURNOVER RATIO(HY)
Lowest at 4.01 times
INTEREST(Q)
Highest at Rs 2.76 cr
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Here's what is working for Hind.Adhesive
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 14.48 cr has Grown at 247.7% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs 4.17 CrMOJO Watch
Near term PBT trend is very positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 10.64 cr has Grown at 159.4% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 4.10 CrMOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Operating Profit to Interest - Quarterly
Highest at 7.74 times
in the last five quartersMOJO Watch
The company's ability to manage interest payments is improving
Operating Profit to Interest
Net Sales - Quarterly
Highest at Rs 79.84 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Net Sales - Quarterly
At Rs 79.84 cr has Grown at 25.0% (vs previous 4Q average)
over average Net Sales of the previous four quarters of Rs 63.89 CrMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Highest at Rs 21.36 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (Rs Cr)
Operating Profit Margin - Quarterly
Highest at 26.75%
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 14.48 cr.
in the last five quartersMOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
Highest at Rs 10.64 cr.
in the last five quartersMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs 20.78
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)
Here's what is not working for Hind.Adhesive
Inventory Turnover Ratio- Half Yearly
Lowest at 4.01 times and Fallen
each half year in the last five half yearly periodsMOJO Watch
Company's pace of selling inventory has slowed
Inventory Turnover Ratio
Interest - Quarterly
Highest at Rs 2.76 cr
in the last five quarters and Increased by 12.20 % (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (Rs cr)






